Legendary hedge fund manager John Paulson, who made an estimated $15 billion for investors by shorting the real estate market before its 2008 crash, is starting a fund to help investors reduce their tax bill.
Tax reduction strategies have been a focus for Paulson of late, and he recently considered a move to Puerto Rico to lower his personal tax liability.
Bloomberg reports Paulson's firm "invited prospective clients to an April 24 event at Paulson & Co.'s New York offices, where the 57-year-old founder will talk about the Paulson Partners Premium LP Fund, described as a risk-arbitrage fund for investors looking to mitigate income taxes."
The 75-minute presentation will include a 15-minute discussion of tax-deferred or tax-free investing in the fund, according to the news service, which cites a copy of the invitation.
See also: It's all about taxes
But in an era of increasing debate over income inequality, Occupy Wall Street and higher taxes for the wealthy, some are critical of Paulson's latest move.
"He seems to be more focused on avoiding income taxes than on generating returns for his investors," Brad Alford, head of Atlanta-based Alpha Capital Management, who runs a mutual fund of funds that invests in hedge funds, told Bloomberg. "It gives billionaires a bad name."
