Paulson Won't Move To Puerto Rico

Mar 15 2013 | 1:10pm ET

Paulson & Co. founder John Paulson moved to stamp out rumors that he was considering a move to Puerto Rico to save money on taxes.

Paulson's hedge fund released a statement denying media reports that he might move to the U.S. territory to take advantage of a year-old law waiving local and federal capital gains taxes for new residents. The bulk of Paulson's taxes are capital gains, given the $9.5 billion he has invested in his own hedge funds.

"John Paulson, President of Paulson & Co. today announced that, in light of the media attention surrounding a relocation to Puerto Rico, he has no plans to move to Puerto Rico," the firm said. "While Mr. Paulson has considered real estate investments and has vacationed on the Island, he has no plans to establish a permanent residence there."

Paulson reportedly recently looked at residential real-estate in the exclusive Condado neighborhood of Puerto Rican capital San Juan.

Puerto Rican officials have said that 10 wealthy Americans have already taken advantage of the new law, and 40 others have spoken to the government about a move. About one-third of those are hedge fund managers, Puerto Rican Economic Development and Commerce Secretary Alberto Baco Bague said.


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Future of Private Equity: New Opportunities, New Challenges

Feb 3 2017 | 6:41pm ET

The private equity industry’s astonishing rebound since the financial crisis has...

 

From the current issue of