Pursuits
Paulson Pledges Personal Holdings to Back Firm After Assets Fall
- Billionaire puts up his hedge-fund interests for credit line
- Paulson & Co.'s capital is down by about half from its peak
John Paulson Puts Up Hedge-Fund Interests for Credit Line
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John Paulson, the hedge fund manager struggling with uneven returns since his windfall wager against U.S. housing in 2007, is turning to his own fortune to help backstop his firm.
The billionaire pledged his personal investments in four of his firm’s hedge funds as additional collateral for a credit line Paulson & Co. has had with HSBC Bank USA for at least five years, according to a filing last month with the state of New York. The holdings will also serve as guarantee for a new personal line of credit for Paulson.