| BOSTON, March 11
BOSTON, March 11 Steven A. Cohen, whose hedge
fund SAC Capital Advisors pleaded guilty to insider trading, is
changing the name of his firm to Point72 Asset Management as it
shifts focus to managing his own assets from serving as a hedge
fund for wealthy investors following an agreement with the U.S.
"SAC will give way to a new flagship name for the parent
holding company, Point72 Asset Management, where our management
and back office employees will primarily reside," Tom Conheeney,
SAC's president, wrote to employees in a letter seen by Reuters
Speculation had been mounting on Wall Street over what Cohen
would call his firm and whether he might move out of the office
building at 72 Cummings Point Road in Stamford, Connecticut, now
that the firm is taking on a smaller footprint.
The name change reflects the firm's expectation that it will
remain in Stamford at its headquarters "for many years to come,"
Conheeney's letter said. It is also meant to signal a new
beginning for the firm. "We have been through a great deal
during the past few years. Our new names, combined with the
other changes we have announced, are intended to help us to move
forward," he wrote.
The two new long/short trading divisions will do business
as Point72 Asset Management (Point72) and EverPoint Asset
Management (EverPoint). The MultiQuant business will operate as
Cubist Systematic Strategies (Cubis).
The new names will become effective on April 7, completing
the firm's transformation from a hedge fund, which oversaw $14
billion for wealthy clients at the start of last year, to a
family office which will primarily manage Steven A. Cohen's
personal fortune, estimated most recently by Forbes at $11
SAC was forced to stop managing outside money as part of its
plea with the U.S. government when it agreed in November to pay
$1.2 billion to settle securities fraud charges. Prosecutors
charged the firm with insider trading after investigating the
firm for years. Steven A. Cohen, who founded SAC in 1992 with
$25 million, was never charged with any wrongdoing.
Cohen said recently that the firm has about 850 employees;
it once had roughly 1,000.