Ten Best Hedge Funds of All Time

Several publications try to rank hedge funds based on their one year or three year performance. These criteria aren’t sufficient to determine which hedge funds truly deserve to have the top rankings. They employ some filters to eliminate outlier hedge funds that don’t really belong to the list. For instance, funds with less than a couple of hundreds of millions of dollars are excluded. Only hedge fund managers with stellar reputations can amass huge funds, so this criterion seems to weed out some “lucky” hedge funds. Another criterion is at least a three year track record that is reported to hedge fund databases. This seems like a good idea, but the problem with this criterion is that it also excludes several successful hedge funds that don’t have any desire to gather more funds or to garner any interest.

PAULSON & CO

The result of employing these techniques is that in some cases, hedge funds with large enough assets and a relatively long track record might make the list if they have a one successful year. John Paulson has a solution. Paulson thinks the best way to rank hedge funds is to rank them based on the total net gains of their clients over the life of the hedge fund. Really successful hedge fund managers will attract a lot of capital and achieve high returns even when they have a huge size.

“LCH Investments NV independently did a study of hedge funds that have produced the greatest net gains for investors since inception. We are proud that we are number three on the list with over 26 billion in net gains, even though we started our funds 12 and 21 years after Renaissance and Quantum, respectively,” said Paulson.

Here are the top 10 funds with the greatest net gains for investors:

1. George Soros‘ Quantum Endowment Fund (1973): Net Gains of $32 Billion

2. Renaissance Medallion Fund (1982): Net Gains of $28 Billion

3. Paulson & Co (1994): Net Gains of $26.4 Billion

4. Moore Capital (1989): $17.5 Billion

5. ESL (1988): $15.3 Billion

6. Bridgewater Pure Alpha Fund (1991): $13.3 Billion

7. Caxton (1983): $12.8 Billion

8. Baupost (1982): $12.5 Billion

9. Brevan Howard Fund (2002): $12.5 Billion

10. SAC (1982): $11 Billion

Source: LCH Investments NV (as of June 30, 2010)

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!