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World’s 20 Largest Hedge Funds Controls $570 Billion

January 11, 2012 | About:
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gurufocus

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Talking about the power of hedge funds! This is the world’s 20 largest hedge funds, according to Bloomberg hedge-fund database. These 20 firms control more than $570 billion in assets as of Oct. 31, 2011.

There are quite a few familiar names in the list. No. 1 in the list is Bridgewater Associates. The firm was founded by Ray Dalio, who bases his investments on readings of the macro environment, as well as principles of his own devising. He believes “Human nature causes reactive decision making that leads to psychological swings between fear and greed that is reflected in prices.” Index ETF is an important vehicle in his macro strategies. Bridgewater’s asset increased by $17.6 billion from 2010 to 2011. You can check out Ray Dalio’s portfolio here.

No. 6 in the list is Paulson Co. of famous hedge fund manager John Paulson. The firm was No. 5 in the list. The firm’s asset dropped from $32 billion to $28 billion. This is mild considering his forgettable performance in 2011 has been widely reported and his funds suffered the worst performance ever. As reported, John Paulson’s Advantage Plus fund lost 47.77% as of Nov. 30, 2011, ranked at the very bottom of all funds covered. His two other funds: Paulson Advantage Fund and Paulson Recovery Fund are also among the 20 worst performing funds.

Seth Klarman’s Baupost Group is listed as No. 11 in the list. Baupost manages $23 billion, unchanged from a year ago. Baupost’s portfolio is here.

New to the list are London-based Winton Capital Management and Greenwich based AQR Capital Management.

George Soros’ Soros Fund Management returned money to its investors, and dropped from the list.

These are the details:

No.FirmAssets as of Oct. 31, 2011 ($B)Assets as of Oct. 29, 2010 ($B)
1Bridgewater Associates (Westport, Connecticut)77.660
2Man Group (London)64.539.5
3JPMorgan Asset Management (New York)46.641.1
4Brevan Howard Asset Management (London)32.632
5Och-Ziff Capital Management Group (New York)28.526.3
6Paulson & Co. (New York)2832
7BlackRock Advisors (New York)27.722.8
8Winton Capital Management (London)27
9Highbridge Capital Management (New York)26.127
10BlueCrest Capital Management (London)2524.6
11Baupost Group (Boston)2323
12Cerberus Capital Management (New York)2324
13D.E. Shaw & Co. (New York)23
14Angelo Gordon & Co. (New York)2223
15AQR Capital Management (Greenwich, Connecticut)20.5
16Farallon Capital Management (San Francisco)2020
17Goldman Sachs Asset Management (New York)19.519.1
18Elliott Management (New York)1916.8
19King Street Capital Management (New York)18.520
20Canyon Partners (Los Angeles)18.119
Total:590.2

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gurufocus
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Comments

Moneymaker5o1
Moneymaker5o1 - 2 years ago


I'm noticing that the majority of these big successful hedge funds are macro based.. you would think with Value (bottoms-up) Investing supposedly the more superior method, there would be a more than one handful of companies on that list

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