The Steady Drip: Hedge Funds Give up Half of 2025 Gains (Connecting the Dots: Goldman Sachs, Bloomberg, Obamacare, The Commercial Club of Chicago & Soros Funding, All Networking)

Hedge Funds Give up Half of 2025 Gains (Connecting the Dots: Goldman Sachs, Bloomberg, Obamacare, The Commercial Club of Chicago & Soros Funding, All Networking)

Newsmax.com

Friday, 07 March 2025 02:15 PM EST

(Dreamstime)

https://www.newsmax.com/finance/streettalk/hedge-fund-losses/2025/03/07/id/1201905/

Hedge fund stock pickers and multi-strategy funds gave up around half their average yearly gains in Thursday's tech-driven equity selloff, a note by Goldman Sachs showed.

Wall Street shares have been hit this week by a darkening U.S. economic outlook uncertainty over President Donald Trump's tariff policies, with the Nasdaq on Thursday confirming a correction since peaking in December.

Stock plunges were felt acutely in the parts of the markets where hedge funds held long bets such as on technology, media and telecommunications companies.

Global hedge funds were mostly long these stocks coming into this week, said a separate note from JPMorgan on Wednesday. A long position expects an asset value to rise whereas a short bet hopes it will decline.

Technology is the second worst-performing S&P 500 sector year-to-date with about an 8% loss, after consumer discretionary stocks which have tumbled just over 9%.

Hedge funds were caught in crowded trades that sold off leaving those which pick stocks with a 1% average return on the year so far, said the Goldman Sachs note sent to clients on Thursday and seen by Reuters on Friday. U.S. stock pickers finished down 1.4% on Thursday, taking their yearly performance to negative 0.5% for 2025, so far, the note said.

Hedge funds that employ different kinds of trading strategies also had "a challenging day," said the Goldman note. This kind of hedge fund which for the last three years has produced consistently positive returns has this year lost money 18 out of 29 days since January 27, said Goldman.

This negative investment streak was one of the worst performances for this kind of hedge fund that the bank had ever seen, said Goldman. Multi-strategy hedge funds are designed to offset the losses of one strategy with another. February saw some of the biggest of these funds produce mixed returns so far this year, with Millennium Management down 1.3% in February taking their returns on the year so far to a negative 0.8%, said sources with knowledge of the matter.

Bloomberg first reported the results. D.E. Shaw's Oculus Fund returned a negative 4.3% taking their year to a negative 2.8% so far, a source said. D.E. Shaw declined to comment. Macro funds fared better. Hedge fund Rokos Capital Management's return on investment was down 0.29% during February to the February 21 but was up 0.57% for 2025 so far, said the source. Rokos declined to comment.

British financier Andrew Law's secretive macro fund Caxton returned 4% in February adding gains to a positive year so far, up 7%, said another source with knowledge of the matter on Friday. Caxton did not immediately respond to several requests for comment.

Connecting the Dots:

George Soros is the founder for the Soros Fund Management.

Soros Fund Management was the buyer of assets, post-bankruptcy for MF Global Holdings Ltd.

Mark Schwartz was the president & CEO for Soros Fund Management, George Soros’s senior adviser and the president & CEO for the Goldman Sachs Group Inc. (Bailout Company).

Soros Fund Management was the buyer of assets, post-bankruptcy for MF Global Holdings Ltd.

Laurie R. Ferber was the general counsel for MF Global Holdings Ltd. and a managing director for the Goldman Sachs Group Inc. (Bailout Company).

Jon S. Corzine was the chairman & CEO for MF Global Holdings Ltd. and the chairman & CEO for the Goldman Sachs Group Inc. (Bailout Company).

Richard E. Witten is an advisory director for the Goldman Sachs Group Inc. (Bailout Company) and a trustee at the Harlem Children's Zone.

Gary D. Cohn is the president & COO for the Goldman Sachs Group Inc. (Bailout Company) and a trustee at the Harlem Children's Zone.

George Soros was a benefactor for the Harlem Children's Zone and the chairman for the Foundation to Promote Open Society.

Foundation to Promote Open Society was a funder for the Harlem Children's Zone and the Robin Hood Foundation.

Michael R. Bloomberg was a benefactor for the Harlem Children's Zone, a donor for the Robin Hood Foundation and is the founder of Bloomberg LP.
Daniel S. Och is a director at the Robin Hood Foundation and was a trader for the Goldman Sachs Group Inc.

