Early Life and Citadel's Origins
Born in Daytona Beach, Florida in 1968, Griffin began trading convertible bonds from his Harvard dormitory room in 1987. He founded Citadel LLC in 1990 with $4.6 million in seed capital. The firm grew into one of the world's largest hedge funds, with assets under management exceeding $60 billion at various points. Citadel Securities, the market-making arm, was spun out separately and became the dominant force in U.S. retail equity execution.
Citadel Securities: The Market-Making Empire
Citadel Securities handles roughly 28% of all U.S. equity trades and more than 40% of retail equity order flow. It is the counterparty or executor on hundreds of millions of trades per day. The firm profits primarily through the bid-ask spread — the difference between what buyers pay and what sellers receive. Critics argue this spread constitutes an undisclosed cost to retail investors that exceeds any 'price improvement' Citadel claims to provide.
Personal Wealth and Political Influence
Griffin's net worth has been estimated at various points between $30 billion and $40 billion, making him one of the 30 wealthiest individuals in the United States. He has deployed this wealth aggressively in American politics, spending more than $100 million in the 2022 election cycle alone — with $50 million going to the Preserve America PAC supporting Florida Governor Ron DeSantis. Griffin has also given tens of millions to Illinois Governor Bruce Rauner, various Republican Senate candidates, and conservative super PACs.
The Move to Miami
In 2022, Griffin announced he was relocating Citadel's headquarters from Chicago to Miami, citing Illinois' business climate and crime concerns. The move came shortly after Griffin had given $50 million to the DeSantis super PAC. Critics noted the timing: Florida's financial regulators are considerably less aggressive than Illinois', and Griffin's political investment in the new home state could insulate Citadel from regulatory scrutiny.
Kevin Nutter and Internal Concerns
The Ethics Reporter has reported on compliance and ethics concerns at Citadel involving individuals including Kevin Nutter. Internal concerns about market structure practices and compliance culture at Citadel Securities have been documented in regulatory filings and legal proceedings.