[credit provider=”Courtesy of Citadel” url=”http://www.citadelgroup.com/about/corporate-leadership.php”]
Ken Griffin said today in a letter to investors that Citadel has recovered from the nearly crippling losses the firm suffered in 2008, Dealbook is reporting.Griffin said Citadel’s two flagship funds were up more than 20% in 2011 and had recovered from the almost 50% drop they suffered at the height of the financial crisis.
This is good news not just for investors, but also bodes well for Citadel’s chances of survival.
With their funds below their so-called highwater mark, Citadel has been unable to collect performance fees. These fees, the industry standard is 20% of all gains but are commonly higher at funds such as Citadel, are the lifeblood of hedge fund earnings.
Here’s the full letter, also available here: