JOHN PAULSON – pocketed $3.5 billion shorting subprime credit

John Alfred Paulson is an American Hedge fund manager based in New york City.

Net Worth:$6.0 billion
Fortune:self made
Source:hedge funds
Age:53
Country Of Citizenship:United States
Industry: Investments

Shrewd investor’s bearish wagers continue to elicit riches: his Paulson Advantage fund rose 38% in 2008 while the S&P 500 sank 39%. Two years ago, he personally pocketed $3.5 billion shorting subprime credit; windfall believed to be largest one-year payday in Wall Street history. His net worth was less than $300 million in early 2007. He studied finance at NYU. M.B.A. from Harvard, then stints at Odyssey Partners, Bear Stearns. Founded Paulson & Co. in 1994. In 2005 became convinced U.S. economy would soon fail; asked employees to find “bubble” to short. Took advantage of perceived weakness in real estate market by executing complex debt trades, betting against ABX (mortgage) index. Firm’s Credit Opportunities fund up 590% net of fees in 2007. Assets under management now $35 billion.

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Tagged as: Hedge fund manager, Investments, John Alfred Paulson, stock market analysis, United States