New York City Education Finances Will Be Run By Ex-Bear Stearns Executive


The rule on Wall Street is that when things get really bad, you step away and hope to come back in a brighter day. Sure fortunes will be made while there is blood on the streets or at least writedowns on the sheets but the legendary success tactic of fiddling with hedges while the market burns is largely an illusion of survival bias. We remember the victors but the casualties are often unsung. Far better to batten down the hatches and wait it out.
Former Bear Stearns managing director George Raab understands the rule. Today the New York Sun reports that the New York City Department of Education has hired a Raab to be its new CFO. Raab will probably take down $180 thousand a year, a small fraction of what he likely earned at Bear, to oversee the DOE's $20 billion.

Education Department Selects New CFO
[New York Sun]