The 20 best-performing hedge fund managers of all time made $63.5bn for investors during the coronavirus-driven market turmoil in 2020, making it the industry’s best year of gains in a decade.

Despite a tough 12 months for US giants Bridgewater Associates and Renaissance Technologies, the gains highlight how some of the industry’s biggest names were able to navigate last year’s volatility, in which the S&P 500 posted its fastest descent into a bear market.

The top managers, led by funds including Chase Coleman’s Tiger Global and Izzy Englander’s Millennium Management, made half of the overall hedge fund industry’s gains last year, according to research by LCH Investments — a fund of hedge funds run by the Edmond de Rothschild Group.

Many were able to profit from opportunities thrown up in March’s sell-off and the subsequent huge rally in risky assets. In 2019, the top 20 managers made around one-third of the overall industry’s gains.

But Element Capital, one of the largest macro hedge funds, has warned that investors and policymakers are failing to grasp how deeply the new coronavirus variant will damage the European economy. (FT)

Chart showing UK vaccine procurement strategies showing doses US, UK and EU vaccine portfolios

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EU bank bosses under pressure European bank executives are struggling to shake off regulatory probes, shareholder pressure and boardroom bust-ups that could spark upheaval among the industry’s power players. Following a spate of scandals, boards turned to new, low-key leaders. But how long will those replacements last?

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Germany after Merkel Germany’s ruling Christian Democratic Union has chosen Armin Laschet to replace Angela Merkel as its leader. Gideon Rachman discusses what a post-Merkel Germany will look like with Wolfgang Ischinger, veteran diplomat and chairman of the Munich Security Conference. Listen on FT.com, Spotify, or Apple podcasts.