Israel “Izzy” Englander, chairman and chief government officer of Millennium Management LLC.
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The 25 highest-paid hedge fund managers made a record $32 billion in 2020, up greater than 50% over 2019, in accordance with Institutional Investor’s Rich List.
A complete of 15 hedge fund managers made $1 billion or extra, in contrast with solely eight in 2019. The massive positive aspects through the coronavirus pandemic, coupled with the general public debate over hedge funds in the wake of the GameStop controversy, is probably going to attract criticism from lawmakers and the general public over hedge fund pay and equity in monetary markets.
The high earner was Israel “Izzy” Englander of Millennium Management, incomes $3.8 billion. His flagship fund was up 26% final yr, which was its finest return in 20 years. Like lots of the top-performing funds final yr, Millennium depends extra on inventory selecting than quantitative methods utilizing laptop algorithms.
In second place is Jim Simons of Renaissance Technologies, who earned $2.6 billion. His traders, nevertheless, did not do as nicely. Renaissance Technologies’ three most important funds for outdoor traders have been down 20% to 30%, in accordance with report. But its Medallion fund, which is especially for workers, was up 76%. Simons retired as chairman on Jan. 1.
Chase Coleman of Tiger Global got here in third place, with a $2.5 billion payday. The fund was an early investor in tech shares and abroad performs that did nicely through the pandemic, giving his fund a 48% return. His accomplice Scott Shleifer, the pinnacle of Tiger’s non-public fairness enterprise, was tied for eighth with $1.5 billion. Shleifer simply purchased the most costly house ever bought in Florida, paying greater than $130 million for a newly constructed mansion in Palm Beach.
Ken Griffin of Citadel, who’s on the heart of the GameStop debate, got here in fourth, with $1.8 billion as his fund was up 24%. Steve Cohen of Level72 Asset Management, who owns the Mets, was tied for fifth, together with David Tepper of Appaloosa, each at $1.7 billion.
Correction: An earlier model of this story incorrectly attributed Mets possession.