Remember, back in November, when there were all those rumors about a hedge fund in trouble, and even though Citadel vehemently—almost suspiciously so—denied that it was them, people were still kind of like “Sure, it’s not you, Citadel, we believe you” wink, wink? Apparently, according to Bloomberg, they weren’t bluffing. (SAC Capital pretty much cleared its name, too, but who cares about looking good to other hedgies when you've got a $54 million party-foul to deal with?)
Hedge funds run by Steven Cohen and Kenneth Griffin gained more than 30 percent last year, the industry's best performance since 2003, while Goldman Sachs Group Inc.'s flagship fund declined for the first time in seven years.
Cohen's SAC Capital Advisors LLC returned 34 percent and Griffin's Citadel Investment Group LLC also topped 30 percent, helped by energy bets it took over after Amaranth Advisors LLC collapsed in September, according to investors in the funds. Goldman's Global Alpha Fund ended the year with a 6 percent loss.