John Paulson invests in Bank of America
In a filing with the SEC, Paulson & Co. disclosed it has made a huge bet on Bank of America. It bought nearly 168 million shares, a stake worth about $2.67 billion. The AP notes the hedge fund is now the fourth largest shareholder, behind State Street Global Advisors, Barclays Global Investors and Vanguard Group. This is a very interesting play.
If the bank fares well--and it just might--it would mark yet another big win for the upstart John Paulson, who took home $3 billion in 2007. He's hardly been shy about investing in banks. If these bets work out, he will been alone in betting on the implosion and subsequent recovery. He will have played the crisis just perfectly.
- here's the article