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Who is Nathan Anderson, the man behind short-seller Hindenburg Research

Nathan Anderson, founder of Hindenburg Research, shook the finance world with his bold short-selling reports, exposing corporate fraud and mismanagement in high-profile cases

Nathan Anderson (Photo: X)

Nathan Anderson (Photo: X)

Rimjhim Singh New Delhi

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Founder of Hindenburg Research, Nathan Anderson has announced his decision to disband the US-based investment research firm. Hindenburg’s reports had caused investors to sell stocks and led to investigations that wiped out billions of dollars from companies like India’s Adani Group and the US-based Nikola. 
So, who is Nathan Anderson, the man behind the firm known for exposing fraud in companies?
 
Anderson is known as a key figure in finance, especially for his reports that challenge big companies. He is known for investigating and revealing problems in companies.

Early life and education

Anderson grew up in a middle-class family in the US. He studied international business at the University of Connecticut, where he learned about global markets and finance. During his college years, he became interested in how businesses work and how markets react to what companies do.
 

Career beginnings

After finishing his studies, Anderson worked in finance and data analysis. His first job was as a fact-checker for a financial data company. This job helped him develop a skill for finding mistakes and inconsistencies, which became important in his later work.
 
Anderson also worked in Israel for a technology company that dealt with financial data. His work there helped him understand global markets and how businesses can be vulnerable.
 
Anderson started a brokerage firm catering to hedge funds, focusing on offering due diligence services and fraud assessments. However, by 2017, the firm had amassed just $58,382 in net capital, prompting Anderson’s landlord to initiate eviction proceedings. These challenges prompted Anderson to forgo his brokerage licence and start Hindenburg.

Founding Hindenburg Research

In 2017, Anderson started Hindenburg Research, naming it after the 1937 Hindenburg airship disaster. The name reflects the firm's goal to find companies that are at risk of disaster. Anderson wanted the company to be a watchdog, checking if big companies were being honest and helping investors by giving them important information.
 
Hindenburg Research focuses on finding fraud and problems in public companies. The firm does detailed research and then releases bold reports that accuse companies of wrongdoing. These reports often lead to a drop in stock prices.

Hindenburg Research: Notable cases

Hindenburg Research, under Anderson, has investigated big companies like Nikola Corporation, Adani Group, and Clover Health. In 2020, Anderson’s report on Nikola said the company lied about its technology, which led to investigations and a big fall in its stock price. In 2023, a report on Adani Group caused a global stir and raised questions about corporate transparency. Some people criticise Anderson for ‘profiting from his reports’, but Anderson believes his work is ‘important for keeping markets honest’.

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First Published: Jan 16 2025 | 10:43 AM IST

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