REPORT: Billionaire Steve Cohen is facing a UK regulatory hurdle


Getty Images

LONDON – A fund set up to manage the wealth of Steve Cohen, the
billionaire who ran one of Wall Street’s most infamous hedge
funds, is facing a regulatory struggle in the UK, the
Financial Times reported.

Point72, which Cohen set up in 2014 to manage around $11
billion of personal wealth, has been notified by the
Financial Conduct Authority that it intends to reject an
application for regulatory approval, the FT’s Lindsay Fortado and
John Gapper said.

While family offices can operate without approval in the UK, they
must seek special authorisations from the FCA to manage the
assets of other clients.

Around 1,100 people work at Point72, which has its headquarters
in Stamford, Connecticut. Point72 and the FCA declined to
comment. 

The US Securities and Exchange Commission in 2013 barred
the firm that made Cohen’s name as an investor, SAC Capital, from
managing outside money after it pleaded guilty to insider
trading. Cohen wasn’t personally charged. That ban lifts in 2018,
following a

 
settlement
that ended charges that Cohen hadn’t properly supervised a
portfolio manager

, Mathew Martoma, who had engaged in
the insider trading.

Cohen is reportedly planning to launch
a new
fund
, reportedly with a goal of managing as much as $20
billion.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

16 + 9 =