These hedge fund bears have raked in millions from the coronavirus-led market meltdown

• Betting against stocks is paying off this week.
• In the last week, Crispin Odey of Odey Asset Management has gained 5% in his European fund, he told The Financial Times.
• In the last seven days through February 26, Russell Clark's Horseman Global fund has gained about 6%, Bloomberg reported.
• Both gains are reversals from dismal annual performances in 2019, when the S&P 500 gained 29%.
• Read more on Business Insider.

Bearish hedge fund managers are reaping millions by betting against the market amid the fastest correction since the Great Depression.

In the last week, Crispin Odey of Odey Asset Management has gained 5% in his European fund, he told The Financial Times. In the last seven days through February 26, Russell Clark's Horseman Global fund has gained about 6%, Bloomberg reported. The two funds manage almost $1 billion in assets.

This week's rapid market descent is a swift reversal in a run of poor performance for hedge fund managers. In January, Odey's fund lost 11.2%, more than its 10.1% loss for all of 2019, spurred by short bets against Tesla. Clark's fund posted its worst year ever in 2019, shedding 35% on contrarian bets against the longest-ever bull market in a year when the S&P 500 gained 29%.

But now, bearish bets against Tesla and US shale oil stocks are boosting Odey's returns, the FT reported. And, Clark's contrarian views are also paying off. In the last six days, the S&P 500 and the Dow Jones Industrial Average have fallen more than 10% amid fears that the coronavirus outbreak will hinder global growth.

It remains to be seen if the fund manager's gains will lead to a better annual performance in 2020 after a dismal year for hedge funds in 2019, when more funds closed than opened for the fifth year in a row. So far, Odey's fund is down about 5% in 2020 despite the recent gains, according to the FT.