Former Treasury Secretaries Join Hedge Firms

The U.S. Treasury Department is looking like a hotbed of prospective hedge fund managers, according to reports from Dow Jones. Former Treasury Secretary John Snow and former Secretary Lawrence Summers accepted positions with Cerberus Capital Management and D.E. Shaw & Company, respectively, last week. “It is an honor to have a person of Secretary Snow’s stature,” said Cerberus Chief Cxecutive Stephen Feinberg. Snow brings an veritable Rolodex of political and businesses contacts to the company, which specialized in corporate buyouts and restructuring. Snow served as Treasury Secretary under President George W. Bush from February of 2003 until June of this year. Prior to that, he was chief executive at Jacksonville, Fla.-based rail and cargo-giant CSX Corp. and sat on the boards of directors for Johnson&Johnson and Verizon. “We will benefit enormously from his vast experience in the business operations as well as his keen insights on economic trends and forces,” said Feinberg. Summers served as Secretary under President Bill Clinton between January of 1999 and Clinton’s Jan 2001 exit from office. After working in Washington, Summers headed to Cambridge, Mass., to become president of Harvard University, where he served a controversial term. Summers will be a managing director at New York-based D.E. Shaw, working part-time to advise the $25 billion firm on strategy, portfolio management and operations, according to the company.