Top Hedge Funds Post Strong Gains in 2025

Major multi-manager hedge funds reported significant double-digit gains for 2025, with the industry averaging a 16% return globally. Bridgewater Associates led the group as its Pure Alpha fund surged 34%, marking the highest profits in the firm's 50-year history. Other top performers included D.E. Shaw, whose Oculus Fund returned approximately 28.2% and Composite fund returned 18.5%, and AQR Capital Management, which saw 19.6% returns in its Apex strategy.

ExodusPoint achieved its best year on record with an 18% return, while Point72 Asset Management posted 17.5%. Balyasny Asset Management delivered gains of 16.7%. Performance varied by region, with Asian funds leading at 24%, followed by EMEA funds at 16% and U.S. funds at 12%.

Some of the largest managers lagged behind the S&P 500's 16.4% gain. Millennium Management posted a 10.5% return and Citadel LLC ended the year up 10.2%. These lower returns were attributed to the impact of trade policies during the first half of the year. The broader industry navigated a volatile environment defined by artificial intelligence stock spikes, quantitative losses, and tariffs imposed by U.S. President Donald Trump.