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The Quant King’s Legacy

Jim Simons, the legendary “Quant King,” still has Wall Street buzzing, even after his passing in 2024. His brainchild, Renaissance Technologies, is a powerhouse in the hedge fund universe, thanks to its game-changing quantitative trading strategies. Simons figured out the magic of using data-driven analysis to find hidden market patterns. With his revolutionary methods, he made a killing, predicting stock movements and generating stellar returns.

Renaissance’s Impressive Track Record

Speaking of impressive, Simons’ Medallion Fund, Renaissance’s secretive flagship, has been a beast in the market. Since the early 2000s, it’s boasted annual returns of 31.5%, even shining during crises like the dot-com crash. Sure, it’s closed to outsiders, but this fund has made Simons a billionaire many times over, with a net worth of $31.4 billion at his peak.

Meanwhile, Renaissance continues to crush it post-2024. The Renaissance Institutional Diversified Alpha Fund hit a 9.05% gain by February, building on a 15.6% return from the previous year. Not to be outdone, the Institutional Equities Fund soared 11.85% in early 2025. Talk about starting the decade on a high note!

Hedge Fund Picks Worth Watching

Why should you care about hedge fund darlings? Well, following the top stock picks from leading hedge funds has historically beaten the market. Our quarterly newsletter strategy has delivered a whopping 373.4% return since 2014 (more details here). This time, we’re looking at stocks chosen from Renaissance’s 13F portfolio at the close of 2024.

Novo Nordisk: A Strong Contender

Now, let’s dive into Novo Nordisk A/S (NYSE:NVO), a key player on our list. This global healthcare giant, famous for its diabetes and obesity treatments like Wegovy and Ozempic, has a massive network with 48,000 employees spreading over 168 countries.

Renaissance Technologies holds a $715 million stake in Novo Nordisk, making it a significant bet. With 64 hedge fund holders, this stock isn’t just another face in the crowd. Recently, despite BofA Securities trimming its price targets, they maintain a bullish outlook, expecting big things in the year’s second half. Novo Nordisk seems poised to benefit from reduced semaglutide compounds, though there’s some mystery around their internal processes.

AI Stocks: A Compelling Alternative

As compelling as Novo Nordisk is, some AI stocks might offer an even shinier return. While NVO ranks 3rd among Jim Simons’ best picks, our eyes are on some AI gems that skyrocketed in 2025. One particular AI stock boasts a price-to-earnings ratio under 5, offering significant value. Curious? Check out our exclusive analysis for the most promising AI stock out there.

In Conclusion

Renaissance Technologies’ prowess remains undisputed, and their top stock picks are gold mines for savvy investors. Whether your portfolio leans towards the healthcare sector, AI innovations, or beyond, keeping tabs on these insights might just lead to market-beating returns.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. Originally published at Insider Monkey.