Hedge Funds Hit 5-Year Best H1 Performance With 7.2% Average Returns on Tech, SpaceX Gains

According to PivotalPath, hedge funds posted average returns of 7.2% in the first half of 2026, marking the best H1 performance since 2021. Tech-focused hedge funds led the surge with average returns of 27%, driven by semiconductor strength and gains from SpaceX's addition to the Nasdaq and FTSE Russell indices.

Notable performers included Whale Rock Capital Management, which surged 72.5% in H1 primarily from semiconductor holdings and Anthropic investments, and D.E. Shaw's Oculus fund, which rose 27.4%. Marshall Wace's Eureka fund climbed 19.9%, while Appaloosa Management posted 32% returns, largely from memory chip investments. However, not all funds benefited; ExodusPoint Capital posted just 0.2% gains in June for 4.3% H1 returns, and quantitative hedge funds faced their weakest performance since 2023.