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The career rise of billionaire Steve Cohen, the hedge fund legend who owns the Mets


New York Mets owner Steve A. Cohen
Steven A. Cohen, 68, is well known on Wall Street.Daniel Shirey/MLB Photos via Getty Images
  • Steve A. Cohen, owner of Point72 Asset Management, is a prominent Wall Street figure.

  • Cohen has an estimated net worth of $14.8 billion, per the Bloomberg Billionaires Index.

  • His fund, SAC Capital, pleaded guilty to securities fraud in 2013, though Cohen was not personally charged.

Billionaire Steve Cohen is known on Wall Street for being one of its most successful traders.

The 68-year-old runs the $39 billion hedge fund Point72 Asset Management and was famously dubbed the “hedge fund king” in 2006 due to his grand slam returns.

Cohen started his first hedge fund, SAC Capital Advisors, in 1992 with $25 million and grew into a financial behemoth.

Cohen, however, eventually found himself in a legal battle with the Securities and Exchange Commission over insider trading and fraud charges against his firm in 2012. As part of a $1.8 billion settlement in 2013, the firm pleaded guilty to insider trading and Cohen agreed to an SEC ban on managing outside investments for a period of time.

In 2014, he converted SAC into a family office and launched its successor, Point72 Asset Management. The firm began managing outside money when Cohen’s SEC ban lifted in 2018.

But Cohen’s name isn’t just known within the world of finance.

After years of owning a small stake in the New York Mets, he bought the team for $2.4 billion in 2020. Since then, his reputation as an intense businessman has shifted to that of a passionate owner in the Major Baseball League.

Here’s a look at the career rise of the legendary hedgefunder.

He’s a New York native who grew up in a middle-class family.

street with houses
Cohen was born in Great Neck, New York.Newsday LLC/Newsday via Getty Images

Cohen was one of eight children born to a piano teacher and a garment manufacturer. In high school, the billionaire worked at a supermarket, Bloomberg reported.

He graduated from Wharton with a degree in economics.

The Wharton School
Cohen attended the Wharton School of Business.David Tran Photo/Shutterstock

He studied economics at the Wharton School of Business at the University of Pennsylvania. Outside of class, he traded stocks and beat his friends at poker. He was in a fraternity, too. He joined the Zeta Beta Tau fraternity.

Cohen loved stocks so much that he would trade them in between his classes, according to a 2003 Bloomberg Businessweek profile. In his spare time, he would also beat all of his friends at poker.

He started his career on Wall Street at Gruntal & Co.

wall street
His Wall Street career was successful almost instantly.Spencer Platt/Getty Images

After graduating in 1978, he went to Wall Street to work for at boutique investment banking and brokerage firm Gruntal & Co. as a junior trader in the options arbitrage group.

His beginnings on Wall Street inspired a legend that he made $8,000 his first day and was bringing in around $100,000 each day. He became a star at Gruntal and by 1984, he started running his own group of traders.

Then in 1992, he launched SAC Capital in the same building as Gruntal.

SAC Capital
Cohen left Gruntal to start his own fund with $25 million.Reuters/ Michelle McLoughlin

He launched his own hedge fund in 1992. Cohen rented office space nine floors above Gruntal to start his own $25 million hedge fund, SAC Capital.

Some of his traders from Gruntal joined him there until SAC was headquartered in Stamford, Connecticut.

Cohen has been married two times — first in 1979 and again in 1992.

Steve Cohen and wife Alexandra Cohen walking
Cohen met his second wife, Alexandra Cohen, through a dating service.Adam Hunger/Getty Images

When he was 23, Cohen married Patricia Finke. They had two children together and got divorced in 1988.

In 2009, Finke sued Cohen, alleging that he hid millions from her and some of that money had come from insider trading in RCA shares back in 1985 before it was acquired by General Electric, DealBook reported. A spokesperson at the time called the allegations “ludicrous” and “without merit.” The case was ultimately dismissed in 2011.

He met his current wife, Alexandra Garcia, through a dating service in 1991. Alexandra was a single mom of Puerto Rican descent who grew up in Washington Heights.

They married in 1992 and have four children together.

SAC hit its stride in the early 2000s.

Steve Cohen
SAC had its best year in 2000.Getty Images

In 1998 and 1999, SAC delivered 70% annual returns. Then, in 2000, his hedge fund bet against tech stocks and brought in 70% returns again.

Back in 2006, WSJ reported that SAC’s trading accounted for 2% of all of the stock market activity. This would make them a desired client on the Street.

In the summer of 2013, SAC pleaded guilty to securities fraud.

