Key Takeaways
- • Two Sigma Investments is closing its Eclipse fund, a $120 million legacy hedge fund, effective December 31, 2025, in a move to streamline its fund structure.
- • All investor interests in the Eclipse fund will be subject to compulsory withdrawal by year-end 2025, according to a note from the firm to investors reviewed by Bloomberg News.
- • The closure represents Two Sigma's decision to discontinue the Eclipse fund offering entirely, consolidating its portfolio of investment vehicles.
- • Eclipse has been trading equities and futures since the early 2000s as part of Two Sigma's broader hedge fund operations.
Summary
Two Sigma Investments announced in October 2025 that it is winding down its Eclipse fund, a $120 million legacy hedge fund that has operated since the early 2000s. According to a note sent to investors and reviewed by Bloomberg News, the firm stated that it decided to no longer offer Two Sigma Eclipse funds "in an effort to simplify our fund structure." The compulsory withdrawal of all investor interests is scheduled for December 31, 2025.
The closure marks Two Sigma's strategic consolidation of its fund offerings. Eclipse traded equities and futures strategies during its operational life, representing one of the firm's legacy investment vehicles. By eliminating the fund, Two Sigma appears to be focusing investor capital and operational resources on its core strategies and other active funds within its portfolio.
Two Sigma, a quantitative hedge fund firm founded by billionaire David Siegel and John Overdeck, has historically been known for its data-driven, technology-enabled investment approach. The firm employs data scientists, engineers, and researchers to develop machine learning models and manage complex data pipelines for its investment strategies. This closure is part of broader portfolio management at a firm that operates multiple hedge fund vehicles across different strategies.
Investors in the Eclipse fund will need to finalize their positions or transition capital to other Two Sigma offerings or external managers by the December 31 deadline. The compulsory nature of the withdrawal means no extensions or alternative holding periods will be available for existing Eclipse fund stakeholders.
The closure marks Two Sigma's strategic consolidation of its fund offerings. Eclipse traded equities and futures strategies during its operational life, representing one of the firm's legacy investment vehicles. By eliminating the fund, Two Sigma appears to be focusing investor capital and operational resources on its core strategies and other active funds within its portfolio.
Two Sigma, a quantitative hedge fund firm founded by billionaire David Siegel and John Overdeck, has historically been known for its data-driven, technology-enabled investment approach. The firm employs data scientists, engineers, and researchers to develop machine learning models and manage complex data pipelines for its investment strategies. This closure is part of broader portfolio management at a firm that operates multiple hedge fund vehicles across different strategies.
Investors in the Eclipse fund will need to finalize their positions or transition capital to other Two Sigma offerings or external managers by the December 31 deadline. The compulsory nature of the withdrawal means no extensions or alternative holding periods will be available for existing Eclipse fund stakeholders.
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