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

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

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!