SAC Flagship Most Profitable Hedge Fund

Jan 4 2013 | 2:26pm ET

Prosecutors, regulators and the Federal Bureau of Investigation may be circling, by none of its kept SAC Capital Advisors' flagship from earning the title of most profitable hedge fund in the world.

Profitable, it must be said, not for its investors; in that realm, the International Fund only ranks 86th through October, according to Bloomberg Markets magazine. But since SAC has some of the highest fees in the industry, charging as much as 3% for management and 50% for performance, International earned the firm and its managers $789.5 million in the first 10 months of last year.

SAC is currently embroiled in an insider-trading scandal. A former portfolio manager has been accused of earning the firm $276 million trading on confidential information about Alzheimer's drug trials, and the investigation has reached all the way to the firm's top. Indeed, the case against Mathew Martoma, who pleaded not guilty, is the first to refer specifically to Cohen, and authorities have reportedly spent almost a year trying to get Martoma to turn on Cohen.

Both SAC and Cohen have denied any wrongdoing.

Viking Global Investors' Equities Fund placed second, followed by Och-Ziff Capital Management's OZ Master Fund, both far behind SAC International with profits of $456.5 million and $402.6 million, respectively.


In Depth

Q&A: MackeyRMS's Chris Mackey On A High Tech Fix To Broker Votes

Jun 23 2017 | 8:17pm ET

The looming implementation of the EU’s MiFID II rules regarding research has put...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: Asia-Focused Hedge Funds Offer Great Opportunities

Jun 23 2017 | 3:33pm ET

Emerging market strategies have outperformed their developed-market peers for five...

 

From the current issue of