Early Life and Education
John Alfred Paulson was born in Queens, New York, on December 14, 1955. His father, Alfredo Guillermo Paulson, was born in Ecuador. His mother, Jacqueline Boklan, was the daughter of Jewish immigrants from Lithuania and Romania. Paulson attended Bayside High School. He studied at New York University (NYU), graduating summa cum laude in finance in 1978. He went on to earn an MBA from Harvard Business School in 1980, where he was a George F. Baker Scholar.
Rise to Success
Paulson began his career at Boston Consulting Group in 1980. Later, he worked at Odyssey Partners, Bear Stearns, and Gruss Partners LP. He founded Paulson & Co. in 1994, with an initial capital of $2 million. Paulson gained widespread recognition for his strategic investments. He achieved significant financial success in 2007 by shorting the U.S. housing market. Paulson correctly predicted the subprime mortgage crisis and bet against mortgage-backed securities, generating billions in profits. In 2010, he earned approximately $4.9 billion.
Key Business Strategies
Paulson's investment strategies are primarily "event-driven," focusing on mergers, acquisitions, and spin-offs. He has made a name for himself through contrarian investments. His approach involves in-depth fundamental analysis to identify undervalued assets. He also invests in distressed assets, with a history of investing in distressed debt and troubled companies. His bet against the subprime mortgage market in 2007, earning his firm billions. His focus on gold investments made him a major investor in the sector. Paulson is known for his rigorous research, contrarian instincts, and a disciplined approach to portfolio management.
Philanthropy
Paulson has been engaged in philanthropy throughout his career. He launched the Paulson Family Foundation in 2008, contributing $100 million. His philanthropic contributions include a $100 million donation to the Central Park Conservancy in October 2012. He also made contributions to New York University Stern School of Business and Harvard University's School of Engineering and Applied Sciences. In 2024, Paulson was awarded an honorary doctorate from the Hebrew University of Jerusalem.