Clients of ExodusPoint Capital Management, the $12bn multi-strategy hedge fund firm founded by Michael Gelbrand, pulled about $1bn in funds from the New York-based firm during 2023, the second straight year of withdrawals, according to a report by Bloomberg.

The report cites unnamed sources familiar with the matter as confirming the redemptions which came on the back of hundreds of millions of dollars of withdrawals in 2022, prompting ExodusPoint to raise fresh capital for the first time in three years.

The firm raised $1bn in new investor cash last year to offset the redemptions, despite lacklustre returns lagging rivals such as Ken Griffin's Citadel and Izzy Englander's Millennium Management.

Exodus Point, which launched with a record $8bn in 2018 making it the largest ever hedge fund launched, recorded its best ever return of 13% in 2020 and is up about 2.3% so far this year.