For David Einhorn, the path toward becoming a billionaire as the founder and leader of Greenlight Capital began after his marriage to his wife, Cheryl Strauss Einhorn. However, while Greenlight Capital is still going strong over two decades later, Einhorn's marriage is in a different situation. According to reports by the Daily Mail and other sources, Einhorn and his wife has separated and are planning to divorce. While a divorce is a difficult legal and financial preceding for any couple, in the case of a billionaire like Einhorn, the matters can get even more complicated to sort out.
Rye, New York Estate is at Stake
Among many other things, the 10,000 square foot estate home in Rye, New York that the Einhorn family has shared for many years will be at stake in the upcoming divorce. Einhorn, who has a net worth of more than $1.5 billion thanks to his years of success with Greenlight Capital, will also have to deal with the complications that the separation and divorce will have on his personal finances, and on his three children. Einhorn is also rumored to have a large vault of gold at a hidden location in New York City, which Greenlight Capital uses as a means of hedging against inflation.
Cheryl Strauss Einhorn can be credited with devising the name "Greenlight" when her husband launched the fund in 1996, three years after their marriage. She works as a media consultant and financial reporter and has taught courses at Columbia University. Together, the Einhorns have made a name for themselves among the nation's wealthiest for their extensive philanthropic work. Together, the Einhorn's founded the Einhorn Family Charitable Trust in 2002, with intentions of "building a more peaceful and harmonious society."
Many Hedge Fund Marriages Failing
David and Cheryl Strauss Einhorn are just the latest in a string of prominent hedge fund marriages which are faced with difficulties. Most recently, in December of 2016, billionaire Bill Ackman of Pershing Square separated from his wife of 25 years, Karen Ann Herskovitz. In 2015, Citadel founder and billionaire Ken Griffin made headlines for his high profile divorce from then-wife Ann Dias-Griffin.The Griffin divorce involved a last-minute settlement, saving both partners a long, protracted court battle.
Is there a reason why so many prominent hedge fund managers have been getting divorced in recent years? Not necessarily, although one can certainly speculate that the difficult climate facing hedge funds across the country may have contributed to overall levels of stress and concern, even at the highest levels of management. It's not a stretch to imagine these difficulties at work translating into tension between married couples. Both Einhorns have so far not made any statement about their separation.