President Trump is preparing to nominate Richard Clarida, a PIMCO managing director and Columbia University economics professor, to serve as the Federal Reserve’s vice chairman, according to the Wall Street Journal.
Clarida is a moderate Republican in line with Trump’s previous Fed nominees, and would become the highest ranking academic on the Fed board. He’d serve as the deputy to Fed Chairman Jerome Powell in a spot that’s been vacant since October 2017.
Clarida has been an economics professor at Columbia since 1988, and joined PIMCO in 2006, where he serves as a director and strategic adviser. He served as the assistant Treasury secretary for economic policy from 2002 through 2003.
If confirmed, Clarida would become Trump’s second addition to the Fed. His decades at Columbia are meant to compliment Powell’s deep knowledge of financial markets but lack of academic experience. Powell is the first Fed chair in than 30 years without a phD.
Clarida’s background resembles Powell’s and Trump’s other addition, Vice Chairman for Supervision Randal Quarles in other key ways. Powell and Quarles, like Clarida, served as top Treasury aides under Republican presidents and have resumes boasting major investment firms. Clarida also worked at investment firm Credit Suisse and Grossman Asset Management.