Ben Bernanke is joining asset manager Citadel.
In seemingly unrelated news, Citadel’s global head of fixed income recently resigned from the firm after losing $US1 billion last year.
According to a report from Bloomberg News, Derek Kaufman resigned from Citadel resigned two weeks and a portion of his portfolio was liquidated after he lost $US1 billion last year in a “variety of trades.”
Citadel manages $US26 billion in assets.
Bernanke, in contrast, spent last year figuring out what to do after a six-year stint as chairman of the Federal Reserve. And after resurfacing as an economics blogger recently, Bernanke will now join Citadel as an outside senior advisor.
In a statement, Citadel CEO Ken Griffin said, “[Bernanke] has extraordinary knowledge of the global economy and his insights on monetary policy and the capital markets will be extremely valuable to our team and to our investors.”
Maybe Bernanke’s “extraordinary knowledge” will help Citadel’s bond desk avoid another $US1 billion in losses.