The famed Koch brothers, major players in conservative politics as well as the heads of Koch Industries, have discreetly opened a family office to help them manage their vast personal finances.
The two, who shares ninthplace on Forbes billionaires list, have quietly opened a family office called 1888 Management under the umbrella of Koch Industries, reported Bloomberg. They are worth an estimated $42.3 billion each.
That puts David Koch, the 75-year-old executive vice president, and his elder brother, Charles Koch, the 80-year-old CEO of Koch Industries, in the same group as other ultra-wealthy individuals who have placed at least part of their personal wealth under someone else to manage and grow.
That list includes Alphabet Inc. co-founder Sergey Brin, Microsoft co-founder Bill Gates, and hedge fund titan Bill Ackman, who, under the technical definition of a family office, can use the operation to juggle daily finances, such as buying the groceries and hiring household staff, to investing the wealth for their children’s future, Bloomberg reported.
Household savings are unlikely to be the focus of 1888 Management.
A person familiar with the matter reported that 1888 Management currently manages about $2 billion, although a regulatory filing found by Bloomberg showed just $100 million in publicly traded stocks.
Trent May, 52, is the firm’s CEO, a man who pushed millions of dollars toward hedge funds while working at the $6 billion Wyoming Retirement System. He’s now focused on investing directly in companies where the firm can buy a sizable stake, Bloomberg reported a person familiar with the matter saying.
According to a regulatory filing in Florida last year, the company has seven members on the board. Executives from Koch Industries: Controller Richard Dinkel, CFO Steven Feilmeier and Treasurer David May. Family members Anna B. Koch, and Elizabeth B. Koch, and Jason Kakoyiannis.