Preet Bharara, United States Attorney for the Southern District of New York speaks at a news conference
Insider trading accusations were the downfall of SAC.TIMOTHY CLARY/AFP via Getty Images

Cohen wasn’t charged with any wrongdoing in an insider trading case against former CR Intrinsic (a subsidiary of SAC) portfolio manager Mathew Martoma. However, SAC Capital pleaded guilty to securities fraud and agreed to pay a $1.8 billion fine in 2013.

SAC transitioned into a family office managing Cohen’s assets. In 2014, it officially adopted the name Point72 Asset Management.

steve cohen hedge funds 2x1
Point72 was a family office until Cohen’s SEC ban was lifted.Point72; Shayanne Gal/Insider

Cohen agreed to turn SAC Capital into a family office in 2013.

In 2014, the firm rebranded with a new name: Point72 Asset Management. During this time, it managed the assets of Cohen, his family, and eligible employees.

In 2016, Cohen reached a settlement with the SEC over charges that he failed to supervise one of his portfolio managers. Cohen did not admit or deny the charge. As part of the settlement, he agreed to not manage outside capital for two years.

Cohen founded Stamford Harbor Capital in 2016.

stamford, connecticut
Cohen is also a Connecticut resident.Alex Potemkin/Getty Images

The move was seen as his official comeback in money management after SAC’s legal troubles. He formed Stamford Harbor Capital to invest in private funds. As Cohen sent out pitches for his new fund, anticipation for its launch grew.

Two years later, Stamford Harbor Capital merged with Point72 to begin accepting outside capital, raising $5.7 billion over the course of 2018, the company said on its site.

His interests outside work ranged from playing poker in school to art collecting and philanthropy today.

Poker dealer holds cards
Cohen played poker in school. Today, he’s known more for his prominent art collection.Peter Dazeley/Getty Images

Cohen played poker in high school.

“It’s the same with trading. I think about the risk. I think about the trade. I don’t think about the money. Poker—that was the biggest determinant in my learning to take risks,” he told Vanity Fair in 2010.

However, a spokesperson told BI that he no longer plays the card game.

Today, he’s known for his prominent art collection, which he’s been adding to since 2000.

His impressive collection, which was said to be worth around $1 billion at one point, includes pieces by Monet, Picasso, Jasper Johns, Jeff Koons, Damien Hirst, Willem de Kooning, Francis Bacon, and Andy Warhol, according to a 2010 Vanity Fair profile.

In 2022, Cohen’s philanthropic foundation, The Steven & Alexandra Cohen Foundation, celebrated donating more than $1 billion since its formation in 2001.

Cohen bought the New York Mets for $2.4 billion in 2020.

Steve Cohen
Steve Cohen was a longtime Mets fan before he purchased the team.Jim McIsaac/Getty Images

Cohen grew up watching Mets games.

In February 2012, he reportedly bought a 4% stake in the MLB team for $20 million.

He purchased 87% of the Mets for $2.4 billion in 2020. He’s one of the richest owners in the league, and he’s known to engage with fans online.

In 2021, Cohen’s image got a boost and his firm hit a financial milestone.

: Owner Steven A. Cohen and manager Carlos Mendoza #64 of the New York Mets
Cohen became a key part of the Mets fandom.Rob Tringali/MLB Photos via Getty Images

It seemed to be a good year for Cohen. Point72 surpassed $20 billion in assets, and the public perception of Cohen began to change. He was once known as a hedge fund shark, but he gained a following of Mets fans on X, then Twitter, after becoming the team owner.

The momentum kept going in 2023, with big baseball deals and more.

Chris Bassitt #40 of the New York Mets pitches
Cohen spent big on players in 2023.Thearon W. Henderson/Getty Images

In the period leading up to opening day of the MLB 2023 season, Cohen committed over $806 million in contracts to nine players. The Mets’ project player payroll for that year was $377 million, Forbes reported.

On the finance side, Point72 surpassed $30 billion in assets in July 2023.

In September 2024, Cohen gave up trading for Point72.

Steve Cohen
Cohen no longer trades for Point72.Point72

Cohen stepped away from trading his book for Point72 in favor of mentoring emerging investors.

“Point72 continues to be Steve’s primary focus and he’s as engaged as ever. The only change here is that he will spend less time in front of his computer screens and more time working with investment teams and developing talent at the firm,” a previous statement from a firm spokesperson said.

The firm had previously established the Point72 Academy in 2015, which trains undergraduates to be investment analysts, and LaunchPoint, the hedge fund’s incubator for top analysts ramping up to run money.

Point72 has also launched an AI-focused fund.

steve a cohen waving
Point72 now has an AI-focused fund called Turion.Joe Raedle/Getty Images

Point72 launched Turion, a fund dedicated to artificial intelligence, in October 2024. It’s run by portfolio manager Eric Sanchez, and it posted a 14% gain within months of starting out with expectations of growing to $1.5 billion.

Julia La Roche contributed to an earlier version of this story.

Read the original article on Business Insider



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