Top 25 Highest-Earning Hedge Fund Managers 2008

[godoftrading]

Times may be tough for most folks, but not for the top moneymakers on Alpha magazine’s eighth annual ranking of the world’s highest-earning hedge fund managers. They took home, on average, an anything but average $464 million apiece in 2008. Four hedge fund managers took home more than $1 billion each. Altogether the 25 highest-earning hedge fund managers made $11.6 billion, making 2008 the third-best year on record since Alpha began compiling its exclusive ranking.

Alpha uses two components to calculate earnings: the managers’ shares of their firm’s performance and management fees, as well as gains on their own capital invested in their funds.

Rank Name Firm Name 2008 Earnings
1 James Simons Renaissance Technologies Corp. $2.5 billion
2 John Paulson Paulson & Co. $2 billion
3 John Arnold Centaurus Energy $1.5 billion
4 George Soros Soros Fund Management $1.1 billion
5 Raymond Dalio Bridgewater Associates $780 million
6 Bruce Kovner Caxton Associates $640 million
7 David Shaw D.E. Shaw & Co. $275 million
8 Stanley Druckenmiller Duquesne Capital Management $260 million
9 (tie) David Harding Winton Capital Management $250 million
9 (tie) Alan Howard Brevan Howard Asset Management $250 million
9 (tie) John Taylor Jr. FX Concepts $250 million


Rest here:
http://iimagazine.com/Alpha/Article.aspx?ArticleID=2165638

[Florida]

What!!!!

They missed my name again!!!

[cramerica1972]

NO person on this earth is worth paying a billion in 1 year,goes to show how corrupt the pay system is on wallstreet.you want investors back in the game?then do the right thing and show some leadership and tear down the excessive and immoral pay structure on wallstreet.

[Florida]

NO person on this earth is worth paying a billion in 1 year,goes to show how corrupt the pay system is on wallstreet.you want investors back in the game?then do the right thing and show some leadership and tear down the excessive and immoral pay structure on wallstreet.

These people are paid based on performance, and for the most part, only performance. If they do not bring profits to the fund, they do not get paid at these levels.

Perhaps if the Corporate world would abide by similar plans, the economy would not be where it is today. Many do reward for performance, but it is usually in addition to a ridiculous base level salaries.

If these fund managers do not produce, they receive very little if any compensation, and usually wash out, and find jobs in the Corporate world where they make a salary.

(Of course, there are the Madoff's of the world, but that is a whole different subject)

[cramerica1972]

If we all here were ceos and the company makes billions a yr,why not be satisfied with a million a yr?the people at the bottom make the money for the companies.

[BentleyVTech]

Well put flo-rida!

[Mastajab]

I hate when Cramerica types...says the dumbest ish.

[Tim Towasnicki]

Where does Bernie Madoff rank in the top 10? He made money in 2008 right....

[Hondaboy]

Camerica I am trying to understand what in the world you are talking about?

Florida is right in my mind. You work hard and make your company money then you should get paid. If you are working for a company and where you work is killing the company then you shouldn't get paid big bucks, just a pink slip.

These hedge guys did there job and made money for there customers. If there hedge fund didn't make any money then almost 100% positive they wouldn't have made anything and lost customers. You can't compare AIG with Hedge fund is what I think Camerica is doing.

Just because other companies are doing horrible doesn't mean your company has to cut back.

Also Camerica there is not one single CEO that is making a billion a year and the goverment is helping them. Not all companies is in trouble.

This list is just telling people that these guys are making money and doing real good. I am happy for this list because I know which hedge fund are good and would love to invest my money with them.

[cramerica1972]

I hate when Cramerica types...says the dumbest ish.
DONT REPLY to my posts then jabmaster jab.

[Mastajab]

DONT REPLY to my posts then jabmaster jab.

Hard to ignore mang, you're in like every thread sayin something weird.

[aiki14]

Every guy on that list gets 2 and 20 (2% of assets under management and 20% of the profits) except Soros who is basically trading his own money. Every person who's money is in those funds can remove it if they see fit, but nobody does because these guys make money. They don't pollute, outsource jobs, contribute to global climate change, or waste water. What they do is make money, and in a capitalist system we reward that. Assume for the sake of argument a 35% income tax rate, and these 11 guys contribute more to the coffers of government than 1/5 of the rest of the people in the country combined. Nuff said

[cramerica1972]

aiki,the pay model of wallstreet and mutual and hedgfunds are unrealistic b/c the ceo's of wallstreet companies stack boards with cronies leading to the excess pay we see.why not give shareholders a binding vote,afterall they do work with shareholders to add value to companies.

[Tim Towasnicki]

aiki,the pay model of wallstreet and mutual and hedgfunds are unrealistic b/c the ceo's of wallstreet companies stack boards with cronies leading to the excess pay we see.why not give shareholders a binding vote,afterall they do work with shareholders to add value to companies.

