VMS Group, a $4bn Hong Kong-based multi-family office with deep ties to the city’s billionaire elite, is pivoting toward hedge fund strategies as client demand shifts away from private equity and into more liquid alternatives, according to a report by Bloomberg.

In response to growing requests for flexibility and faster redemption cycles, VMS has assembled a new public markets team to expand its exposure to hedge fund-style investments. The firm appointed equities veteran Raymond Jook as Managing Director in April, and has since added Kyle Wong and Carmen Tang to round out the three-person unit.

VMS is best known for its private equity focus and its reported affiliation with the Cheng family, the billionaire dynasty behind New World Development Co. While VMS declined to confirm investor identities, it is widely recognised as a key wealth management platform for some of Hong Kong’s most prominent families.

The new team will initially concentrate on public equities and is expected to build a track record ahead of launching a dedicated long-short equity hedge fund, targeting over $100m in external capital by year-end. Over time, the firm aims to evolve into a multi-strategy hedge fund platform, including credit, macro, event-driven, and quant strategies, Cheung said.

VMS’s move also comes as other regional players eye expansion. Andon Hong Kong Ltd, for instance, is opening a New York office to broaden its hedge fund capabilities.

Jook brings extensive industry experience from his previous roles at BOCHK Asset Management, Avant Capital, and UBS. Wong joins from Kaplan, where he specialized in financial markets, while Tang previously worked at Goldman Sachs.