How did Jeffrey Epstein, a man who dropped out of college and started as a math and physics teacher, amass an enormous fortune?
This man, who comes from a working-class family from Coney Island, New York, was, at least in the beginning, quite lucky.
Through connections, Epstein landed a job at the investment bank Bear Stearns, which opened the door to the world of high finance. He was promoted to limited partner at the firm in 1980.
After five years, he left the bank, but used the contacts and experience he gained there as proof of his credibility.
A man of mystery and finance
After leaving Bear Stearns, Epstein's name appeared more and more frequently in financial circles, but it was difficult to say what he actually did.
“He was a code,” Charles Gasparino, a senior correspondent for Fox Business Network, recounted in the 2020 Netflix documentary “Jeffrey Epstein: Filthy Rich.”
Wall Street people usually leave traces, but Epstein was elusive.
"He was a guy who was talked about a lot, but who didn't really have a visible footprint in the investment world," Gasparino added.
Epstein's alleged ties to the Ponzi scheme
Steven Hofenberg, former CEO of Towers Financial Corporation, claimed to know part of the story.
In the late 1980s, he hired Epstein, who, as he told Netflix, became his “partner in crime.” Hofenberg ran what later turned out to be a $460 million Ponzi scheme.
"Epstein took over the securities business, faked assets, manipulated stock prices and traded illegally," Hofenberg said.
It all came crashing down in 1993. Hofenberg pleaded guilty and was sentenced to 20 years in prison. Epstein was never charged, so it's hard to say what role he played or how much he profited.
Relationship with Les Veksner
In the mid-1980s, Epstein met Les Wexner, a retail mogul from Columbus, Ohio, who was behind brands such as Victoria's Secret and The Limited.
Epstein posed as a financial advisor and gained access to Wexner's finances in 1991. He took over management of Wexner's personal finances, paid himself handsomely, and acquired an entire real estate portfolio, as well as a private jet.
They separated in 2007, when the Epstein scandal broke. It was only then that Wexner discovered that Epstein, as he later wrote, had "embezzled enormous sums of money from me and my family."
Where did Epstein's initial wealth come from?
According to a recently released report by US prosecutors, Epstein stole or misappropriated several hundred million dollars that belonged to Wexner.
"This misconduct, coupled with the fees he paid himself for services to Wexner, appears to account for virtually all of Epstein's wealth," the report said.
Epstein sold Wexner's private jet to himself for a fraction of its value. He did the same with a luxury New York City home. He also bought real estate in Wexner's name and then resold it to himself at a discount.
Epstein returned $100 million to Wexner in a private settlement in 2008—rather than face a public trial. Wexner severed all ties with him, but never filed a formal complaint.
Yet Epstein walked away with the assets and a huge amount of cash. Because Wexner didn't speak publicly about it for more than a decade, no one knew what really happened.
How Epstein used Wexner's connections
Wexner gave him something else: credibility. Because if one Wexner trusted Epstein, so could others. Epstein used that to gain access to an ever-widening circle of powerful people.
He didn't hesitate to mention names like Clinton or Rockefeller. It seemed to work, and prominent people like private equity billionaire Leon Black were drawn into his network.
There have been quiet allegations of excessive fees or exploitation over the years, but Wexner seems to be the only one to publicly say he was ripped off.
The role of J.P. Morgan and Deutsche Bank
Even after he became a registered sex offender in 2008 and spent time in prison, many people still came to him for advice. This is confirmed by the latest documents from the US Department of Justice.
Many companies were happy to do business with him. His banks were particularly under scrutiny. Epstein used J.P. Morgan from 1998 until 2013, when his accounts were closed.
Ten years later, without admitting guilt, the bank paid $75 million in a settlement with the Virgin Islands and $290 million in a settlement with a group of Epstein victims.
After leaving JPMorgan, Germany's Deutsche Bank opened an account for him in 2013. He later had around 40 accounts before the bank severed ties shortly before his death.
The bank expressed regret over its ties to Epstein and agreed to pay $75 million in a settlement with a group of victims – also without admitting guilt.
What happened to Epstein's fortune?
Jeffrey Epstein was arrested on July 6, 2019, and charged with trafficking minors for the purpose of sexual exploitation. He was found dead in his prison cell on August 10 of the same year.
When his will arrived for probate in the Virgin Islands – where he had a residence – it contained a list of assets worth $577 million, including $56,5 million in cash, nearly $194 million in hedge funds and private investments, and $112 million in stocks.
There were also companies that owned his properties in the Virgin Islands, New Mexico, New York, Palm Beach and Paris.
However, taxes, maintenance, legal fees, and large settlements have significantly diminished the assets. That hasn't stopped people from trying to explain where it all came from.
The New York Times concluded a months-long investigation in December 2025. After reviewing thousands of pages of documents, they concluded that Epstein built his fortune through "fraud, theft and lies."
“Epstein was less a financial genius and more an extraordinary manipulator and liar,” the paper said. “Again and again, he was willing to operate on the edge of crime and burn bridges in pursuit of wealth and power.”
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