Think of how stupid the average person is. Now think that 50% of all people are more stupid than him. Would you want these people with zero financial knowledge to decide your pay?

It's only in a recession that people complain. During an expansion when people were making money and the some things that have been happening for hundreds of years which provide market stability, nobody says a word.

[cramerica1972]

Think of how stupid the average person is. Now think that 50% of all people are more stupid than him. Would you want these people with zero financial knowledge to decide your pay?

It's only in a recession that people complain. During an expansion when people were making money and the some things that have been happening for hundreds of years which provide market stability, nobody says a word.
Calling me stupid isnt nice,just b/c that is the way the wallstreet system works,doesnt mean it the right way to do things.

[cramerica1972]

Every guy on that list gets 2 and 20 (2% of assets under management and 20% of the profits) except Soros who is basically trading his own money. Every person who's money is in those funds can remove it if they see fit, but nobody does because these guys make money. They don't pollute, outsource jobs, contribute to global climate change, or waste water. What they do is make money, and in a capitalist system we reward that. Assume for the sake of argument a 35% income tax rate, and these 11 guys contribute more to the coffers of government than 1/5 of the rest of the people in the country combined. Nuff said
U know that isnt true aiki,they use tax loopholes to hide their wealth,and offshore tax shelters.

[Hondaboy]

Calling me stupid isnt nice,just b/c that is the way the wallstreet system works,doesnt mean it the right way to do things.

??????? He didn't call you stupid at all you read that wrong and took it to heart. Couple of years ago when ever one house value was going through the roof and everyone making money, nobody was upset. O wait we hated busch for making a war. Then the house bubble happened and now everyone is pointing fingers.

[aiki14]

U know that isnt true aiki,they use tax loopholes to hide their wealth,and offshore tax shelters.

First, these guys are not CEO's, and they have to report their profits to their investors. Since they are making quarterly statements to clients they can't hide the income without stealing from clients, and unless they're Madoff and have a two bit auditor it isn't possible.
No salaries, no bonuses, just a percentage of the AUM and profit. There are few professions out there with such a pure meritocracy. We should applaud these guys, and maybe be a little envious, not be jealous or angry at them.

[Hondaboy]

U know that isnt true aiki,they use tax loopholes to hide their wealth,and offshore tax shelters.

From what I understand "offshore tax shelters" means your company is located outside the US like bermuda, etc. Going from this list I don't see any of them operating outside the US. If you research like the frist guy "James Simons Renaissance Technologies Corp" he has been in business for a very long time and his loophole for paying less tax is donating money to charitys like the Austium he personally dontaed 38 million and said he will donate another 100 million, and also dontaed 25 million to Stony Book Unvi, 60 million to Simons Foundation, 13 million to brookhaven labotary, 10 million to Yale Unvi, etc, etc.

My math is really bad but from what I understand from what this guy was worth in 2008, he has donated over 14% of his income to charities.

I know many of us are upset on certain things thats happening currently on the market but I don't think its best to waste energy on guys like this that had nothing to do with what happened. Most of them told people and even congress of what might happen but nobody listened.

[Hondaboy]

"James Simons Renaissance Technologies Corp"

This is how the company makes its money.

charges a 5% management fee and a 44% incentive fee

[cramerica1972]

From what I understand "offshore tax shelters" means your company is located outside the US like bermuda, etc. Going from this list I don't see any of them operating outside the US. If you research like the frist guy "James Simons Renaissance Technologies Corp" he has been in business for a very long time and his loophole for paying less tax is donating money to charitys like the Austium he personally dontaed 38 million and said he will donate another 100 million, and also dontaed 25 million to Stony Book Unvi, 60 million to Simons Foundation, 13 million to brookhaven labotary, 10 million to Yale Unvi, etc, etc.

My math is really bad but from what I understand from what this guy was worth in 2008, he has donated over 14% of his income to charities.

I know many of us are upset on certain things thats happening currently on the market but I don't think its best to waste energy on guys like this that had nothing to do with what happened. Most of them told people and even congress of what might happen but nobody listened.
THEN,they claim it on tax return and get it back meaning they gave nothing.they use the taxcode to game the system.

[Hondaboy]

THEN,they claim it on tax return and get it back meaning they gave nothing.they use the taxcode to game the system.

How do you get back the money you donated? Instead of pay lets say that 60 million he donated to IRS he instead donated it a charity. Most people do that in order make sure they know where that tax money goes too. I almost sure just because he donated the money doesn't mean he gets it back and if thats true I think everyone and there grandmother will be donating left right and center.

Do you mind explaning it in more details of what you mean, because thats what I thought it was.

[Hondaboy]

Perfect Example of this is Bill gates who has donated over 28 billion dollars to charities because he wanted to make sure his tax dollars went to things he wanted to see improve. He didn't get any money back because he donated it. Instead of just paying IRS he wanted his money to go to charities.