Neel Kashkari, who oversaw TARP –the government’s bailout of big banks during the financial crisis — was named the next president and board governor of the Minneapolis Federal Reserve on Tuesday.
Kashkari is the 4th Fed president sitting on the board to have ties to Goldman. He also joins his Goldman colleagues in having a banking background and not and economic degree.
The three others include: Bill Dudley is head of the New York Fed, Robert Kaplan heads the Dallas Fed, Patrick Harker leads the Philadelphia Fed to round out Goldman alums.
In 2017, four of the five voting governors will be Goldman alums. What could go wrong?
On the bright side for Goldman’s treasury trading desk, when it comes to — perhaps — the first rate rise in 2017. Early this month a Goldman analyst plead guilty to stealing Fed documents for the bank.