Richard Fuld Net Worth | celebrity net worth

What is Richard Fuld Net Worth?

Richard Fuld is an American banker who has a net worth of $250 million. Richard “Dick” Fuld is best known as the Chairman and CEO of Lehman Brothers. He lost these positions after 14 years of service when Lehman Brothers filed for bankruptcy in the midst of the 2008 financial crisis. Subsequently, publications such as CNN and Time Fold listed him among the individuals most responsible for the economic collapse.

Dick joined Matrix Advisors hedge fund in 2009. In 2010 he joined Legend Securities but left in 2012.

Compensation

During his time at Lehman, Dick Fuld earned about $900 million in potential compensation (mostly in stock). He cashed out $530 million in various forms of compensation before the company collapsed. At his peak, his stock in Lehman Brothers along with his other assets made him a billionaire. Lehman’s bankruptcy wiped out all the shares he still held and any unvested shares.

He received a reward of $22 million in 2006. In 2007 he received $34 million. In 2008 (before the collapse) he received $ 40.5 million.

Mendel Ngan/AFP/Getty Images

Early life and education

Richard Fuld Jr. was born on April 26, 1946 in New York City to Jewish parents. As a teenager, he went to Wilbraham & Monson Academy in Massachusetts. After his graduation, Fuld attended the University of Colorado Boulder, where he was part of the Naval ROTC program. In 1969, he graduated with a BA and BA from the school. Fuld attended New York University’s Stern School of Business, graduating with an MBA in 1973.

career beginnings

Fuld began his career as a pilot in the United States Air Force. However, he lost his job after he got into a fistfight with a commanding officer.

Lehman Brothers

In 1969, the year of the death of banker Robert Lehman, Fuld joined the investment bank Lehman Brothers. There, he became famous as a successful merchant with a steady income. During Fuld’s tenure, he witnessed and participated in many of the company’s major developments, including mergers with EF Hutton and Kuhn, Loeb & Co. and its acquisition by American Express. When Lehman Brothers separated from American Express in 1994, Fuld became the company’s new CEO and chairman. He went on to turn the fortunes of the Lehman Brothers, turning a profit for 14 consecutive years. In addition, Fuld led the company during the 1997 Asian Financial Crisis.

By 2007, Fuld was the longest-serving CEO on Wall Street, receiving nearly $500 million in compensation since 1993. However, disaster was just around the corner. Although praised for his job dealing with the onset of the subprime mortgage crisis, Fuld underestimated the impact of the US housing market slump on Lehman. With the company’s share price plummeting, Fuld received criticism for not completing a number of proposed deals that would have bolstered Lehman Brothers’ fortunes. As a result, the company became a victim of the global financial crisis, and filed for bankruptcy in September of 2008. It should be noted that it was the largest bankruptcy lawsuit in the history of the United States, as it involved assets of more than 600 billion dollars.

after bankruptcy

In the wake of the bankruptcy filing, the Dow Jones Industrial Average fell 4.5% in a single day, marking the largest drop since the 9/11 terrorist attacks up to that point. Meanwhile, money market mutual funds experienced mass withdrawals, and the interbank lending market tightened. Subpoenas have been issued to Fuld and 11 other Lehman Brothers executives in connection with federal criminal investigations alleging securities fraud at the company. Fuld went on to testify before the US House of Representatives Committee on Oversight and Government Reform. The investigation eventually found that while Lehman’s business decisions that led to the financial crisis were mostly sound, the company’s manipulation of financial statements and accounts was called into question. CNN and Time named Fuld as one of the people responsible for causing the 2007-2008 financial crisis.

Post-Lehman career

After the collapse of Lehman Brothers, Fuld joined New York City’s Matrix Advisors. Under his leadership, the company had grown to about 24 employees by the summer of 2015. By the following year, Matrix had $100 million in assets under management. The company subsequently opened offices in Palm Beach and Los Angeles. Among his other positions, Fuld worked at investment banking firm Legend Securities from 2010 to early 2012. He is also a member of the Board of Trustees of NewYork-Presbyterian Hospital.

In the media, Fuld appeared as himself in the 2010 Academy Award-winning documentary “Inside Job”, which is about the 2007-2008 financial crisis. He has also been portrayed by actors in fantasy novels about the crisis, with Cory Johnson playing him in the BBC movie “The Last Days of Lehman Brothers” and James Woods portraying him in the HBO movie “Too Big to Fail.”

Personal life and real estate

Richard Fuld has been married to Kathleen Ann Bailey since 1978. They have three children.

In 2004, Dick and Kathleen paid $13.75 million to purchase a home in Jupiter, Florida. The home sits on 3.3 acres and overlooks the ocean 265 feet. The home itself is just under 15,000 square feet. Following the 2008 Lehman bankruptcy, he transferred the entire mansion to his wife for $100 to protect him from potential legal action. They listed this home for sale in early 2021 for $40 million. In May 2021, it was revealed that they accepted $32.5 million.

Fuld also at one point owned a 71-acre estate in Sun Valley, Idaho, which he auctioned off for just over $20 million in 2015.



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