Just days after reports surfaced of trading activities that could be considered as a conflict of interest, Boston Fed President Eric Rosengren abruptly resigned nine months ahead of his original retirement date, citing “health concerns,” Fox Business reported.
Rosengren made a career as a well-known staple at the Boston Fed, having spent the past 35 years there, with 14 of those years as its president.
The shocking announcement came not long after reports surfaced of both Rosengren Dallas Fed President Robert Kaplan having engaged in trading activities that haven’t been classified as illegal, but in the opinion of many, posed a conflict of interest, given their positions in the industry.
“Rosengren made as many as 37 separate trades in four Real Estate Investment Trusts as the Federal Reserve bought hundreds of billions of dollars of Treasurys and mortgage-backed securities to help cushion the U.S. economy amid its sharpest slowdown of the post-World War II era,” Fox Business’ Jonathan Garber wrote.
His controversial trading activity reportedly occurred during the peak of the COVID-19 pandemic last year.
However, Rosengren insisted in his resignation letter that due to a turn of events as a potential kidney recipient, he was forced to hang up his career early.
“In a message to the Bank’s staff, Dr. Rosengren revealed for the first time that he qualified for the kidney transplant list in June of 2020, during the pandemic, upon the worsening of a kidney condition he has had for many years,” a statement from the Federal Reserve Bank of Boston noted.
It added: “Delaying the need for dialysis might be improved if he makes lifestyle changes now to lessen the risks of his condition.”
While we’ll likely never know if there’s more behind his sudden departure from the Boston Fed, a quick scroll through social media revealed that many believe what he did is just another example of how many believe the game is “rigged” and needs to be fixed immediately.