How big? Ken Griffin, founder and chief executive of Citadel, speaks during the Milken Institute annual conference in Beverly Hills, California in 2019.
How big? Ken Griffin, founder and chief executive of Citadel, speaks during the Milken Institute annual conference in Beverly Hills, California in 2019. Photograph: Mike Blake/Reuters

The world’s best-performing hedge fund earned $16bn – you read that correctly – in profits for investors last year, the biggest dollar gain in history.

Ken Griffin’s Citadel, which was paid $16bn, moved into the top spot ahead of Bridgewater, which earned $6.2bn, according to data from investment firm LCH Investments.

Hedge funds are generally defined by their ability to make long or short investments and use complex products like derivatives and borrowed money to maximise their profits. When they manage billions of dollars, like Citadel, they can make billions themselves.

From Reuters:

Citadel, which was founded by Griffin in 1990, saw its flagship Wellington portfolio gain 38% last year while its fixed income fund was up 33%, according to a person familiar with the numbers.

That performance made for enormous returns: it charged investors roughly $12bn in expenses and performance fees, the Financial Times reported.

But the gain for the 20 top hedge fund managers was $22.4bn in 2022, which was actually the smallest gain since 2016, according to the LCH data. That was because of some almighty losses for equity funds who had relied on big technology stocks for their returns.

The Financial Times reported that Tiger Global was a big loser – in fact, it was the biggest loser in hedge fund history, according to the LCH data:

It was one of the highest-profile casualties when markets reversed, making $18bn of losses across its funds last year […] According to LCH, this ranks as the biggest annual loss in hedge fund history. LCH’s research does not include Tiger’s private equity business. Tiger Global declined to comment.


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