5 Most Profitable Hedge Funds in the World

In this article, we will be taking a look at the 5 most profitable hedge funds in the world. To see more of these hedge funds, you can go directly to see the 15 Most Profitable Hedge Funds in the World.

5. Soros Fund Management

Net Gains Since Inception: $43.9 billion

Soros Fund Management was founded by George Soros in 1970. At present, the company is structured as a family office, but it formerly operated as a hedge fund. It handles a portfolio valued at $6.5 trillion.

We have added Soros Fund Management to our list in light of its historic performance as a hedge fund which has been immensely positive. The company’s net gains since inception amount to $43.9 billion.

4. Millennium Management

Net Gains Since Inception: $50.4 billion

Israel Englander founded Millennium Management in 1989. The hedge fund has a portfolio worth about $174.4 billion, and it is made up mostly of technology, services, materials, and financial companies, among others.

Through 2022, Millennium Management generated net gains of $8 billion and a return of 12.4%. Relative to the S&P 500’s 18.11% decline, the fund outperformed in 2022. As of December, the fund had $60 billion in assets under management.

3. D.E. Shaw

Net Gains Since Inception: $51.9 billion

D.E. Shaw was founded by David E. Shaw in 1988, and it currently manages a portfolio worth about $93.4 trillion. The fund’s portfolio includes tech, services, and financial companies, among more.

The fund reported net gains of $8.2 billion in 2022, returning 24.7% for the year. The S&P 500, in comparison, declined by 18.11%, allowing D.E. Shaw to outpace the benchmark.

2. Bridgewater Associates

Net Gains Since Inception: $58.4 billion

Ray Dalio’s Bridgewater Associates is one of the oldest operating hedge funds today. It manages a portfolio worth about $16.4 trillion.

As of January, Bridgewater Associates has $123.5 billion in assets under management, and the fund generated net gains of $6.2 billion in 2022.

1. Citadel Investment Group

Net Gains Since Inception: $65.9 billion

Citadel Investment Group was by far the most profitable hedge fund in 2022, generating net gains of $16 billion for the year. Its return of 38.1% far outweighs the negative 18.11% return of the S&P 500 for the year.

The fund was founded by Ken Griffin in 1990, and as of this December, it has $62.3 billion worth of assets under management.

See also Growth Stock Portfolio: Hedge Funds’ Top Picks and S&P 500 Dividend Aristocrats List: Sorted By Hedge Fund Popularity.