Ken Griffin’s Citadel plans to return about $7 billion to purchasers after double-digit beneficial properties in its multistrategy hedge funds over the previous two years bumped belongings to $63 billion.
The agency’s flagship Wellington fund gained about 15% via November, in response to an individual acquainted with the matter, after a 38% acquire in 2022. The Wall Avenue Journal reported Citadel’s plans earlier.
Hedge fund managers typically give capital again to traders to maintain their funds from rising too massive to make worthwhile investments in sure asset courses. Miami-based Citadel routinely returns income to purchasers.
A spokesperson for the agency declined to remark.
Citadel and different multimanager hedge funds have skilled explosive development over the previous few years as traders sought the relative stability and regular returns these methods intention to supply. Such corporations divvy up cash throughout dozens and even lots of of groups that function considerably independently throughout a spread of markets and techniques.
Citadel’s efficiency is an outlier amongst its multistrategy friends, a lot of which have posted single-digit returns this 12 months.
The agency is returning the capital throughout December and January and expects to start out subsequent 12 months with $58 billion of belongings.
