Since 2018, American lawyer and investment banker Jerome Hayden “Jay” Powell has led the Federal Reserve as its 16th chairman.
In 1975, he graduated with a degree in politics from Princeton University, and in 1979, he received his Juris Doctor from Georgetown University Law Center. In 1984, he made the transition into investment banking, where he has held positions at a number of prestigious firms, including as a partner at The Carlyle Group.
Before leaving office in 1992, Powell was President George H. W. Bush’s acting undersecretary of the Treasury for domestic finance.
After leaving the Carlyle Group in 2005, Powell started his own private investment firm called Severn Capital Partners. For two years, between 2010 and 2012, he served as a visiting scholar at the Bipartisan Policy Center.
Powell was one of six children born to Patricia and Jerome Powell (1921-2007), a lawyer in private practice, on February 4, 1953, in Washington, D.C.
James J. Hayden, his grandpa’s father, taught at Georgetown Law School and served as dean of the Columbus School of Law at the Catholic University of America. Five people in his family are Susan, Matthew, Tia, Libby, and Monica.
Powell received his diploma from the Jesuit Georgetown Preparatory School in 1972. In 1975, he graduated from Princeton University with a BA in politics, and the topic “South Africa: Forces for Change” was the subject of his senior thesis.
His first job out of college was working for a year as a legislative aide for Republican Pennsylvania Senator Richard Schweiker from 1975–1976.
In 1979, Powell received his J.D. from the Georgetown University Law Center, where he also served as editor-in-chief of the Georgetown Law Journal.
Powell relocated to New York City in 1979 to work as a clerk for Judge Ellsworth Van Graafeiland of the United States Court of Appeals for the Second Circuit. Powell worked as an attorney at Davis Polk & Wardwell from 1981 to 1983, and then at Werbel & McMillen from 1983 to 1984.
Powell served as a vice president at the investment firm Dillon, Read & Co. from 1984 to 1990. During his tenure there, he gained experience in the areas of financing, merchant banking, and mergers and acquisitions.
When Nicholas F. Brady, previous chairman of Dillon, Read & Co., was United States Secretary of the Treasury from 1990 to 1993, Powell was working there. Powell joined the Bush administration in 1992 as the Treasury Department’s domestic finance undersecretary, having been appointed by George H. W. Bush.
After one of the Salomon Brothers’ traders placed a fraudulent bid on a United States Treasury security while Powell was in charge of the Treasury, the firm was investigated and fined. It was through Powell’s efforts that Warren Buffett was able to become chairman of Salomon.
Powell’s tenure at Bankers Trust began in 1993 when he was hired on as a managing director. In 1995, he quit the bank after numerous high-net-worth investors who had chosen derivatives for the potential greater gain or loss also suffered significant losses.
After that, he resumed his employment with Dillon, Read & Co. When Powell was a partner at The Carlyle Group from 1997 to 2005, he was responsible for establishing and managing the Industrial Group of the Carlyle U.S. Buyout Fund.
In the wake of his departure from Carlyle, Powell established Severn Capital Partners, a private investment business that makes niche and opportunistic investments in the manufacturing industry.
Powell joined the private equity and venture capital firm Global Environment Fund in 2008, where he now serves as managing partner. The firm has made sustainable energy investments since 2008. Also, read about Sandra Bullock Net Worth
The United States debt-ceiling crisis of 2011 occurred while Powell was a visiting scholar at the Bipartisan Policy Center, a think tank in Washington, D.C., from 2010 to 2012. Powell discussed the effects of not extending the debt ceiling quickly or at all on the economy and interest rates. He put in his time for a yearly wage of $1.
Did He Just Derail The Stock Market?
Jerome Powell can make or break stocks today. He disappointed Wednesday.
The central bank announced its fourth consecutive three-quarters-of-a-point interest rate hike, continuing its vigorous campaign to control inflation.
Investors focused on Powell’s comments about where and how long interest rates could peak before the Fed switches course.
Powell told reporters that when to slow rate hikes is less essential than how high to go and how long to keep policy tight. The Fed “may go higher than expected,” he warned.
This causes the market to reassess, dimming chances for a policy turn shortly.
Chair Powell answers reporters' questions at the FOMC press conference on November 2, 2022. https://t.co/siWde1Rh9D pic.twitter.com/R2KRBRY87C
— Federal Reserve (@federalreserve) November 2, 2022
Powell married Elissa Leonard at the Episcopal Washington National Cathedral in 1985; they have three children and currently reside in Chevy Chase Village, Maryland, where Elissa chairs the board of managers. Also, read about Martha Stewart Net Worth
Jerome Powell Net Worth
Jerome Powell Net Worth is estimated to be around $50 Million currently. Powell has sat on the boards of numerous nonprofits and schools, such as DC Prep, a public charter school; Princeton University’s Bendheim Center for Finance; and The Nature Conservancy.
Additionally, he helped establish the Center City Consortium, a network of 16 private schools serving some of the District of Columbia’s poorest communities. Currently, Powell is a registered Republican.