5 Richest Hedge Fund Managers
There are 27 hedge fund managers on the Forbes 400 list, with a combined net worth of $112 billion. While their average net worth comes to roughly $4.1 billion each, these five hedge fund managers are worth quite a bit more:
1. George Soros – $22 billion
The legendary investor founds himself in the Top 10 of the Forbes 400 list for the first time this year after he announced that he would return money to outside investors and focus solely on managing his own cash, citing a new Dodd-Frank law requiring that hedge funds register with financial regulators as his reason for returning $1 billion of his $25.5 billion in investments to clients. His net worth is $22 billion this year, up $7.8 billion from last year.
2. John Paulson – $15.5 billion
After earning $4.9 billion in 2010 alone, Paulson’s main fund has declined 30% in 2011, as bets on Bank of America (NYSE:BAC), Citigroup (NYSE:C), and China’s Sino Forest went south. However, his personal fortune is up 25% this year thanks to gold-denominated funds.
3. James Simons – $10.6 billion
Despite retiring from his hedge fund two years ago, Simons still has a large investment in Renaissance Technologies, which climbed 30% in 2010. Simons remains chairman and majority shareholder of the $15 billion firm.
4. Steve Cohen – $8.3 billion
Despite legal distractions in the form of an 5-year-old $8 billion suit against SAC Capital Advisors and Cohen, the investor is $1 billion richer this year thanks to positive returns and steep fees. His SAC Capital Advisors charges 3% of assets and 35% of profits.
5. Ray Dalio – $6.5 billion
Dalio’s flagship fund, the world’s biggest, has been up 4 years in a row and has climbed 20% so far in 2011. The fund is worth $110 billion.