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Meet The 5 Hedge Fund Managers Who Made More Than $1 Billion Each In 2019

Despite the record inflows into passive investing products and a record amount of Fed liquidity constantly forcing U.S. equity markets to all time highs, there are still some "old school" hedge fund managers on the street managing to cash big checks.

In fact, there were five managers who each made over $1 billion last year, Bloomberg reports.

Collectively, they round out a group of 15 managers who collectively earned $12 billion last year. Yet only a third of the managers on the list of 15 beat the S&P last year, which was up 29%.

Chris Hohn, Jim Simons, Ken Griffin, Steve Cohen and Chase Coleman all made more than $1 billion each.

Darren Wolf, head of alternative investment strategies for the Americas at Aberdeen Asset Management said: "If that’s where the opportunity is, it’s where it is. But it creates challenges for us, because Aberdeen’s clients are already invested in indexes heavily weighted with tech stocks."

Most managers on the list charge 20% fees on gains. Marcus Frampton, chief investment officer for Alaska Permanent Fund Corp., which manages $68 billion said he is “happy to pay 20% in fees” if a fund can consistently beat its benchmark.

“That represents skill, not market exposure,’’ he said.

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