Tyrus Capital, the hedge fund set to be launched by former Deephaven manager Tony Chedraoui today, has raised more than $800 million, signifying how optimism about this investment sector has recovered after the battering of last year, the Financial Times said.

The deadline for initial investor subscriptions closed last Friday, when the fund's management was still waiting on a final figure. According to people close to the fund, interest far exceeded expectations, the publication said.

Tyrus had been expected to raise about $500 million - which would still have been sufficient to make it the largest hedge fund launch this year by a substantial margin. It is understood to be expecting a further $300 million in subscriptions this month and could end the year with $1.4 billion under management.

Tyrus will specialise in event-driven strategies that seek to make money as a result of specific events or announcements, such as rights issues, mergers or management changes.

As previously reported by WealthBriefing, the hedge fund industry has witnessed a run of new hedge fund launches, in some cases using the pan-European UCITS wrapper to make funds more attractive to investors concerned about transparency and liquidity.