Will Venezuela set off the next “gold rush”? Hedge Fund Tribeca: This is one of the biggest money-making opportunities in history

# Source: Wall Street Insights

By Ye Huiwen

Venezuela’s political upheaval is sparking a "gold rush" among hedge funds. Tribeca Investment Partners, which doubled its returns last year, plans to allocate up to 10% of its capital to the country, with its team already conducting on-the-ground due diligence. Despite extremely high security and legal uncertainties, risk-seeking investors are rushing to seize opportunities before large institutions enter, viewing Venezuela as one of the "biggest investment opportunities in history".

As Venezuela undergoes drastic political changes, Tribeca Investment Partners—a hedge fund that doubled its returns in 2025—is turning its attention to the country, hailing it as one of the greatest investment opportunities of all time. Ben Cleary, a partner at the fund, described the situation as a "massive gold rush" and is actively evaluating local assets to gain a first-mover advantage.

On January 5, Bloomberg reported that Cleary will dispatch an investment team to Caracas this week to meet with potential partners and conduct on-site asset inspections. The team had already held initial talks with several Venezuelan companies about investment opportunities over the weekend. Meanwhile, according to CCTV News, Donald Trump explicitly stated that the U.S. will take the lead in shaping the situation and announced that American energy firms will invest billions of dollars to rebuild Venezuela’s battered energy infrastructure.

Financial markets have reacted swiftly to the geopolitical shift. Bond funds have profited from a rebound in Venezuelan debt prices as Trump intensified pressure in recent weeks. Cleary noted that if reconstruction plans progress smoothly and the country’s environment becomes favorable to foreign investment, he is willing to allocate up to 10% of the fund’s capital to Venezuela. This investment boom stems from the U.S. surprise operation targeting Venezuelan leader Nicolás Maduro; while the move has created enormous uncertainty, risk-tolerant investors have already begun positioning themselves.

As a partner and director at Tribeca Investment Partners, which manages $4 billion in assets, Cleary oversees the Tribeca Global Natural Resources feeder fund—estimated to have delivered a 127% return last year. Commenting on Venezuela’s new landscape, he stated that banks are sending personnel to the country in droves, and meetings facilitated by bankers and brokers from Canadian firms and others are taking place nonstop: "This is a massive gold rush."

## Broad Investment Opportunities: A Prime Time to Profit?

Cleary identified a wide range of investment opportunities, including purchasing shares in listed companies that will benefit from increased resource production and providing private credit to local enterprises. He emphasized that for investors capable of bearing early-stage risks, the current moment presents an excellent opportunity to generate returns.

He believes that while large institutional investors such as pension plans, sovereign wealth funds, and private equity giants may eventually join the investment wave, the current uncertainty acts as a barrier for them. Cleary warned that by the time these highly regulated institutions receive the green light to invest, the most substantial profits may have already been snapped up: "By the time the people who can’t invest are allowed to, the horse will have already left the stable."

## Uncertainties and Risks Go Hand in Hand

Geopolitical tensions are escalating, yet capital markets have begun re-evaluating the value of Venezuelan assets. Bond investors have witnessed a recovery in debt prices following Trump’s increased pressure, and the massive infrastructure investment pledged by U.S. energy companies has further boosted market expectations for the resources sector.

Despite the potential for significant returns, it remains unclear what level of protection investors will receive in Venezuela. As Bloomberg pointed out, amid the country’s evolving security situation, investors face challenges not only in terms of legal recourse but also in the physical control of their assets.

This high degree of uncertainty is a defining feature of Venezuela’s current investment environment. For hedge funds like Tribeca, it represents both significant risk and a source of excess returns; for broader market participants, however, safeguarding asset security amid the volatile situation remains the top priority.

## Risk Warning and Disclaimer

The market is risky, and investment requires caution. This article does not constitute personal investment advice, nor does it take into account the specific investment objectives, financial situations, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are consistent with their specific circumstances. Any investment made based on this article shall be at the user’s own risk.