Warsh, US Fed Chair Nominee, Has At Least $200 Million in Assets…Also Owns Coupang Stock

Warsh, US Fed Chair Nominee, Has At Least $200 Million in Assets…Also Owns Coupang Stock

Asset disclosure ahead of next week's hearing…At least $100 million in Druckenmiller's fund alone

Actual assets likely much larger due to regulatory loopholes…Wife's estimated assets alone are $1.9 billion

Former Federal Reserve (Fed) Governor Kevin Warsh, nominated as the next chairman of the US Federal Reserve, reported assets totaling at least $200 million (approximately 294 billion won) ahead of his congressional confirmation hearing, Bloomberg reported on the 14th (local time).

However, due to loopholes in the asset disclosure regulations for public office nominees, Bloomberg estimated that the actual assets held by Warsh and his wife are likely much greater than reported.

According to the report, Warsh declared joint assets with his spouse, Jane Lauder, of at least $192 million (approximately 280 billion won) in the asset disclosure submitted to the US Office of Government Ethics.

Warsh's asset disclosure was made ahead of his confirmation hearing by the US Congress, which is expected around the 21st.

According to the main disclosed details, Warsh held assets exceeding $50 million in each of two 'Juggernaut Funds'.

Under US federal government asset disclosure regulations, nominees can report the value of their assets in ranges. 'Over $50 million' is merely the highest range under the reporting regulations, and the actual value of the assets could be much larger.

The Juggernaut Fund is managed by Duquesne Family Office, the personal investment company of billionaire investor Stanley Druckenmiller. Warsh joined Duquesne as a partner in 2011, shortly after stepping down from his position as a Fed governor.

Warsh reported that the value of his Coupang stock fell into the '$1 million to $5 million' range in two separate disclosures related to shares of Coupang Inc., the parent company of Coupang.

According to US Securities and Exchange Commission (SEC) filings, Warsh reported owning 470,000 shares of Coupang as of June last year. This amount is approximately $9.5 million based on the closing price on the 13th.

Warsh has served as a member of Coupang's board of directors from October 2019 to the present. In addition to Coupang, he has also served as a board member of the global logistics company UPS.

Warsh also reported owning dozens of other investment assets for which no specific value was stated.

In an ethics agreement submitted on the same day, Warsh pledged to sell some of his assets and resign from corporate board positions if he is confirmed by Congress.

Meanwhile, his spouse, Jane Lauder, only reported assets as 'over $1 million'. Under the regulations, a spouse is not required to disclose specific amounts for assets exceeding $1 million.

Jane Lauder is the daughter of Ronald Lauder, heir to the cosmetics company Estée Lauder. According to Forbes' estimates, Jane Lauder's assets amount to approximately $1.9 billion (approximately 2.8 trillion won) as of the 14th.

The federal Senate confirmation hearing for Warsh is expected to be held next week.

Senator Tim Scott (R-SC), chairman of the US Senate Banking Committee, mentioned in a Fox Business interview on the same day that Warsh is scheduled to appear at the confirmation hearing on the 21st.

The confirmation of a Fed chair nominee must pass a hearing by the Federal Senate Banking Committee and then a vote in the full session.

Separate from the hearing, the confirmation vote may be delayed.

As the US Department of Justice continues to show its intent to investigate current Fed Chairman Jerome Powell regarding excessive spending on the renovation of the Fed building, Senator Thom Tillis (R-NC), a member of the Senate Banking Committee, has maintained his position that he will oppose Warsh's confirmation until the issues surrounding the investigation into Chairman Powell are resolved.