It’s official– Jared Kushner is becoming the latest senior Trump administration official to dive back into finance. His new company, Affinity Partners, will be based in Miami, near Trump’s beachhead at Mar-a-Lago, instead of his native New York. Reuters and the Wall Street Journal have both described the firm as a departure from politics, but if Jared is anything like his former colleagues, he’ll find it difficult to leave politics behind.
Take former Commerce Secretary Wilbur Ross, who also recently launched a new investment vehicle, Ross Acquisition II. Ross has a long history in finance, but this time he’s joined forces with former trade advisor Larry Kudlow as well as two former Commerce Department officials who have been retained as “executive advisors” while the company explores potential deals.
Or Mick Mulvaney, who led the Office of Management and Budget before serving as White House Chief of Staff. He is launching Exegis Capital, a new hedge fund seeking to invest in the banking sector. Mulvaney has been particularly explicit about his strategy. “Politics is going to be a very turbulent thing for the near future” he told one interviewer, “and I think it creates opportunities for those who understand how Washington works to provide an advantage over everybody else.”
Some of the dealmaking even has an international flair.
Former Treasury Secretary Steve Mnuchin, who visited the Middle East in October and January as part of an official effort to promote commercial ties with the US, returned to the region in the spring, this time to raise money for his new firm, Liberty Strategic Capital. His rolodex was apparently bolstered by his public service. Mnuchin planned to approach a number of sovereign wealth funds in the Persian Gulf, the Washington Post reported. According to Axios, Mnuchin also approached David Friedman, who served as Trump’s ambassador to Israel, and ex-Mossad boss Yossi Cohen about joining the firm. Liberty recently completed its first investment in Cybereason, an Israeli cybersecurity firm looking to expand into the US.
Perhaps even more than Mnuchin, Jared Kushner played an important role in shaping key aspects of the Trump administration’s foreign policy. He was a key player behind the Abraham Accords, the administration’s much-vaunted peace plan between Israel and major Arab states, as well as new trade agreements with Canada and Mexico. While Kushner has so far been mum about his new company’s plans, he is considering opening an office in Israel, according to the Wall Street Journal.
Kushner’s investments and ethics filings were a frequent source of controversy for the administration. Likewise, Wilbur Ross faced scrutiny over investments in shipping companies he maintained despite promises to divest.
Boutique finance has become a popular perch for the revolving-door set. Secretary of State Antony Blinken and Secretary of Defense Lloyd Austin helped launch Pine Island Capital, a defense-focused investment firm, between stints in the government. Ron Klain, Biden’s chief of staff, joined the administration from Revolution LLC, a venture capital firm helmed by DNC megadonor Steve Case. Now, with Trump and several of his allies weighing potential White House bids, his former aides have the opportunity to follow suit.
Jacob McLeod is a director of research at Government Accountability Institute. Follow Jacob McLeod on Twitter @tweetsbymcleod.
