Scott Bessent Served’ Crack’ the Bank of England. Then He’ll Move the U. S. Treasury

Scott Bessent Served’ Crack’ the Bank of England. Then He’ll Move the U. S. Treasury

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The future Treasury secretary is regarded by Scott Bessent’s former coworkers and rivals as a wise choice with a thorough understanding of financial markets. Scott Bessent was asked to help break the economic structure of another country before being hired to prospect the Treasury Department for three years. Therefore 29 years old, Mr. Bessent, working for the businessman George Soros, helped “break” the Bank of England with crushing investments against the British pound. He was on a small team at Mr. Soros’s investment firm that, in 1992, amassed a$ 10 billion bet that the pound was overvalued. Though the British government tried to support the currency, it was n’t able to withstand the pressure, and the pound plunged in value.
Mr. Soros’s fund earned more than$ 1 billion, along with credit ( and infamy ) for orchestrating one of Wall Street’s most audacious trades. When President-elect Donald J. Trump announced his choice of Mr. Bessent as Treasury minister last year, there was no mention of the relationship to Mr. Soros. But it was Mr. Bessent’s practice at Mr. Soros’s account— including another high-profile imagine, against the Chinese yen — that helped establish his career, and that his former colleagues and other associates see as a critical credential.
At the time of the wager against the pound, Mr. Bessent said that David Smick, an adviser to Mr. Soros,” could see the risks in a way that most other people in the financial markets did n’t see.” Mr. Bessent, 62, has worked for hedge funds for almost four centuries as a seller or captain investment officer, with the latter running his own business.