New York-based hedge fund guru John Paulson may reportedly relocate to Puerto Rico to avoid high tax rates.
Bloomberg reported that Paulson, the president of Paulson & Co., recently looked at real estate on the island’s capital city of San Juan. Puerto Rico recently passed a law that would eliminate taxes on gains, which would benefit Paulson as he has about $9.5 billion invested in his own hedge funds.
According to the article, Paulson & Co. confirmed in a statement that the firm has looked at real estate investments in Puerto Rico, but have not made any investments. The hedge fund will remain in New York if the firm decides to move forward with the investments, however Paulson has not finalized his decision.
Paulson rose to fame after making $3.7 billion in 2007 by short-selling subprime mortgages. Paulson & Co. currently manages approximately $20 billion in in assets, down from its $36 billion AuM in 2010.