Ken Griffin's Citadel Securities generated a record $4.3bn in trading revenue during the first quarter, capitalizing on market turbulence driven by Iran conflict and AI-driven stock swings. The firm also posted $1.9bn in net income, according to sources familiar with the matter. Citadel Securities declined to comment on the figures.

Market volatility has created a windfall for trading firms as investors react to geopolitical uncertainty and technological disruption. Oil prices and Treasury rates fluctuated significantly while investors priced in risks to software and other sectors. Trading desks match buyers and sellers, profiting from price differences across financial assets.

Citadel Securities now competes with traditional banks in high-touch client services, recently recruiting Elan Luger from JPMorgan's equities division. This expansion puts the firm in direct competition with banks, though it maintains no specific conflicts exist. The company handles approximately 25% of US equities trading volume.

Meanwhile, Jane Street reported record revenues of $16.1bn and Hudson River Trading brought in $6.4bn, combining with Citadel for roughly $27bn in total trading revenue during the quarter. Jane Street's performance actually exceeded JPMorgan and Goldman Sachs revenues in the same period, highlighting how market-making firms have outperformed traditional banking operations.