Sir Chris Hohn, the billionaire hedge fund manager, has announced a significant increase in his charity’s contributions to good causes, following an exceptional investment gain exceeding $1 billion.

This noteworthy rise comes in contrast to the $487 million net loss experienced by the Children’s Investment Fund Foundation (CIFF) in 2022, leading to a pledge of $549 million for charitable endeavors in 2023, up from $491 million the previous year, as indicated by the foundation’s financial reports.

Founded by Hohn, now 57, and his former wife Jamie Cooper two decades ago, the foundation has emerged as a formidable entity in the realm of philanthropy, supported by a robust investment portfolio of $5.9 billion. The CIFF addresses a range of causes, from initiatives combatting climate change to programs designed to reduce the spread of HIV and alleviate child malnutrition.

As the chair of the foundation, Hohn was honored with a knighthood in 2014 for his contributions to philanthropy and international development. The foundation’s investment assets are managed by TCI Fund Management, the hedge fund led by Hohn, which had approximately $57 billion in assets under management at the start of the year.

Through TCI, Hohn has gained a reputation as a leading activist investor, acquiring stakes in major corporations such as Alphabet, the parent company of Google, and Airbus, the European aerospace company, while advocating for changes to enhance their market valuations.

His fund showcased remarkable performance last year, achieving nearly 33 percent growth. Although it faced an 18 percent decline in 2022 during turbulent market conditions, prior to that, it had enjoyed a 13-year stretch of consistent profits.

This financial success has resulted in significant personal wealth for Hohn, who is the child of a Jamaican car mechanic and secured the 32nd position on this year’s Sunday Times Rich List, with a net worth of £6.1 billion. Notably, Rishi Sunak, a former prime minister, was employed at TCI before pursuing a career in politics.

A representative for the foundation commented: “Through our asset manager’s responsible and long-term investment strategy, we have seen the most considerable increase in CIFF’s endowment value year-on-year.

“The outstanding investment returns provide CIFF with the financial strength and stability to make significant long-term commitments to our grantees, thus accelerating our charitable mission: to improve children’s lives.”