Who

Tepper runs Appaloosa Management, a $7 billion hedge fund that specializes in buying up stakes in distressed companies.

Backstory

The son of an accountant and public schoolteacher, Tepper was a high school football and drama standout, and began investing during his undergrad years at the University of Pittsburgh. After picking up an MBA from Carnegie Mellon, he started his career at Republic Steel and Boston's Keystone Mutual Funds before joining Goldman in 1986. He went on to run the firm's bond desk, but after he was passed up for partner three times in a row—a decision he attributes to internal politics—he bolted, setting up his own hedge fund, Appaloosa Management, in 1993. Tepper's Chatham, New Jersey-based firm currently has more than $7 billion under management.

Of note

Until 2007, Appaloosa had generated annual returns of 30 percent or more, including a stunning 150 percent return in 2003. In 2005, the fund bought a big stake in Delphi, becoming one of the largest holders of its shares and bonds, and later led a highly-publicized bid to acquire the auto parts manufacturer, teaming up with Steve Feinberg's Cerberus Capital and Phil Falcone's Harbinger Capital to carry out the transaction. In April 2008, Tepper announced he was abandoning the plan. But that hasn't been the only disappointment for Tepper as of late. His fund dropped nearly 20 percent in the first quarter of the year following bad investments amid the global credit crisis.

Keeping score

Tepper is worth an estimated $1.8 billion, according to Forbes.

Pet cause

In 2004, Tepper donated $55 million to Carnegie Mellon's business school. The school now carries Tepper's name.

Personal

David has been married to Marlene Tepper since 1986. They have three kids, Brian, Randi and Casey. For a billionaire, he doesn't live very large: the family lives in a two-story home in Livingston, NJ that he purchased more than 16 years ago and Tepper's greatest indulgence seems to be season tickets to the New Jersey Devils.

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