Ken Griffin, Citadel at CNBC’s Delivering Alpha, Sept. 28, 2022.
Scott Mlyn | CNBC
Billionaire investor Ken Griffin’s numerous hedge fund methods all posted double-digit returns for 2023, however they did not beat the broader market.
Citadel’s multistrategy Wellington fund gained 15.3% final 12 months, based on an individual aware of the returns. The flagship fund had loved a stellar 2022 with a 38% achieve, marking its greatest 12 months on file.
The Miami-based agency’s tactical buying and selling fund gained 14.8% in 2023, whereas its equities fund, which makes use of a protracted/quick technique, returned 11.6%, the individual mentioned. Citadel’s world fastened revenue returned 10.9% final 12 months, based on the individual.
The inventory market pulled off a surprisingly sturdy 2023 with the S&P 500 climbing 24% on the 12 months. Threat belongings loved an enormous reduction rally because the economic system remained resilient and inflation cooled, whereas the Federal Reserve signaled an finish to charge hikes and forecasted charge cuts later this 12 months. The market additionally endured a regional banking disaster in addition to wars in Ukraine and the Center East.
Nonetheless, the volatility and the tough macroenvironment made it tough for sure hedge fund methods to beat the market. Hedge funds on common gained nearly 4.4% in 2023 by way of November, based on analysis agency HFR.
Citadel is returning all of 2023’s $7 billion in earnings to buyers and the agency has handed again about $25 billion to buyers since 2018, the individual mentioned. The monetary big has about $58 billion in belongings beneath administration.
Citadel declined to remark.
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