BOSTON (Reuters) – The world’s 20 best-performing hedge funds earned $ 63.5 billion for customers in 2020, setting a record in the last ten years during a chaotic period in which technology-driven stocks spectacular rise since pandemic-induced selling, LCH Investment data shown.
As a group, the most successful managers earned half of the $ 127 billion that all hedge funds made last year, reported LCH Investments, a fund-raising fund company that tracks returns. is part of the Edmond de Rothschild group.
Despite the pandemic that triggered a historic sale of stock markets in March, closed large sectors of the economy and swallowed millions of jobs, the top 20 hedge funds exceeded their 2019 returns of 59.3 billion dollars. While 2020 was not as profitable as the previous year for hedge funds in general, it saw profits fall from $ 178 billion in 2019.
According to Hedge Fund Research, the average hedge fund returned 11.6% in 2020, lagging behind the 16% gain in the S&P 500 index.
“The net profits generated by the top 20 executives for their investors, of $ 63.5 billion, were the highest in a decade. In that sense, 2020 was the year of the hedge fund, ”Rick Sopher, president of LCH, said in a statement.
Last year’s biggest winners include Chase Coleman’s Tiger Global, which grossed $ 10.4 billion, Israel Englander’s Millennium, which grossed $ 10.2 billion, and Steve Mandel’s Lone Pine, with $ 9.1 billion of dollars. Andreas Halvorsen’s Viking Global Investors earned $ 7 billion and Ken Griffin’s Citadel $ 6.2 billion, according to LCH data.
Ray Dalio’s Bridgewater Associates, founded in 1975, has remained at No. 1 since its inception, earning $ 46.5 billion, even after a terrible 2020 during which LCH data show that Dalio went lose $ 12.1 billion.
George Soros ’Soros fund management, which no longer manages money for external clients, remained in No. 2 spot followed by Mandel, Griffin and DE Shaw executives who completed the top five performers of all time.
In 2020 only Paulson & Co. lost money. of Dalio and John Paulson, who won billions in real estate bets during the financial crisis.
Jim Technologies’ Renaissance Technologies, often ranked among the most successful funds in the world because of the returns on its Medallion portfolio, fell out of the top 20 performers after funds it offered to outsiders fell by 20% to 30%. ‘last year.
“Conditions favored the man over the machine and it was remarkable that Renaissance Technologies, a machine-driven administrator, has fallen out of the top 20,” Sopher said.
Svea Herbst-Bayliss Reports; Edited by Daniel Wallis