A bond trader who lost $1 billion recently resigned from the firm Ben Bernanke just joined
In seemingly unrelated news, Citadel's global head of fixed income recently resigned from the firm after losing $1 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 $1 billion last year in a "variety of trades."
Citadel manages $26 billion in assets.
Bernanke, in contrast, spent last year figuring out what to do after an 8-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 $1 billion in losses.