Gabriel Plotkin is an American businessman and entrepreneur who founded Melvin Capital Management LP. He currently serves as the Chief Investment Officer of the hedge fund that he established.
He has received a great deal of attention in the recent wake of the GameStop investment debacle that resulted in billions of dollars in debt for hedgers shorting the stock. If you're hearing his name for the first time, here are 10 things you didn't know about Gabe Plotkin to bring you up to speed.
1. Plotkin is a college graduate
According to Wikipedia, Gabriel Plotkin is a college graduate. He enrolled in courses at Northwestern University. There he earned his bachelor's degree in Economics, graduating in 2001.
2. He worked as a trader out of college
After he graduated from Northwestern, Gabriel accepted a job at SAC Capital. His official title was a trader. He was in charge of managing a portfolio of consumer stocks. This was a job with a lot of responsibility as he handled the stocks that were valued at approximately $1.3 billion.
3. Gabriel Plotkin Faced Legal Issues at SAC
When Plotkin was still employed at SAC Capital a scandal broke out. Federal prosecutors alleged that he was the recipient of illegal insider information. This was a serious crime.
He was involved as a person of interest in the case that was investigated by the Securities and Exchange Commission. He was called Portfolio Manager B in the scandal.
While his coworker was arrested and charged with the crime, Plotkin was not, however, it was alleged that he forwarded multiple emails that contained the illegal information.
4. He left SAC to Start Melvin Capital
Toward the end of 2014, Plotkin left SAC to establish his own company. This was not long after the legal trouble and allegations of wrongdoing by the SEC. He established Melvin Capital, a fund that was named in honor of his late grandfather.
Gabe Plotkin raised almost a billion dollars for the fund. It is known for its short-selling strategies. It wasn't' long before the fun operated with over a billion in assets under its management.
5. Gabriel's company suffered a big loss in 2021
In the early part of 2021, Melvin Capital experienced a loss of more than 30 percent because of short betting. GameStop was just one of the shorts that went south on the company.
The subreddit users of WallStreetBets took the long position on the stock and rumors of bankruptcy began to circulate. It covered its short position on the stock, but the precise amount that Melvin Capital lost in the deal has not fully been disclosed. At last update at the end of January, Plotkin's hedge fund was down by 53 percent.
6. Gabe grew up in a Jewish home
We learned from WikiProject Topics some facts about Gabriel Plotkin's early years. He is Jewish. He was raised in a Jewish household, but not much more about his personal beliefs are known.
7. Gabriel Plotkin is Not on Social Media
You will not find Mr. Plotkin on social media. Numerous searches have not turned up any official social media accounts that are accessible by the public. He has literally no presence on social media on any of the platforms. If you try to look him up on Twitter or Instagram, you might find people with the same name, but it won't be him.
8. He is a family man
Gabriel Plotkin has a rich personal life as well as a busy career. Mr. Plotkin is married to Yaara Bank-Plotkin. She is a native New Yorker. The couple married in 2006 and are still together. They have a son named Eytan Shmerel. Both are natives of the East Coast. Gabriel was on in Portland, Maine and this is where he grew up.
9. Gabriel Plotkin Reportedly has a Net Worth of $300 Million
Although Plotkin's hedge fund recently took a terrible hit, sources confirm that he's still got his head above water. The rumors of bankruptcy were found to be untrue. He covered the shorts and is continuing to move forward in his business despite the loss.
This is a calculated risk that can happen at any time, and all hedge betters realize that there is no such thing as a sure deal, so they have contingency plans.
Plotkin is still reported to have a net worth of about $300 million, which qualifies him as a very rich man. In the hedging end of the financial industry, fortunes are made and lost with frequency.
He still manages assets of around $12.5 billion through Melvin Capital. On top of that, he holds shares in Amazon of an undisclosed amount and about $20 million in Bath and Body Works. He's still in business and going strong.
10. Gabriel Plotkin is Passionate about Israel
According to Chabdic, Mr. Plotfin and his wife both Yaara are both passionate about the land of Israel. They are associated with the Chabad Israel Center.
The couple engages in some of their favorite activities with their son including sporting events and petting zoos, like any other family, but they feel a strong sense of community and they are dedicated to doing what they can to support the Jewish Community through their efforts in a partnership with Chabad.
They seek to provide assistance to improve the lives of Israel's terror victims and wounded soldiers. They participate in annual support drives for this purpose. This shows that Mr. Plotkin has a strong sense of his Jewish roots and loyalty to the people who live in his local community as well as for his ancestral ties to Israel.
He has a generous heart when it comes to helping those who are in need. It is its type of kindness that makes the world a better place to live. He may be ruthless in business dealings, but at the end of the day, he's just a regular guy who loves his family and supports worthy causes with the fruits of his labors.
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Written by Allen Lee
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