Chapter 4

The Warburg Brothers & World War I

Two brothers from one of Europe's most powerful banking families found themselves on opposite sides of the Great War — one advising the Kaiser, the other shaping American financial policy.

Veritas Worldwide · March 2026 · 1914–1919

World War I

C HAPTER FOUR | 1914 – 1919 The Warburg Brothers & World War I Paul Warburg designed the Federal Reserve and served on its first board. His brother Max was the chief financial adviser to the German Kaiser and helped finance the German war effort. They were on opposite sides of the deadliest war in history — yet remained in close contact throughout. This chapter examines what the documented record shows.