Point72 Asset Management, owned by billionaire Steve Cohen, plans to return between $3bn and $5bn to investors after achieving significant profits, according to a report by Bloomberg.
The firm informed clients that the funds would be returned in early 2025, the report said, citing sources familiar with the matter.
Point72, which posted approximately 19% returns in 2024, will also reportedly shift certain costs previously covered by Cohen onto clients. This adjustment is expected to slightly increase expenses for investors by a few tenths of a percentage point of assets.
Hedge fund managers often limit new investments and return capital to prevent excessive growth, which can complicate operations in volatile markets and specific asset classes.
This move highlights a broader trend in the $4tn hedge fund industry, where major players like Point72, Millennium Management, and Citadel are managing excess cash while smaller funds face challenges in attracting capital.
