2026’s Hedge Fund Leaders: A Large Spread as China and Energy Funds Surge

The latest HSBC Hedge Weekly covers performance through the end of May, and the gap between the year’s best and worst funds has stopped being wide and started being extreme. The top fund is up 54.13 percent. The bottom is down 38.39 percent. That spread of just over 92 percentage points is up sharply from about 58 points four weeks ago, and is driven by two trends: strategy and security selection, not market direction.

Telligent Greater China leads the field at 54.13 percent through May. The fund, run by Ching-Shan Lin since 2004, invests in Greater China equities, meaning mainland China, Hong Kong and Taiwan, and manages about 287 million dollars. Proxy P Renewable sits second at 44.98 percent, a remarkable result for a fund that lost 19.29 percent in 2024. The Luxembourg energy-transition fund run by Jonas Dahlqvist has more than recovered, helped by the same electricity-demand story driving utilities and power names worldwide. LYNX Bermuda 1.5, the Swedish trend-following CTA, is up 33.09 percent. A CTA, or commodity trading advisor, runs systematic models across futures markets, and LYNX has profited from sustained trends in commodities and rates.

CastleKnight comes in third at 42.27 percent. The event-driven fund run by Aaron Weitman, the nephew of Appaloosa’s David Tepper, now manages about 3.84 billion dollars. In its Q1 2026 letter to investors, CastleKnight reported a 21.2 percent net gain in April, its best month since launching in 2020, and credited semiconductors and other AI beneficiaries. Its 13F filing also confirms this trend.