(Bloomberg) -- Millennium Management is planning to raise new cash equivalent to about 10% of its $68 billion in assets as the multistrategy hedge fund giant looks to bolster its ability to access capital when needed.

The New York-based investment firm is in talks with investors to get their commitments in a so-called draw-down fund that will allow Millennium to call the cash at will, according to people with knowledge of the matter.  

The firm plans to raise the cash by the end of this year or in early 2025, said the people, asking not to be identified because the details are private. Plans are at an early stage and the called capital will be invested in the firm’s longer-term share class that takes five years to fully exit.

Millennium previously raised $14 billion in a similar vehicle. It has called about 80% of that capital, including $3 billion in June, the people said. The facility, which is similar to the ones with greater popularity in the private equity industry, expires at the end of this year if the remainder of the cash isn’t called.

A representative for Millennium declined to comment.  

While the hedge-fund industry is facing persistent capital outflows, giants like Millennium, Citadel, Point72 Asset Management and Balyasny Asset Management have all slammed their doors on new cash despite rampant demand for their funds. Some of them have periodically opened to receive new cash.

Millennium had been trying to lock up investors’ cash for longer during the past decade. Its executives see more-stable capital as key to attracting and retaining investment professionals as well as allowing the business to avoid a rush of withdrawals when markets are in turmoil. 

The firm has returned about $38 billion since 2020, but much of it came back in a new share class that allows investors to withdraw only 5% each quarter, extending the full redemption period to five years.

Millennium, which has more than 330 investment teams that deploy the firm’s capital across asset classes, posted gains of 5.8% this year through May.

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