Greatest trade ever? Citadel’s $16 billion haul smashes hedge fund records

London CNN — Citadel is now the most successful hedge fund ever after it made $16 billion last year — the biggest annual windfall on record. The Miami-based fund, founded and run by Ken Griffin, topped the 2022 ranking of the world’s best-performing hedge funds based on estimates from LCH Investments NV. Its huge gains came as many other investors suffered from steep drops in equity and bond markets. Citadel’s record-breaking performance last year took total gains for the fund since its inception to nearly $66 billion. That knocked Ray Dalio’s Bridgewater — with gains of $58.4 billion — off the top spot for the first time in seven years. Dalio’s fund made $6.2 billion last year, bringing total assets under management to $81 billion. Citadel manages $62 billion in assets. “[Citadel’s $16 billion profit] even surpasses [John] Paulson’s 2007 gain, which has been described as ‘the greatest trade ever,’” Rick Sopher, chairman of LCH Investments, said in a press release on Monday. Paulson, an investor, made $15 billion in 2007 after he bet that the value of securities backed by subprime mortgages would collapse, an event that helped trigger the global financial crisis. ESG funds had a terrible […]

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