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Largest Hedge Funds, Ranked by AUM in 2025

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Pedro Braz
Co-Founder, Forbes 30 under 30
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Franklin Silva
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Fact checked by: Franklin SilvaUpdated on Jan 4, 2025

Alfred Winslow Jones is credited with launching the first hedge fund in 1949, which combined long positions offset by short sales to “hedge” against market risk.

70 years later, the hedge fund industry is a vast and rapidly growing sector of the financial markets. As of 2025, over 15,000 hedge funds managed an estimated 5 trillion assets under management (AUM).

The industry is known for its active trading, innovative strategies, and high-risk-return profiles. While hedge funds represent a small fraction of global financial assets, they are influential market participants due to their size, sophistication, and appetite for complex investments.

Understanding the major players and the latest trends can provide valuable insights into financial markets. Here is a look at the top ten hedge funds in the world by assets under management:

Ten Largest Hedge Funds by AUM in 2025

Hedge Funds AUM* RAUM** Date Reported AUM Reference
Millennium Management $72.1B $505.9B Jul-24 Millennium Management AUM
Citadel $65.0B $397.0B Nov-24 Citadel AUM
Balyasny Asset Management $20.0B $248.0B Oct-24 Balyasny Asset Management AUM
Arrowstreet Capital Not disclosed $216.6B May-24 Arrowstreet Capital AUM
Man Group $174.9B $174.9B Sep-24 Man Group AUM
Bridgewater Associates Not disclosed $171.8B Nov-24 Bridgewater Associates AUM
Artisan Partners $166.8B $151.3B Dec-24 Artisan Partners AUM
AQR Capital Management Not disclosed $132.5B Nov-24 AQR Capital Management AUM
Mariner Investment Group $7.3B $126.0B Mar-24 Mariner Investment Group AUM
D.E. Shaw $60.0B $120.5B Aug-24 D.E. Shaw AUM

*AUM disclosed on the company’s website
**RAUM disclosed in regulatory filings

According to 2025 statistics, Millennium Management ranks as the largest hedge fund by AUM, managing $505.9 billion in assets. Following closely is Citadel, with a AUM of $397 billion. The list highlights the dominance of U.S.-based hedge funds among the top players, with Man Group standing out as the largest non-U.S. hedge fund, managing $174.9 billion in assets.

List of the 10 Largest Hedge Funds

Millennium Management

  • AUM: $505.9 billion
  • Reporting date: July 2024
  • Investment strategies: Equities, fixed income, quantitative

Founded in 1989 by Israel Englander, Millennium Management is the largest hedge fund in the world, with $505.9 billion in assets under management as of July 2024.

Headquartered in New York, Millennium employs a global multi-strategy approach, investing across asset classes such as equities, fixed income, commodities, and currencies. The fund is known for its intense focus on risk management and short-term trading strategies based on quantitative models and algorithms.

Citadel

  • AUM: $397.0 billion
  • Reporting date: November 2024
  • Investment strategies: Equities, fixed income, commodities, quantitative

Founded by Ken Griffin in 1990, Citadel Advisors is recognised as one of the most successful hedge funds, with an AUM of over $397 billion. Based in Chicago, Citadel invests globally across equities, credit, commodities, and macro markets, intending to achieve industry-leading returns. The firm operates five core investment strategies and is known for its strengths in quantitative trading and technology infrastructure.

Balyasny Asset Management

  • AUM: $248.0 billion
  • Reporting date: October 2024
  • Investment strategies: Long/Short Equities, Macro and Event & Credit

Balyasny Asset Management (BAM) is a diversified global multi-strategy hedge fund headquartered in Chicago. Founded in 2001 by Dmitry Balyasny, Scott Schroeder, and Taylor O’Malley, the firm manages over $248 billion in assets under management. BAM is committed to delivering consistent, uncorrelated returns for its investors across diverse market environments.

Arrowstreet Capital

  • AUM: $216.6 billion
  • Reporting date: May 2024
  • Investment strategies: Quantitative, long only, alpha extension and long/short

Based in Boston, Arrowstreet Capital is a hedge fund founded in 1999 by Bruce Clarke, John Y. Campbell, and Peter Rathjens. As of May 2024, the firm manages over $216 billion in assets under management and specializes in systematic, quantitative global equity strategies. Arrowstreet is renowned for its advanced use of quantitative analysis in its investment approach.

Man Group

  • AUM: $174.9 billion
  • Reporting date: September 2024
  • Investment strategies: Long only, alternative investments, private markets

Headquartered at Riverbank House in London, Man Group plc is the world’s largest publicly traded hedge fund company, with $174.9 billion in assets under management as of September 2024. The firm was founded in 1783 and employs over 1,800 people across various global locations. In 2007, the company transitioned to an investment management business, solidifying its position as a major player in the hedge fund industry.

Bridgewater Associates

  • AUM: $171.8 billion
  • Reporting date: November 2024
  • Investment strategies: Global macro investing

Founded by Ray Dalio in 1975, Bridgewater Associates is one of the world’s largest hedge funds, with over $171.8 billion in assets under management in 2024.

Headquartered in Westport, Bridgewater pioneered the “risk parity” approach, which diversifies across asset classes to reduce volatility. The fund follows a global macro strategy guided by Dalio’s principles, emphasising radical truth and transparency.

Artisan Partners

  • AUM: $151.3 billion
  • Reporting date: December 2024
  • Investment strategies: Public, private, hybrid

Artisan Partners is a $151.3 billion hedge fund headquartered in Milwaukee, Wisconsin, with additional offices in Dublin, Hong Kong, London, Singapore, and Sydney. It was founded in 1994 by Andrew and Carlene Ziegler. The firm offers a broad array of investment strategies, including U.S. and global equity, value, growth, sustainable emerging markets, credit, and developing world opportunities.

