Alaska’s Sovereign Wealth Fund CEO Resigned Abruptly Following Leaked Emails

Gabrielle “Ellie” Rubenstein, daughter of Carlyle Group Inc. co-founder David Rubenstein, resigned from her position as Vice Chair of Alaska’s sovereign wealth fund amid claims that she improperly affected investment decisions. Her resignation, effective August 1, was announced during a Board meeting this week, catching some trustees off guard.

Rubenstein’s role involved introducing staff to potential investment managers, though no investments were made with those she referred to, according to her spokesman. The resignation’s timing, disclosed during a lengthy meeting, accentuates the discord among the Board’s six members. Trustee Craig Richards criticised the situation as a “coup,” noting that Rubenstein was permitted to vote on new leadership before resigning.

Adam Crum succeeded Rubenstein as Vice Chair and Chair of the Governance Committee, while Ethan Schutt stepped down as Board Chair, replaced by Jason Brune. Schutt will remain on the Board. The Alaska Permanent Fund, which manages about $80 billion from oil revenue, is revising its investment referral and Board communication processes, with initial changes approved and a full proposal expected in September.

Earlier reports revealed Rubenstein had facilitated meetings between investment staff and managers she knew, including her father, raising concerns about conflicts of interest. This led to investigations and calls for further scrutiny from board members, state lawmakers, and the public. Rubenstein is also CEO of Manna Tree Partners. She defended her actions, urging scepticism about the leaked information. Board members and Alaska Governor Mike Dunleavy commended her contributions and expertise in global financial markets.