Point72 Asset Management
Company type | L.P., Private |
---|---|
Industry | Hedge Fund.[1][2][3] |
Founded | 1992 (converted from SAC Capital Advisors in 2014) |
Founder | Steven A. Cohen |
Headquarters | 72 Cummings Point Road[4], Stamford, Connecticut, United States[5] |
Key people | Steven A. Cohen (Chairman, CEO, and President) |
AUM | US$ 14 billion (as of June 30, 2019)[6] |
Owner | Steven A. Cohen |
Number of employees | 1,400 (2019) |
Website | point72.com |
Point72 Asset Management, L.P., is an American hedge fund. SAC Capital Advisors was founded in 1992 and converted its investment operations to the Point72 Asset Management family office in 2014.[7] In 2018, the firm reopened to external investors after a two-year ban and began accepting outside capital.[5] As of 2019, Point72 employs approximately 1,400 people. Point72 has its main office in Stamford, Connecticut, and there are several satellite offices around the world.[8]
History
2014 S.A.C. Capital converts to Point72
Point72 was founded in 2014 as the successor to S.A.C. Capital, after the firm pleaded guilty to federal insider trading charges and paid a $1.8 billion fine.[9] In March 2014, S.A.C. Capital transferred the bulk of its assets to Point72 and was placed in "run-off," or a winding down of its operations. During this transition, Point72 launched a program a firm spokesperson referred to in a Wall Street Journal article as "the first phase of its transformation and renewal."[10][11]
In the wake of the government's criticism of S.A.C.'s compliance program, Point72 enacted a series of reforms to bolster internal compliance. Former federal prosecutor Vincent Tortorella was hired to fill a newly created role of chief surveillance officer, and former U.S. Attorney for Connecticut, Kevin J. O’Connor, was hired to serve as Chief Counsel.[12] A specialized surveillance unit, composed of ex-CIA, FBI and SEC investigators,[13] was created to emphasize the need for compliance by traders, and in 2014, the firm retained Palantir Technologies, Inc., a Central Intelligence Agency-backed software maker to provide a new tool for compliance and surveillance.[14] During this time, Point72 adopted other software programs designed to bolster internal compliance.[15]
In August 2014, founder Steven Cohen replaced many of the management personnel who had operated S.A.C. Among the changes, he named a new president of Point72, Douglas D. Haynes, and a new chief operating officer, former IBM executive Timothy Shaughnessy.[16][17] Shaughnessy retired in 2018 and was replaced by Gavin O'Connor, who joined the firm from Goldman Sachs.[18]
In 2015, the firm launched the Point72 Academy, an internship program to train new employees according to its mission and values. Point72 describes the program as an effort to build a stronger internal culture.[8][19][20]
There are satellite offices in New York City, Hong Kong, Tokyo, Singapore, London, Paris, Sydney, and Palo Alto.[21]
Business Lines
Point72 & EverPoint
The firm's long/short investment divisions are Point72 Asset Management and EverPoint Asset Management. EverPoint Asset Management headquartered in New York operates a stock trading portfolio.[4] Point72 folded its big data unit into its Market Intelligence team in 2018.[22] In 2018 Point72 had 125 portfolio managers and around 1,000 employees.[23]
Point72 Ventures
In 2016, Steve Cohen established Point72 Ventures, a venture capital fund that makes early-stage investments in Asia, Europe, Central America, and the United States.[24] Point72 Ventures now invests in fintech, machine learning, artificial intelligence, cyber-security and core-enterprise companies. Matthew Granade, the head of Point72’s Market Intelligence unit and a former co-head of research at Bridgewater Associates, is the Managing Partner at Point72 Ventures. As of 2019, the fund is composed of about 15 employees, and its investments typically range from $500,000 to $15 million.[24][25] Pete Casella leads Point72 Ventures-Fintech, Dan Gwak and Sri Chandrasekar lead Point72 Ventures-AI, and David Dubick and Noah Carr lead Ventures’ third sleeve, Point72 Ventures-Core Enterprise.[26]
Cubist Systematic Strategies
Cubist Systematic Strategies is its quantitative investing business.[4] The name was chosen as a reference to cubist art; the New York Times reported that "Cohen is a well-known art collector".[4]
Legal
The New York Times reported that Point72 President Douglas D. Haynes who was hired as managing director for human capital and then became President resigned in March 2018 "amid [a] gender bias lawsuit" and was replaced as president by Cohen.[23]
References
- ^ Kishan, Saijel (October 22, 2015). "Point72's Haynes Says 'Cost of Being Excellent' Keeps Going Up". Bloomberg. Retrieved January 7, 2016.
- ^ point72.com. Homepage. Accessed 2016-03-01.
- ^ Kate Kelly. The second coming of Steven Cohen. CNBC. 2016-01-11. Accessed 2016-03-01.
- ^ a b c d Goldstein, Matthew (11 March 2014). "After Scandal, a New Name for SAC: Point72". No. DealBook. New York, N.Y., United States: New York Times. The New York Times Company. p. B5. Retrieved 6 December 2019.
- ^ a b Goldstein, Matthew; Kate, Kelly (25 December 2017). "Steven Cohen Plans a New Hedge Fund. Investors Are Wary". No. Business. New York, N.Y., United States: New York Times. The New York Times Company. p. B1. Retrieved 12 June 2019.
- ^ "The largest managers of hedge funds (P&I Sep 2019)". No. Special Report Hedge Funds. United States: Pensions & Investments. Crain Communications Inc. 16 September 2019. Retrieved 15 October 2019.
- ^ "Steven A. Cohen - Point72 Asset Management". Point72 Asset Management. Retrieved 2017-04-27.
- ^ a b Foxman, Simone (March 10, 2015). "Cohen's Firm said to hire 30 seeking edge in public data". Bloomberg.
- ^ Protess, Ben; Lattman, Peter (4 November 2013). "After a Decade, SAC Capital Blinks". No. DealBook. New York, N.Y., United States: New York Times. The New York Times Company. p. B1. Retrieved 6 November 2013.
- ^ Copeland, Rob (April 7, 2015). "Steve Cohen's Investment Firm Appoints New Paid Advisory Board". Wall Street Journal.
- ^ Beeson, Ed (June 27, 2014). "SAC Capital To Dissolve Adviser Business In SEC Settlement". Law 360.
- ^ Burton, Katherine (April 8, 2014). "Cohen hires Tortorella as Surveillance Chief for Point72". Bloomberg.
- ^ Goldstein, Matthew (15 December 2014). "Steven Cohen Seeks Ex-F.B.I. Agents to Join His Investment Firm". No. DealBook. New York, N.Y., United States: New York Times. The New York Times Company. p. B1. Retrieved 6 December 2019.
- ^ Kishan, Saijel (March 19, 2014). "SAC retains Palantir to Boost Surveillance After Charges". Bloomberg.
- ^ Bit, Kelly (June 9, 2014). "Cohen's Point72 Bans Instant Messaging for Some Managers". Bloomberg.
- ^ Goldstein, Matthew (6 May 2015). "Point72 Hires Ex-Prosecutor as General Counsel". No. DealBook. New York, N.Y., United States: New York Times. The New York Times Company. p. B9. Retrieved 6 December 2019.
- ^ Burton, Katherine (May 20, 2015). "IBM's O'Shaughnessy Hired as COO by Point72". Bloomberg.
- ^ Hall, Phil (September 20, 2018). "Two new executives named at Point72". Daily Voice.
- ^ Soule, Alexander (April 23, 2015). "Investment "academy" to debut at Point72". Stamford Advocate.
- ^ Shen, Lucinda (March 11, 2016). "Some First-Year Hedge Funders Would Top The Best Paid Jobs List". Fortune.
- ^ Shapiro, Jonathan (January 25, 2019). "Why Point72, one of the world's top hedge funds, is setting up in Sydney". Financial Review.
- ^ Foxman, Simone (March 5, 2018). "Steve Cohen revamps Point72 data group after early stumble". Bloomberg.
- ^ a b Goldstein, Matthew; Silver-Greenberg, Jessica (17 March 2018). "President of Steven Cohen's Investment Firm Quits Amid Gender Bias Lawsuit". New York, N.Y., United States: New York Times. The New York Times Company. p. A19. Retrieved 6 December 2019.
- ^ a b Wille, Klaus (April 18, 2018). "Steve Cohen Heads East to 'Swing Big' With Venture Investments". Bloomberg.
- ^ Schott, Paul (July 15, 2018). "Cohen-backed venture capital firm eyes emerging technologies". Stamford Advocate.
- ^ Levy, Rachel (May 15, 2017). "Billionaire Steve Cohen hired 2 investors from the CIA's secretive VC fund for a new Palo Alto office". Business Insider.