--- title: "The US-Iran conflict ignites the market, with several top hedge funds facing losses of hundreds of millions of dollars" type: "News" locale: "en" url: "https://longbridge.com/en/news/278608329.md" description: "The escalation of the US-Iran conflict has triggered severe fluctuations in global markets, with several leading hedge funds facing losses of hundreds of millions of dollars in just one week. Bloomberg data shows that institutions like Citadel and Millennium have seen significant erosion of their annual returns, with the Eureka fund under Marshall Wace dropping by 3.7%, and ExodusPoint giving back all of its gains from the previous two months. The rare simultaneous sell-off of stocks and bonds has rendered multi-strategy models that rely on cross-asset hedging ineffective, putting the effectiveness of their risk control systems and investor confidence to a severe test" datetime: "2026-03-10T20:03:33.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/278608329.md) - [en](https://longbridge.com/en/news/278608329.md) - [zh-HK](https://longbridge.com/zh-HK/news/278608329.md) --- > Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/278608329.md) | [繁體中文](https://longbridge.com/zh-HK/news/278608329.md) # The US-Iran conflict ignites the market, with several top hedge funds facing losses of hundreds of millions of dollars The escalation of the US-Iran conflict has led to significant turbulence in the global financial markets, with the hedge fund industry, known for its stable returns, facing a notable impact. Several top institutions have suffered losses amounting to hundreds of millions of dollars over the past week, significantly eroding their year-to-date gains. On March 10, according to data obtained by Bloomberg, **the largest hedge funds globally were not spared.** Among them, Citadel's flagship fund Wellington fell 2% last week; Millennium Management incurred a loss of approximately $1.5 billion in a single week, narrowing its year-to-date gain to less than 1%; Marshall Wace's Eureka fund experienced the steepest decline, reaching 3.7%; ExodusPoint even gave back all the gains accumulated in the first two months of this year. The direct trigger for this round of losses was the military strikes by the United States and Israel against Iran. This event triggered a sharp rise in market risk aversion, **leading to a rare synchronized sell-off across various asset classes, including stocks, bonds, and commodities.** For multi-strategy funds that heavily rely on cross-asset risk hedging, **the traditional logic of diversifying risk has failed in this round of shocks, exposing their systemic vulnerabilities in the face of extreme macro events.** ## Leading funds under pressure in a single week, with several flagship products experiencing significant declines According to Bloomberg, **the institutions most severely affected in this round of market turmoil are those with large management scales and significant industry positions, highlighting the intensity of the impact of extreme market conditions on core institutions.** In terms of specific performance, Marshall Wace's Eureka fund led the declines, falling 3.7% in a single week, making it the weakest performer among the aforementioned funds, with its year-to-date cumulative gain narrowing to 2.4%. Balyasny Asset Management dropped 3.5%, with its gains in the first two months only at 0.4%, also showing a significant pullback. Point72 Asset Management, with a management scale of $45.7 billion, fell 1.1%, with its year-to-date gain dropping to 3.4%. ExodusPoint faced an even more severe situation, completely wiping out its previously accumulated 2.6% gain from the prior two months. For top institutions that rely on sustained stable returns as the foundation of trust, such a significant net asset value drawdown in a single week poses challenges far beyond mere paper losses. This not only puts pressure on the effectiveness of their current risk management frameworks but also presents a severe challenge to investors' confidence and patience amid ongoing high market uncertainty ### Related Stocks - [Millennium Group International Holdings Limited (MGIH.US)](https://longbridge.com/en/quote/MGIH.US.md) ## Related News & Research - [Is Berkshire Hathaway Being Too Patient With Its Cash?](https://longbridge.com/en/news/278471209.md) - [G7, EU Plan Discussions as Oil Prices Surge](https://longbridge.com/en/news/278547090.md) - [New CEO Greg Abel Just Bought $15 Million of Berkshire Hathaway Stock. Should You?](https://longbridge.com/en/news/278435461.md) - [G7 Energy Ministers to Hammer Out Plan to Release Strategic Reserves, Stem Crude Oil Volatility](https://longbridge.com/en/news/278541829.md) - [4 Berkshire Hathaway Stocks That New CEO Greg Abel "Expect Will Compound Over Decades"](https://longbridge.com/en/news/278230611.md)