By Greater Astoria Historical Society
In conjunction with the Greater Astoria Historical Society, the TimesLedger newspapers present noteworthy events in the borough’s history
Born on Dec. 14, 1955 in Queens, John Alfred Paulson is a leading investment banker who founded investment management firm Paulson & Co. in 1994. He shot to prominence and fortune in 2007 through his bets against the subprime mortgage lending market, and is considered one of the most prominent names in the field of high finance. He is married to Jenny Zaharia, an immigrant from Romania, and has two daughters. His older sister, Theodora, is a distinguished Israeli biologist.
The titan of finance was born to Alfredo Guillermo Paulsen, an orphaned immigrant from Ecuador who served in the U.S. Army in World War II, and Jacqueline Paulson, daughter of Jewish immigrants from Eastern Europe. The younger Paulson excelled academically. After graduating from Bayside High School, he was the valedictorian of his class at New York University in 1978 and went on to finish Harvard Business School in 1980 in the top 5 percent of the graduating class.
The financial whiz made his big jump in 1994, starting Paulson & Co. with one employee in office space rented from a former employer. After an inconspicuous start with a mere $2 million in assets under management, he specialized in taking advantage of stock moves during during mergers, acquisitions and spin-offs. His firm was managing about $300 million by 2003. Then, in what was called “the greatest trade ever” by Wall Street Journal writer Gregory Zuckerman, John Paulson shot to fame and fortune seemingly overnight in 2007 through bets against subprime mortgage-backed bonds through his Paulson Credit Opportunity Fund.
After rising to fortune and notoriety, Paulson in recent years has also shared his great wealth in supporting charities and higher education. In June of this year, the son of an orphaned Ecuadorian immigrant donated $400 million to Harvard University—the largest financial gift in the history of the Ivy League institution. He has also made considerable gifts to the Stern School of Business at NYU as well as non-profits such as the Central Park Conservancy, the Center for Responsible Lending and a children’s hospital in Guayaquil, Ecuador. In recognition of this donation to his business school alma mater, Harvard named its engineering school the John A. Paulson School of Engineering and Applied Sciences.
Although Paulson shuns the public spotlight and rarely grants television interviews, he has risen from modest beginnings in New York’s largest borough to great success and self-made wealth as one of the most recognized names in the financial industry and a generous benefactor to a variety of causes.
On purchasing Steinway & Sons, Paulson said: “They are the epitome of high culture and art. My goal is preserve it and to ensure the greatness is continued … not only in the current generations but future generations to come. I am in awe of the brand that Steinway occupies in the industry [and its] uncompromising pursuit of perfection.”
For further information, call the Greater Astoria Historical Society at 718-278-0700 or visit our website at www.astor
