Hedge funders urge Washington to reduce debt
By Lawrence Delevingne
Thu Oct 25, 2012
Bill Ackman, Tom Steyer, Lee Ainslie, John Burbank among those to sign onto the Fix the Debt campaign.
Some prominent names at hedge fund firms joined with more than
100 business leaders, mostly chief executives of major
companies, to urge lawmakers to reduce the national debt.
The Campaign to Fix the Debt, a non-partisan campaign founded
by former deficit commissioners Al Simpson and Erskine Bowles,
released a joint statement to Washington today signed by Bill
Ackman of Pershing Square Capital Management, Tom Steyer of
Farallon Capital Management, Lee Ainslie of Maverick Capital
and John Burbank of Passport Capital,
"In order to develop a fiscal plan that can succeed both
financially and politically, it must be bipartisan and reforms
to all areas of the budget should be included," said the
statement. "The plan should: Reform Medicare and Medicaid,
improve efficiency in the overall health care system and limit
future cost growth; Strengthen Social Security, so that it is
solvent and will be there for future beneficiaries; and Include
comprehensive and pro-growth tax reform, which broadens the
base, lowers rates, raises revenues and reduces the
In short, the executives are supporting the 2010 Simpson-Bowles
plan for debt reduction that many in Washington have resisted
because of the partisan concessions required, especially
increasing taxes and cutting popular government benefit
Others industry names to sign were Russell Ramsey of
Ramsey Asset Management, Bob Pozen of MFS Investment Management
and Boykin Curry of Eagle Capital Management.
Signatories who lead large money management
firms that offer hedge fund products included Larry Fink of
BlackRock, Jamie Dimon of JPMorgan Chase, Lloyd Blankfein of
Goldman Sachs and Leon Black of Apollo Global Management.