The hedge fund industry is set to play a more prominent role in the Trump administration compared to previous administrations. While various articles have highlighted individual hedge fund figures who may have influence, few have examined the broader implications of this trend for the industry as a whole.
The most notable development is the selection of Scott Bessent, a former partner at Soros Fund Management, as Treasury Secretary. As one of the most powerful cabinet positions, the Treasury Secretary wields substantial influence over financial policy, including areas that directly impact the hedge fund industry. Bessent’s appointment marks a significant win for hedge fund representation at the highest levels of government. Notably, he edged out other high-profile contenders, including John Paulson, founder of Paulson & Co., who withdrew from consideration but remains a respected advisor to Trump.
Additionally, several major figures from the alternative investment space were significant donors to the Trump campaign. Four of the eight largest Republican Party donors hail from the hedge fund industry, including:
- Ken Griffin, CEO of Citadel ($101 million)
- Jeffrey Yass, Co-Founder of Susquehanna International Group ($96 million)
- Paul Singer, Founder of Elliott Management Corporation ($59 million)
- Stephen Schwarzman, CEO of Blackstone Group ($39 million)
These contributions not only reflect financial support but also position these leaders for direct access to the administration, further amplifying the industry’s influence.
Beyond the cabinet and donor base, hedge fund leaders are making their mark in elected office and public discourse. David McCormick, former CEO of Bridgewater Associates, recently won a U.S. Senate seat in Pennsylvania, bringing his financial expertise to Capitol Hill. Meanwhile, Bill Ackman, founder and CEO of Pershing Square, has become increasingly vocal on political matters, potentially signaling a shift toward more active engagement in shaping policy.
Taken together, these developments point to a hedge fund industry that is poised to wield unprecedented influence during Trump’s tenure. Whether through key appointments, campaign contributions, or elected representation, the industry is positioning itself as a powerful player in shaping the administration’s policies.
About the author
Donald A. Steinbrugge is the founder and CEO of Agecroft Partners, a global hedge fund consulting and marketing firm. Hedgeweek and/or HFM have selected Agecroft Partners 13 years in a row as the Hedge Fund Marketing Firm of the Year.
Steinbrugge frequently writes white papers on trends he sees in the hedge fund industry. He has spoken at over 100 alternative investment conferences, been quoted in hundreds of articles relative to the hedge fund industry, has done over 100 interviews on business television and radio, and has over 25,000 subscribers to his Hedge Fund Industry Insights Newsletter.
He is also the founder of Gaining the Edge LLC which runs the Hedge Fund Educational Webinar Series and has had over 7,000 unique alternative investment industry participants, an annual Hedge Fund Leadership Conference, which sold out all six of its events, and the Alternative Investment Cap Intro Events. Most revenue from these events is donated to charities that benefit at-risk children. A total of over $2.7 million has been donated since 2013.
Before Agecroft, Steinbrugge was a founding principal of Andor Capital Management where he was a member of the firm’s Operating Committee. When he left Andor, the firm ranked as the second largest hedge fund firm in the world. Before Andor, Steinbrugge was head of institutional sales for Merrill Lynch Investment Managers (now part of BlackRock). At that time, MLIM ranked as one of the largest investment managers in the world. Previously, Steinbrugge was head of institutional sales and on the executive committee for NationsBank Investment Management (now Bank of America).
He is a member of the board of directors of Help for Children (Hedge Funds Care) and the Virginia Home for Boys and Girls Foundation. In addition, he is a former member of the board of directors of the University of Richmond’s Robins School of Business, The Science Museum of Virginia Endowment Fund, The Richmond Ballet (The State Ballet of Virginia), Lewis Ginter Botanical Gardens, Child Savers Foundation, The Hedge Fund Association. and the Richmond Sports Backers. He also served over a decade on the Investment Committee for The City of Richmond Retirement System.
Donald A. Steinbrugge, CFA
Founder and CEO
Agecroft Partners, LLC
