Citadel's hedge funds up over 56%

As it became known, Citadel investment Group, run by Ken Griffin, has raised its main hedge funds, Kensington and Wellington, by 5% roughly leaving them up 56.5% in the first three quarters of 2009.

Citadel suspended redemptions from the Kensington and Wellington hedge funds late last year after they lost more than 50% when the financial crisis deepened. 

Nevertheless, convertible arbitrage has rebounded strongly this year as credit markets melted. Managers focused on this strategy returned 3.46% in September, after gains of 6.61% and 3.24% on average in July and August. This strategy is the best performing so far this year, up more than 50% on average. 

So, as Citadel promised investors in early August, that it intended to start returning money in October.