Kevin Warsh, President Donald Trump‘s pick to head the Federal Reserve, has earned over $1 million since 2020 as a member of the board of e-commerce company Coupang, now at the center of trade tensions between the U.S. and South Korea.
Warsh has served on the board of the Seattle-based company since October 2019, earning nearly $325,000 in total compensation each year since 2022. The company has been under investigation by South Korean regulators after a mass data leak, but some U.S. investors have asked the Trump administration to scrutinize the probe, which they say discriminates against an American company. Vice President JD Vance and South Korean Prime Minister Kim Min-seok discussed the issue last week, days before Trump announced a sharp increase in U.S. duties on South Korean autos and other imports to 25% from 15%, saying Seoul was not living up to commitments under a trade deal reached last year. South Korean officials are in Washington this week to discuss the trade deal, but have failed to resolve the dispute
Warsh, 55, is a former Fed governor who currently lectures at Stanford University.
Fed bars outside work, no comment on Warsh holdings
The Federal Reserve Act bars members of the Fed’s Board of Governors from other employment, stating “members of the Board shall devote their entire time to the business of the Board.”
The White House had no immediate comment on whether Warsh would be required to divest any holdings, or when that could occur. Warsh did not respond immediately to questions about his intentions. The Fed also did not respond immediately.
Fed ethics curbs jobs, bank ties and personal trading
The Federal Reserve’s rules ban any member from holding positions or stock in any bank, banking institution, or trust company. They are generally ineligible to work for a member bank for two years after serving unless they completed a full term. Under rules strengthened a few years ago after a trading scandal resulted in the resignations of two regional reserve bank presidents, Fed officials are barred from purchasing individual stocks or entering into derivatives, or from holding individual bonds and agency-backed securities. New members of the Fed have six months from their start date to come into compliance.
Warsh, who served on the Fed Board of Governors from 2006-2011, has also served on the board of UPS since 2012, where his compensation has ranged between nearly $285,000 and $305,000 from 2021-2024, the latest data available.