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(Adds details on Conheeney, Cohen's firm, new president)
By Svea Herbst-Bayliss
BOSTON Aug 18 Thomas Conheeney, who was
president of Steven A. Cohen's SAC Capital Advisors during the
years the hedge fund was being investigated for insider trading,
has stepped down from the position at successor organization
Point72 Asset Management, Point72 said on Monday.
Douglas Haynes, a former McKinsey & Co director who joined
the firm earlier this year as managing director for human
capital, will succeed Conheeney as president at Point72 Asset
Management. Conheeney will stay on at the firm in an advisory
role until the end of the year.
Conheeney spent 15 years at SAC, leading the firm first
through the financial crisis and then the insider trading
investigation, which ended last year when the Stamford,
Connecticut-based firm pleaded guilty to insider trading and
agreed to stop managing money for outside clients.
He signed many memos to employees and investors, updating
them as SAC laid off employees, returned money to outside
clients and eventually transformed itself from one of the
world's most successful hedge funds into a family office.
Point72 is now managing Cohen's personal fortune, estimated
to be around $10 billion and will leave the firm as a very
sizable investor within the hedge fund industry. SAC took its
name from its founder's initials and the new name is a nod to
the firm's long-time headquarters, located at 72 Cummings Point
Road in Stamford, Connecticut.
Cohen has never been charged criminally but still faces a
civil administrative action in the matter.
The New York Times first reported Conheeney's departure.
Conheeney is the latest prominent employee to leave Cohen
amid the fallout from the insider trading case, the government's
biggest in it years-long investigation. The firm has shrunk from
about 1,000 employees last year to about 850 now.
In February, Steven Kessler, chief compliance officer at
SAC, left, and roughly one dozen portfolio managers have left
the firm in the last months. To be sure, Cohen has been hiring
as well, recruiters said, noting that he has employed mostly new
One of the most prominent portfolio managers to leave Cohen
is Gabriel Plotkin, who is departing at the end of the year to
launch his own fund with Cohen's financial blessing. The new
firm will be called Melvin Capital, in honor of Plotkin's late
(Reporting by Svea Herbst-Bayliss; Editing by Lisa Von Ahn)