AQR Capital Management

  • AUM: $132.5 billion
  • Reporting date: November 2024
  • Investment strategies: Absolut return, total return

Founded in 1998 by Cliff Asness, David Kabiller, John Liew and Robert Krail. With over $132 billion in assets under management, AQR Capital Management offers clients over 40 diversified strategies including both absolute return and total return strategies. These aim to target zero exposure to, and capture premia from, traditional markets. 

Mariner Investment Group

  • AUM: $126.0 billion
  • Reporting date: March 2024
  • Investment strategies: Multi-strategy, relative value, securitized

Founded in 1992, Mariner Investment Group is an alternative investment management firm specializing in highly specialized strategies across both public and private markets. Mariner manages $126 billion in assets under management. The firm is powered by 22 strategy teams and has 8 offices worldwide, providing investment solutions to sophisticated investors.

D.E. Shaw

  • AUM: $120.5 billion
  • Reporting date: August 2024
  • Investment strategies: Multi-strategy, quantitative

Founded in 1988 by David Shaw, D.E. Shaw is a quantitative investment firm based in New York, managing $120.5 billion in assets, according to data from August 2024. D.E. Shaw utilises computational methods and algorithms to exploit mispricings across asset classes and strategies.

What Are Hedge Funds?

Hedge funds pool capital from accredited individuals or institutional investors and invest in various assets, often with complex portfolio construction and risk management techniques. They are known for using leverage and derivative positions to amplify returns and manage risk.

The primary aim of hedge funds is to generate high returns, and they often target absolute rather than relative performance, seeking to make money regardless of whether the market climbs or declines. This is where the term “hedge” comes from – the idea is that investment positions can be hedged to protect against downturns in the market.

The clientele of hedge funds typically includes high-net-worth individuals, pension funds, and endowments, who all seek to benefit from the potential of achieving significant returns that hedge funds promise, albeit with a higher risk.

What are Assets Under Management (AUM)?

Assets Under Management (AUM) refers to the total market value of the investments that a financial institution or fund manager oversees on behalf of clients. AUM includes the capital raised from investors plus any earnings generated from investment strategies. This metric is often used as an indicator of the size and success of a fund or investment firm and can influence the prestige and perceived expertise of the managing entity.

AUM fluctuates daily due to the fund’s investment performance, which includes capital appreciation, dividend payments, interest earned, and any losses. It also changes with investor activity, such as new funds being deposited into an investment account or client withdrawals. AUM can reflect the firm’s ability to attract and retain investors as well as its capacity to generate returns.

AUM is a critical measure for investment firms. It often determines the company’s fees, as management fees are typically a percentage of AUM. Therefore, increasing AUM is typically a goal for these firms, as it directly impacts their revenue.

Differences in Numbers: RAUM vs. AUM

Obtaining data on the AUM of individual firms is not easy. The actual values differ from those that hedge funds report to regulatory bodies such as the Securities and Exchange Commission (SEC). The watchdog requires institutions to provide “regulatory assets under management” (RAUM), which are usually much higher than the actual value of assets that those companies are managing.

RAUM is reported to determine regulatory requirements like registration status. AUM is used more broadly across the financial industry. RAUM calculations follow specific guidelines, including gross long and short positions, unused committed capital, and non-fee-generating assets. AUM typically only includes client assets invested in strategies that generate fees.

RAUM figures tend to be higher than AUM. For example, a firm could report $100 billion in RAUM to the SEC but only have $50 billion in actual AUM. For example, Millennium Management states that its AUM is around $72.1 billion. However, according to the SEC RAUM report, the value is many times higher, reaching $505.9 billion.

To Sum Up

From Alfred Winslow Jones’s pioneering hedge fund in 1949 to the behemoths managing billions today, the hedge fund industry has evolved into a significant component of the global financial landscape.

As listed in this article, the top ten hedge funds by assets under management (AUM) showcase diverse strategies and specialities, reflecting the industry’s complexity and the varying approaches to maximising returns for investors.

Investors and market observers watch these funds for their performance and the trends and innovations they bring to the broader financial community.

FAQs

What is the biggest hedge fund by AUM?

As of July 2024, Millenium Management holds the title of the largest hedge fund by AUM, with over $505.9 billion in regulatory assets under management. This New York-based hedge fund employs a global multi-strategy approach, investing across various asset classes such as equities, fixed income, commodities, and currencies.

Why is AUM significant for hedge funds?

Assets Under Management (AUM) is crucial as it reflects the total market value of a fund’s investments. It indicates the hedge fund’s size, success, and appeal to investors. The AUM can affect the fund’s revenue since management fees are typically a percentage of AUM.

Are hedge funds only for wealthy individuals and institutions?

Historically, hedge funds have been exclusive to high-net-worth individuals, pension funds, and endowments due to the high minimum investment requirements and risk profiles. However, some hedge funds and related products have become more accessible to a broader investor base.

Why do reported assets under management (AUM) vary so much between asset managers?

Reported assets under management (AUM) totals can vary substantially across asset management firms and hedge funds due to differences in calculation methodologies, reporting dates, the inclusion of non-fee generating assets, uncalled committed capital, leverage, and asset valuation approaches. Since companies define and calculate AUM differently, reported figures are not directly comparable when evaluating managers.

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Pedro Braz
Co-Founder, Forbes 30 under 30

Pedro is passionate about finance, marketing, and technology. He is the co-founder of Investingintheweb.com and his work has earned him a spot on the Forbes 30 Under 30 Europe Finance list.

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