Forbes has released its 2023 World’s Billionaires list, revealing that the 20 richest hedge fund billionaires have a combined net worth of $245 billion, up $4 billion from the previous year. Ken Griffin, the founder and CEO of Citadel, tops the list with an estimated net worth of $35 billion, an increase of $7.8 billion from the previous year. Citadel’s flagship Wellington fund gained 38% in 2022, generating net gains of $16 billion for investors, pushing Citadel’s net gains since inception to an unparalleled $65 billion. Nine of the ten wealthiest hedge fund managers on the list are from the US, with the richest overseas investor being Michael Platt, whose BlueCrest Capital Management generated at least 25% returns in every year since 2016 and claimed a record return of 153% in 2022. Some hedge fund managers had a difficult year, particularly those specializing in long tech investments, such as Tiger Global and Viking Global Investors, whose net worth’s decreased from the previous year. We are going to List out the Top 5 Whales to take a look at who they are.
First up, we have Ken Griffin, founder of Citadel. His multi-strategy firm now manages $57 billion in assets and is separated from its peers due to several years of outperformance. Citadel Securities, a market-making firm, handles more than 25% of all U.S. stock trades. Griffin has a net worth of $35 billion and is considered the envy of the hedge fund industry.
Next on our list is Jim Simons, founder of Renaissance Technologies. His quantitative trading firm manages some $50 billion in assets and is famous for its Medallion Fund, a $10 billion black-box strategy only open to Renaissance owners and employees. Although Simons officially retired in 2010, he is still involved with the firm and continues to benefit from its funds. Simons has a net worth of $28.1 billion.
Ray Dalio, founder of Bridgewater Associates, started his hedge fund firm in 1975 out of his two-bedroom apartment in New York. He turned it into the world’s largest hedge fund firm, managing $124 billion in assets. Dalio retired as co-CEO of Bridgewater in 2017 and stepped away as chairman and co-chief investment officer in 2021 and 2022, respectively, and the firm’s assets have taken a hit during the transition. Dalio has a net worth of $19.1 billion.
David Tepper runs Appaloosa Management, which boasted annualized returns of 25% in its first 25 years. He steadily returned money to clients over the last decade and now operates Appaloosa as a family office with $14 billion in assets. He bought the NFL’s Carolina Panthers in 2018 for $2.3 billion and has a net worth of $18.5 billion.
Last but not least, Steve Cohen founded Point72 Asset Management, which has $27 billion of assets under management. The firm started managing outside capital in 2018, following a two-year supervisory ban stemming from insider-trading charges leveled at Cohen’s previous firm, SAC Capital. Cohen bought the New York Mets baseball team for $2.4 billion in 2020 and has spent freely on high-profile free agents to make the franchise a championship contender. Cohen has a net worth of $17.5 billion.
These hedge fund managers have a lot of wisdom to share when it comes to investing, and their success stories offer great insights into the world of finance. I advise investors to always do their due diligence before investing and make informed decisions based on market trends and financial news. Remember, success in investing takes time, patience, and a willingness to learn from both successes and failures.
source: Forbes
