Millennium Management, the $70 billion hedge fund giant, has hired Tom McDonough, a former portfolio manager at ExodusPoint Capital, to lead a new trading team, according to a person familiar with the matter.
New Team at Millennium
McDonough will join Millennium later this year to build and lead a team focused on global macro and systematic trading strategies. The move is part of Millennium's ongoing expansion of its multi-manager platform, which allocates capital to dozens of internal teams.
Millennium, founded by Israel Englander in 1989, manages about $70 billion in assets and is known for its rigorous risk management and high-performance culture. The firm has been actively hiring top talent from rivals, including ExodusPoint, Point72, and Citadel.
ExodusPoint Background
McDonough spent about five years at ExodusPoint, a multi-strategy fund founded by Michael Gelband in 2017. He previously worked at Millennium from 2008 to 2017, according to his LinkedIn profile. His return to Millennium underscores the firm's strategy of rehiring former employees who have proven track records.
ExodusPoint, which once managed $8 billion, has seen assets decline to about $4 billion amid performance challenges and manager departures. The fund lost money in 2022 and 2023, according to reports.
Industry Context
Millennium's hiring spree comes as the hedge fund industry faces increasing competition for talent. Multi-manager firms like Millennium, Citadel, and Point72 have been poaching portfolio managers from each other, offering lucrative compensation packages that can include a share of profits.
"The war for talent in the multi-manager space is intense," said a hedge fund recruiter. "Firms are willing to pay top dollar for proven performers who can generate alpha with controlled risk."
Millennium has added several new teams this year, including a group from ExodusPoint led by former co-head of equities. The firm's assets have grown from $50 billion in 2020 to $70 billion, driven by strong performance and capital inflows.
