Coatau Management, a hedge fund that plunged heavily into tech startups during the pandemic-infused boom, is raising $1 billion to back AI-focused companies, Bloomberg reported Monday.

The funding will top up the firm's flagship fund and will be mostly raised from institutional investors. However, high-net-worth individuals with accounts at brokerage Raymond James and Associates may also invest in Coatue, according to the report.

With around $50 billion in assets under management, Coatue invested in more than 170 VC-backed companies in 2021, according to PitchBook data. Since then, it dramatically slowed its startup investment pace; in 2022, it backed just 81 companies and a bit over 30 in 2023.

The crossover investor isn't finished investing in private companies, though. Through the first half of 2024, according to PitchBook data, Coatue has backed 29 startups. Among its most recent AI-focused investments were Glean, Scale AI, and Skild AI, which is working on a general-purpose AI robot. Philippe Laffont, the founder of Coatue, said he is particularly excited about humanoid robots with AI-powered brains.