(Bloomberg) -- Igor Tulchinsky’s WorldQuant, which until recent years managed capital exclusively for hedge fund giant Millennium Management, has now built a $10 billion business running money for outsiders.
WorldQuant Millennium Advisors, a joint venture Tulchinsky started with Israel Englander’s firm to oversee non-Millennium capital, has more than quadrupled in size since raising $2.3 billion in its 2018 debut. Assets under management have doubled in the last year, according to an internal communication seen by Bloomberg News.
WMA was a culmination of years of discussion between Tulchinsky and Englander on the possibility of WorldQuant managing money for external clients. WorldQuant separately oversees about $7 billion exclusively for Millennium, a person with knowledge of the matter said, asking not to be identified because the details are private.
“It is a remarkable stride towards our ultimate vision of achieving 100 billion in AUM across the WorldQuant platforms,” Tulchinsky and the firm’s Deputy Chief Investment Officer Andreas Kreuz wrote in a note to staff, announcing the milestone.
The expansion of the Old Greenwich, Connecticut-based money manager is yet another evidence of large hedge funds growing even bigger as investors migrate away from smaller, single strategy investment firms.
WorldQuant, which initially raised money in its global stocks fund for the new business, has widened its offerings across three asset-management categories, according to the memo. The strategies, which use Millennium’s infrastructure, are primarily long-biased and manage money differently from the way they do for Millennium.
The firm also created a new office of the CIO for WMA, naming Peng Wan as co-CIO along with Paul Griffin and Kreuz, the memo said.
A representative for WorldQuant declined to comment.
Before starting WorldQuant in 2007, Tulchinsky spent 12 years as a Millennium portfolio manager focused on statistical arbitrage — a mathematical strategy that seeks to profit from price differences across markets.
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