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Donald Trump’s trade secretary Howard Lunick will sell participations in two listed companies for $ 361 million to comply with the government’s ethics rules.
Wall Street’s investor and the Mega donor of the Trump campaign will sell his BGC and Newmark shares for $ 234 million and 127 million dollars, respectively, the companies announced on Monday.
In addition, Lutnick also transferred his property to Cantor Fitzgerald in trustee for the benefit of his children, to be controlled by his son Brandon Lutnick.
The leaders of Wall Street who join the ranks of the government are often required to disintegrate or place the assets in trust to avoid conflicts of interest. The rules make it possible to make these sales without any immediate tax on the gains in order to attract the best talents without penalizing them to liquidate the assets.
This decision consolidates more control of Cantor Fitzgerald in the hands of Brandon Lungick, who was appointed president of the portfolio company in February after his father was confirmed as Secretary of Commerce.
The 27 -year -old emerges as an increasing force at Wall Street under President Trump. He recently associated himself with Softbank, Tether and Bitfinex on a Bitcoin CHEE -to -Bitcoin company aimed at capitalizing on Crypto renewal under the new administration.
As part of the leadership transition, Cantor appointed Pascal Baclier, Sage Kelly and Christian Wall as co-chefs. In December, the firm also hired Mike Whitaker from Citi as chief of the farm.
On Monday, Cantor also sold two minority participations: one to 26NOTH, the private capital company led by the co-founder of Apollo Josh Harris, and another in Glenn August, founder of the director of credit Oak Hill Advisors.
“While we are entering the next chapter of our business journey, the support of these world class investors highlights confidence in our management team and our growth strategy,” said Brandon Lungick.
Howard Lungick, a longtime ally of Trump, played a key role in training the president’s commercial program, including the negotiation of new tariff agreements with China and the EU.
He was also envisaged for the US Treasury Secretary and was among the best fundraising of Trump 2024, personally giving more than $ 10 million and helping to collect about $ 75 million overall.
Other rich people have used the same mechanism to sell stocks, reducing conflicts of interest but also avoiding millions of dollars in taxes.
Hank Paulson sold nearly $ 500 million in Goldman Sachs shares in 2006 after having become secretary of the Treasury under President George W Bush. To take advantage of the program, gains must be put in American treasury bills or a large common investment fund. Taxes are finally due if these investments are sold later.
