Fed chair discloses wife's transactions in pet-care investments

By Michael S. Derby

Nov 11 (Reuters) - Federal Reserve Chairman Kevin Warsh's financial disclosure forms made public on Wednesday reported transactions on behalf of the central bank leader’s wife, Jane Lauder, related to a firm that invests in pet-care brands.

Two filings on the US Office of Government Ethics website under Warsh’s name list transactions in August and September in funds under the firm TAW LLC.

According to its website, TAW Ventures, founded by Lauder and named after Lauder’s “beloved” goldendoodle Thaddeus Alistair Warsh, invests in companies promoting pet wellness, and its portfolio includes veterinary dental services, dog food and treat makers and supplements for dog-brain health.

The investments reported have names like TAW Fund I-A LLC: LymeAlert Inc, a maker of at-home test kits for Lyme disease, and TAW Fund I-A LLC: Grub Club Pets Ltd, a UK bug-based pet food company.

“This was a spousal transaction,” a spokesperson for the Federal Reserve said.

Footnotes on the disclosure forms said the transactions involved equity and warrants and were valued from $400,000 to $900,000.

Lauder said on the firm’s website that in summer 2024 her dog had health challenges she associated with veterinarian-prescribed medication, and once the drugs were discontinued, the dog returned to health.

“Having spent nearly 30 years in Prestige Beauty at the Estée Lauder Companies, I know firsthand the critical importance of science-backed research and clinical testing,” Lauder said.

The transactions listed in the disclosures were approved by government ethics officials, according to the forms.

Fed ethics rules were tightened in 2022 in the wake of a trading controversy involving some central bank officials.

Fed officials, top staff and their immediate families now face tight restrictions on what they can own and how they can change their investments. The rules are designed to assure the public that officials are setting policy based on the national interest rather than their personal finances.

Warsh, who became Fed leader in May, came to the office as the richest person to ever hold the role. To comply with government and central bank ethics rules, the Fed leader has reported millions in sales of investments.