If I asked you who was the best performing hedge fund in 2022. Honestly, who would you guess a lot of hedge funds because they're essentially tracking the S P 500 did not do too well. the S P 500 lost 18 in 2022. But that doesn't mean that some hedge funds didn't absolutely destroy it in a positive way when you look at their return.

So I want to quickly scroll by this. Let's look at it in improving order: Seanfeld Strategic Partners of 4.5 Not bad when the market dropped 18. Exodus point up six percent Point 72 that's Steve Cohen they say billions is Loosely Based on him, he's the owner of the Mets massive massive billionaire uh up 10.25 Baliosni I'm not quite sure how to pronounce it Atlas enhanced up 9.7 not bad Millennium of 12.4 percent d e Shaw kind of a math based hedge fund composite fund up 24.7 Citadel Wellington one of the funds within Citadel Hedge fund up 38.1 percent Aqr or Quad fun Sim Similar to Renaissance but Aqr absolute return up 43.5 percent Rocos macro fun coming in at a whopping 51 that is crazy and then I wanted to dive a little bit more into it to realize what these guys are up to. So Chris Rocco's hedge fund soars a record 51 in turn of Fortunes So I believe they actually lost last year, but then they made so much this year it didn't really matter.

Uh, and the main thing that this fund did was benefited from the short bets on bonds as interest rates began to rise in response to Soaring inflation last year. So basically massive short bets against the bond market. And if you were paying attention to bonds last year, they did nothing but vomit and it made gigantic, gigantic returns. But that wasn't the only player to make a killing on shorting the bottom eight hedge funds that made a killing by betting against the world's economy last year is stocks and bonds plummeted.

Check out some of these returns: Flagship Global Macro Hideaire Jupiter Fun Surge 195 Hi, there's Flagship Global Macro Jupiter Fund Surge 109 95 last year by betting on steep interest rate increases. Obviously, when interest rates go up, yields go up, bonds go down. It's the same bet for the last year. investors have been prematurely anticipating in early and to central bank rate hikes followed by rate Cuts almost immediately thereafter.

But as inflation globally has proven stickier than originally thought, central banks have become more forceful in countering this narrative. They use leverage interest rates trading to generate nearly 200 percent returns for his investors, which is unheard of. Like that's just crazy his fund wager that the FED would press ahead with jumbo rate hikes despite markets hope that it would pause or pivot away from its tightening campaign. Moving on, you have Crispin Odis Odie's European Inc Fund also bet on steep rate Rises and capitalize on the political and economic chaos that rocked UK Markets in September and October the fund returned 130.

In 2022, the fund generated eye-popping return shorting the British pound and long-term guilt or UK government bonds kind of equivalent to us in the U.S Here with our Treasury and of the former prime minister Liz Trust's tax cut proposal, veteran trader Neil Berger's contrarian macrophone also scored major returns of 163. These are just jaw-dropping numbers like the previous two. bet aggressively that the Fed rate hikes would swiftly and the era of cheap money and pop everything's bubble that it causes asset prices to soar in 2021. So if you're seeing the trend here, three of the major gains in hedge funds came from betting against bots.

That was the big winners of 2022 were the people who bet against bonds. The reason why I started the fund was that Central Bank flows were going to change 180 degrees. The key difference would be headwind on all asset prices. One had to believe that prices we saw were to use the academic term whack-a-doodle Uh, definitely a solid academic term.

They were wackadoodle and I think we should use that in our trading process so just wanted to let you guys know a little bit about some of the best performers. in 2022. The people who bet against bonds.