Peter D. Kiernan III is a director at the Robin Hood Foundation and was a senior partner at the Goldman Sachs Group Inc.

David M. Solomon was a leadership council member for the Robin Hood Foundation, is a director at the Robin Hood Foundation and a co-head of investment banking for the Goldman Sachs Group Inc.

Clifford S. Asness was a leadership council member for the Robin Hood Foundation and a managing director for the Goldman Sachs Group Inc.

Lloyd C. Blankfein was a director at the Robin Hood Foundation and is the chairman & CEO for the Goldman Sachs Group Inc.

David A. Tepper is a director at the Robin Hood Foundation and was a trader for the Goldman Sachs Group Inc. (Bailout Company).

Elisha Wiesel is a partner at the Goldman Sachs Group Inc. (Bailout Company) and Elie Wiesel’s son.

Elie Wiesel is Elisha Wiesel’s father and an overseer at the International Rescue Committee.

Foundation to Promote Open Society was a funder for the International Rescue Committee.

George Soros was the chairman for the Foundation to Promote Open Society.

Clifford S. Asness is a director at the International Rescue Committee and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

John C. Whitehead is an overseer at the International Rescue Committee, an honorary trustee at the Brookings Institution (think tank) and was a co-chairman & senior partner for the Goldman Sachs Group Inc. (Bailout Company).

Foundation to Promote Open Society was a funder for the International Rescue Committee and the Brookings Institution (think tank).

George Soros was the chairman for the Foundation to Promote Open Society.

Tracy R. Wolstencroft is a director at the International Rescue Committee, a trustee at the Brookings Institution (think tank) and an advisory director for the Goldman Sachs Group Inc. (Bailout Company).

Richard L. Kauffman was a trustee at the Brookings Institution (think tank) and a group chairman for the Goldman Sachs Group Inc. (Bailout Company).

John L. Thornton is the chair for the Brookings Institution (think tank) and was the president & COO for the Goldman Sachs Group Inc. (Bailout Company).

Abby Joseph Cohen was a trustee at the Brookings Institution (think tank) and is a senior investment strategist for the Goldman Sachs Group Inc. (Bailout Company).

Geoffrey T. Boisi is an honorary trustee at the Brookings Institution (think tank) and was a general partner at the Goldman Sachs Group Inc. (Bailout Company).

Mario Draghi is an honorary trustee at the Brookings Institution (think tank) and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

Suzanne Nora Johnson is a trustee at the Brookings Institution (think tank) and was the vice chair for the Goldman Sachs Group Inc. (Bailout Company).

James A. Johnson is an honorary trustee at the Brookings Institution (think tank), a director at the Goldman Sachs Group Inc. (Bailout Company) and was a trustee at the Committee for Economic Development.

Foundation to Promote Open Society was a funder for the Brookings Institution (think tank) and the Committee for Economic Development.

George Soros was the chairman for the Foundation to Promote Open Society.

Kim K. Azzarelli was a trustee at the Committee for Economic Development and is the VP for the Goldman Sachs Group Inc. (Bailout Company).

Donna S. Morea was a trustee at the Committee for Economic Development and the EVP for the CGI Group Inc.

CGI Group Inc. was the Obamacare contractor that developed Healthcare.gov web site.

Obamacare is Barack Obama’s signature policy initiative.

Barack Obama’s signature policy initiative is Obamacare and was an intern at Sidley Austin LLP.

Michelle Obama was a lawyer at Sidley Austin LLP.

Newton N. Minow is a senior counsel at Sidley Austin LLP and a member of the Commercial Club of Chicago.

Byron D. Trott is a member of the Commercial Club of Chicago, a friend of Warren E. Buffett and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

R. Eden Martin is counsel at Sidley Austin LLP and the president of the Commercial Club of Chicago.

Lester Crown is a member of the Commercial Club of Chicago and was a lifetime trustee at the Aspen Institute (think tank).

James S. Crown is a member of the Commercial Club of Chicago and a trustee at the Aspen Institute (think tank).

Foundation to Promote Open Society was a funder for the Aspen Institute (think tank).

George Soros was the chairman for the Foundation to Promote Open Society.
Stephen Friedman is a trustee at the Aspen Institute (think tank) and was a director at the Goldman Sachs Group Inc. (Bailout Company).

