Pawlenty now feeding at Wall Street 'trough' he once bashed

Former Presidential candidate taking over as CEO of financial services lobbying group
OCT 25, 2012
Tim Pawlenty, the former Republican governor of Minnesota who criticized Wall Street while running for president last year, is joining the Financial Services Roundtable as president and chief executive officer. Pawlenty, 51, will take over from the retiring Steve Bartlett as CEO of the Washington-based group that represents 100 of the biggest financial-services companies, including JPMorgan Chase & Co., Bank of America. Corp. and Citigroup Inc. The new job means quitting his post as national co-chairman of Mitt Romney’s presidential campaign, Pawlenty said today. In a Bloomberg Television interview last year before he ended his presidential run and joined Romney’s campaign, Pawlenty said his “truth message to Wall Street is going to be, ‘Get your snout out of the trough’.” He was viewed as a potential Romney running mate before the former Massachusetts governor selected Representative Paul Ryan of Wisconsin. “Obviously, I was one of the voices saying we need to fix the problems,” Pawlenty said in an interview today. “There’s been an attempt to fix them. Now we just need to make sure they don’t overreach and stifle economic investment and job growth.” Pawlenty, who campaigned as a “Sam’s Club Republican” concerned with issues affecting the middle class, will represent the interests of the large financial firms across a broad range of business, from insurance giants such as State Farm Insurance Cos. and money managers including BlackRock Inc. to payment networks like Visa Inc. He informed the Romney campaign in the last few days that he’d be stepping down, he said. ‘Terrific Opportunity’ “My role with the campaign was as a volunteer, so I didn’t have any official day-to-day responsibility,” Pawlenty told reporters today in Washington. “They were very gracious and said it’s a terrific opportunity, understood the need to make a career decision.” In a statement, Romney called Pawlenty a “dear friend” who brought “energy, intelligence and tireless dedication to every enterprise in which he’s ever been engaged.” “While I regret he cannot continue as co-chair of my campaign, his new position advancing the integrity of our financial system is vital to the future of our country,” Romney said in the statement. Pawlenty, who begins work in his new job Nov. 1, joins the trade group as it works to influence implementation of the Dodd- Frank Act, the 2010 law enacted in response to the worst financial crisis since the Great Depression. “We went through a big crisis, had a big reform take place,” Pawlenty said in the interview today, adding that the job now is to insist the changes don’t discourage capital deployment and employment growth. “It’s not a question of repealing Dodd-Frank. It’s a question of refining it,” he said. Tom Wilson, the Allstate Corp. CEO who serves as chairman of the roundtable, lauded Pawlenty in the group’s statement as a highly successful chief executive who will create win-win solutions and push for firm-but-fair regulation. --Bloomberg News--

Latest News

IRA assets swell to $19.2 trillion as 401(k) rollovers drive growth
IRA assets swell to $19.2 trillion as 401(k) rollovers drive growth

IRAs now hold nearly twice the assets of 401(k) plans — and most of that money didn't arrive through annual contributions.

Women feel confident about saving, but many still keep cash in low-yield accounts
Women feel confident about saving, but many still keep cash in low-yield accounts

A new survey finds that many women prioritize financial security but continue to leave savings in accounts that may not keep pace with inflation.

SEC seeks comment on prediction-market ETFs after May pause
SEC seeks comment on prediction-market ETFs after May pause

Roundhill, Bitwise and GraniteShares funds remain on hold while the agency weighs how novel ETFs should be regulated.

Dump investment banks, buy alternative asset managers, says Oppenheimer
Dump investment banks, buy alternative asset managers, says Oppenheimer

"Shares of alternative assets managers have lagged this year as investors grow wary of private-credit exposure."

TaxStatus rolls out rules-based tool to flag advice gaps
TaxStatus rolls out rules-based tool to flag advice gaps

The fintech platform is touting a new AI-free Planning Observations feature, which draws on IRS tax records to uncover opportunities for advisors.

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income

SPONSORED Why direct indexing stopped being optional

Direct indexing is on pace to outgrow ETFs and mutual funds. Northern Trust's Ken Lassner explains why the advisors who get it wish they had started sooner.