Douglas Haynes, former President of Steve Cohen's Point72 Asset Management, has abandoned his plans to launch a new hedge fund firm – Norias Research Group – citing challenges in raising sufficient capital, according to a report by Bloomberg.

Haynes and his team had been working to establish the new multi-strategy fund which was designed to capitalise on investment ideas generated by analysts rather than relying on high-cost portfolio managers.

The report cites a letter to potential clients as explaining that despite building a team of 30 professionals and developing its trading infrastructure, the funs had been unable to secure enough initial investors to proceed.

"We were unable to secure a sufficient base of day-one investors to launch," the letter stated, confirming that the firm would not move forward with the fund.

A representative for Norias confirmed the decision to halt the fund's launch.