Samlyn has exited equity positions across nearly every sector outside global financials and is cutting senior investment staff as the $7bn hedge fund narrows its investment strategy following a difficult year, according to a report by Bloomberg.

The New York-based firm, led by founder Rob Pohly, sold holdings across industrials, technology and retail several weeks before the latest market selloff, which has triggered significant losses across the hedge fund industry. Samlyn was down approximately 5% year-to-date through October, according to people familiar with its performance.

The restructuring will see Samlyn concentrate primarily on global financial equities, a sector in which Pohly has specialised throughout much of his investment career. The firm is retaining analysts covering financial stocks while dismissing senior staff focused on other industries.

Samlyn is not returning capital to investors. Instead, proceeds from the portfolio reductions will be reinvested in financial equities or held as cash for future deployment, allowing the manager to maintain flexibility as it transitions towards a more concentrated strategy.

Pohly founded Samlyn in 2007 after previously working at Julian Robertson's Tiger Management and Sigma, an affiliate of Steve Cohen's former hedge fund SAC Capital. He remains the firm's sole portfolio manager.

The shift comes amid a broader reassessment of equity exposures across the hedge fund industry, with October's sharp market reversals prompting managers to reduce risk, restructure investment teams and reconsider portfolio allocations.