Tuesday, January 31, 2023

Citadel’s multi-strat flagship up 32% this year

Ken-Griffin-©-Paul-Elledge

  • Ken Griffin’s firm leads multi-strat returns
  • Multi-strats have outperformed hedge funds this year
  • Miami-based firm manages $59bn as of 1 November

Ken Griffin’s Citadel posted a 0.9% gain in its flagship Wellington product in November, beating most peers in a mixed month for multi-strategy performance.

Wellington is now up 31.8% for the year, one of the top performers across hedge funds and multi-strats.

The average hedge fund is down 4.1% with a month of 2022 remaining, despite a typical gain of 1% in November.

Most hedge funds have lost ground this year, but protected capital relative to steeper stock and bond market declines.

Multi-strats, which deploy capital across many different hedge fund investing styles, have outperformed the industry again this year, continuing a trend from the pandemic.

Their ability to increase and cut risk quickly in different strategies and teams has proven effective in more volatile markets.

Citadel, which managed $59bn as of 1 November, moved its global HQ from Chicago to Miami this year.

A spokesperson declined to comment.

AFI will be exploring the rise of multi-strats in the new year. To contribute, please contact will@alternativefundinsight.com.