The performance and fund-raising plans stand out in a market where investors’ appetite for multistrategy, multimanager hedge funds has begun to abate
[HONG KONG] Arrowpoint Investment Partners aims to raise as much as US$400 million of fresh capital by the first quarter, as the multistrategy hedge fund firm expands the number of investment teams, said a source with knowledge of the matter.
The US$1.2 billion firm, helmed by former Millennium Management Asia co-chief executive officer Jonathan Xiong, is accepting additional money for the first time since October. The extra capital from existing and new investors is expected to put it on course towards US$2 billion of assets by the end of 2026, the source said, asking not to be identified discussing private information. It has received commitments to cover part of that amount.
Chief marketing officer Elizabeth Lo declined to comment.
With its main offices in Singapore and Hong Kong, Arrowpoint is among only a handful of Asia-based firms that follow the business model of global behemoths such as Millennium, Citadel and Point72 Asset Management, allocating capital among armies of investors employing a multitude of strategies. In the race for talent and client money, Arrowpoint, Dymon Asia Capital and Polymer Capital Management have pitched themselves as more sharply focused on the region’s deepening and expanding capital markets.
Arrowpoint won backing from Canada Pension Plan Investment Board, Blackstone and a unit of Temasek Holdings at inception. Its hedge fund began trading in July last year and returned 7.3 per cent in the first eight months of 2025, after a 3 per cent gain in August.
The performance and fund-raising plans stand out in a market where investors’ appetite for multistrategy, multimanager hedge funds has begun to abate. Combined assets at 55 such firms fell for the first time in seven years in the 12 months to June 2024, Goldman Sachs wrote in a report last September.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
While it is not unusual for new pod shops to trail more established peers in the initial months because of the higher relative fixed costs, the shift in investor attitude heightens the pressure on newcomers to deliver.
A significant driver behind Arrowpoint’s results this year has been Asian currency and rates trades, according to the source. You Jiong is set to join as its ninth Asia macro portfolio manager later this month, the source said.
Macro investors can tap broad trends across the equity, fixed-income, currency and commodity markets. You is a former managing director and head of foreign exchange and local markets trading for Greater China at Citigroup. He spent most of the past six years as a senior portfolio manager, first at Millennium, followed by ExodusPoint Capital Management.
SEE ALSO
You will focus on China at Arrowpoint, said the source. Arrowpoint has agreed to back him if he decides to start his own fund in the future, the source added.
Wei Wei, another portfolio manager, joined in August after working for Singapore-based macro hedge fund firm Astignes Capital Asia. Jacky Yeung, formerly of Brevan Howard Asset Management, started earlier this year.
The new arrivals are bolstering the number of investment pods at Arrowpoint to 21, a 20 per cent increase since the end of last year, said the source. Three more portfolio managers have been signed and will start later. BLOOMBERG
