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George Soros reportedly lost around $1 billion after Trump's election

Jan 12, 2017, 19:40 IST

Chairman of Soros foundation George Soros attends the Avoided Deforestation Partners' organization conference on the sidelines of U.N. climate talks in Cancun December 8, 2010. The world's governments struggled on Wednesday to break a deadlock between rich and poor nations on steps to fight global warming and avert a new, damaging setback after they failed to agree a U.N. treaty last year in Copenhagen.Reuters/Jorge Silva

Hedge fund legend George Soros lost a lot of money following the election of Donald Trump, according to a new report from the Wall Street Journal.

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According to the Journal's Gregory Zuckerman and Juliet Chung, citing people familiar with Soros' trading, the billionaire became bearish directly after the victory of Trump and those bets seem to have come back to bite him.

However, Soros larger fund - Soros Fund Management - gained 5% over the whole year according to the Journal.

Soros was a supporter of Trump's opponent Hillary Clinton, contributing millions to super PACs backing her campaign, so it may come as no surprise that he was skeptical of the market following Trump's upset victory.

Additionally, most Wall Street analysts believed that a Trump win would sow uncertainty and cause a sell-off.

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Since Trump's victory, Soros has continued to criticize him, calling him a "would-be dictator" and warning about what his win means for the long-term health of democracy.

The Dow Jones Industrial Average is up nearly 10% since election day and all three major US stock indexes have set all-time highs after Trump's win.

Stanley Druckenmiller, one of Soros' protegees that worked at his firm until 2000, was much more prescient. Druckenmiller bet that the market would rally on a Trump victory and the bet appears to have paid off, with his firm gaining 10% in 2016 according to the Journal.

Druckenmiller, who donated mostly to Republican legislative candidates, joins Carl Icahn as another notable hedge fund manager to make winning bets on the Trump rally. Icahn said that he bought $1 billion worth of stock futures on election night as the market tanked, making significant gains after its recovery.

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