L. Brooks Entwistle is a trustee at the Aspen Institute (think tank) and an advisory director for the Goldman Sachs Group Inc. (Bailout Company).

Robert J. Hurst is a trustee at the Aspen Institute (think tank) and was the vice chairman for the Goldman Sachs Group Inc. (Bailout Company).

Anne Welsh McNulty is a trustee at the Aspen Institute (think tank) and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

Robert K. Steel is the chairman for the Aspen Institute (think tank) and was the vice chairman for the Goldman Sachs Group Inc. (Bailout Company).

Roderick K. von Lipsey is a trustee at the Aspen Institute (think tank) and was the VP for the Goldman Sachs Group Inc. (Bailout Company).

Henry A. Kissinger was a lifetime trustee at the Aspen Institute (think tank) and a member of the Bohemian Club.

Henrietta Holsman Fore is a trustee at the Aspen Institute (think tank), and a member of the Belizean Grove.

Belizean_Grove is the equivalent to the male-only social group, the Bohemian Club.

Connie K. Duckworth is a member of the Belizean Grove and was an advisory director for the Goldman Sachs Group Inc. (Bailout Company).

Ann F. Kaplan is a member of the Belizean Grove and was a managing partner at the Goldman Sachs Group Inc. (Bailout Company).

Rajat K. Gupta was a director at the Goldman Sachs Group Inc. (Bailout Company) and a director at the Millennium Promise.

Josephine Linden was a partner at the Goldman Sachs Group Inc. (Bailout Company) and a director at the Millennium Promise.

Foundation to Promote Open Society was a funder for the Millennium Promise and the Sundance Institute.

George Soros was the chairman for the Foundation to Promote Open Society.

Jacki Zehner is a trustee at the Sundance Institute and was a partner at the Goldman Sachs Group Inc. (Bailout Company).

Gregory B. Craig was a lawyer for the Goldman Sachs Group Inc. (Bailout Company) and is a trustee at the Carnegie Endowment for International Peace (think tank).

William W. George is a director at the Goldman Sachs Group Inc. (Bailout Company) and a trustee at the Carnegie Endowment for International Peace (think tank).

Foundation to Promote Open Society was a funder for the Carnegie Endowment for International Peace (think tank).

George Soros was the chairman for the Foundation to Promote Open Society.

Jessica Tuchman Mathews is the president of the Carnegie Endowment for International Peace (think tank) and a director at the Nuclear Threat Initiative (think tank).

Carnegie Endowment for International Peace (think tank) was a funder for the Nuclear Threat Initiative (think tank).

Warren E. Buffett is an adviser for the Nuclear Threat Initiative (think tank), and a friend of Byron D. Trott.

Byron D. Trott is a friend of Warren E. Buffett, a member of the Commercial Club of Chicago and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

Kathleen Brown is a member of the Commercial Club of Chicago, a senior adviser for the Goldman Sachs Group Inc. (Bailout Company) and is California state government governor Jerry Brown sister.

R. Eden Martin is the president of the Commercial Club of Chicago, and counsel at Sidley Austin LLP.

Newton N. Minow is a member of the Commercial Club of Chicago and a senior counsel at Sidley Austin LLP.

Michelle Obama was a lawyer at Sidley Austin LLP.

Barack Obama was an intern at Sidley Austin LLP and signature policy initiative is Obamacare.

Cameron F. Kerry is a senior counsel at Sidley Austin LLP, John F. Kerry’s brother and a fellow at the Brookings Institution (think tank).

Foundation to Promote Open Society was a funder for the Brookings Institution (think tank).

George Soros was the chairman for the Foundation to Promote Open Society.

Cyrus F. Freidheim Jr. is an honorary trustee at the Brookings Institution (think tank) and a member of the Commercial Club of Chicago.

Byron D. Trott is a member of the Commercial Club of Chicago, a friend of Warren E. Buffett and was a managing director at the Goldman Sachs Group Inc. (Bailout Company).

Foundation to Promote Open Society was a funder for the Brookings Institution (think tank) and the International Rescue Committee.

George Soros was the chairman for the Foundation to Promote Open Society.

Tracy R. Wolstencroft is a trustee at the Brookings Institution (think tank), a director at the International Rescue Committee and an advisory director for the Goldman Sachs Group Inc. (Bailout Company).