Coatue Management is raising its third fund to invest in early-stage startups, according to two people with knowledge of the firm’s plans. The fundraising efforts come as the firm’s investments in later-stage startups such as delivery firm Gorillas face steep valuation cuts.

The New York–based investment firm, one of the largest private tech investors, is aiming to raise $500 million by the end of the year for the early-stage fund, according to the people. If successful, the new fund would be equal in size to Coatue’s second early-stage fund, which it raised last year, though smaller than its first $700 million early-stage fund, announced in 2019.