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Paulson Digs Into Own Pocket To Guarantee Hedge Fund Credit

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Mark Melin
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John Paulson is getting into the un-enviable position many hedge fund managers get when they receive a margin call: he is putting up his own capital as collateral to keep his hedge fund alive.

Paulson

With assets under management cut in half, Paulson digs deep to meet the call

Bloomberg reports the billionaire who made a fortune predicting the U.S. housing crisis in 2007 has now pledged his personal investments in as additional collateral for a credit line the fund, Paulson & Co., has with HSBC Bank USA. Citing a filing last month with the state of New York, the report says...

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Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.