HONG KONG, Sept 12 (Reuters) - Arrowpoint Investment

Partners, one of the largest hedge funds launched in Asia this

year, has leased an entire floor at Hong Kong's new Six Pacific

Place as it rapidly expands, according to three sources familiar

with the matter.

The hedge fund, founded by Jonathan Xiong, former Asia

co-CEO of Millennium Management, took up the 22nd floor of the

office tower owned by Swire Properties ( SWPFF ) in Wanchai.

The firm is expected to move from its current co-working

space to the nearly 8,000 square feet (743 sq m) new space in

the first quarter next year, said a source with direct knowledge

of the matter.

Arrowpoint has been on a hiring spree since it kicked off

trading in July. The $1 billion multi-manager fund backed by

investors including Blackstone and CPPIB, is headquartered in

Singapore with the additional office in Hong Kong.

It is on track to more than double its number of employees

to about 100 people in the first quarter of 2025, with about 60%

in Singapore and the rest in Hong Kong, according to the source.

By then it will own over 20 trading teams.

Arrowpoint declined to comment on the business plan.

While many foreign firms have closed offices or trimmed

operations in Hong Kong in recent years amid geopolitical

tensions and a faltering capital market, global hedge funds such

as Citadel and NorthRock have been bucking the trend.

They are lured by Hong Kong's low tax rates and rich talent

supply, according to industry insiders.

JLL data shows the overall vacancy rate of Grade A offices

in Hong Kong rose to 13.7% as at the end of July.

Arrowpoint's Singapore office plans to move to Marina One in

the first quarter, according to the source with direct knowledge

of the matter.