Point72 Splits Stock-Picking Arm to Enhance Corporate Access

Steve Cohen‘s hedge fund, Point72 Asset Management, is restructuring its stock-picking operations, creating two distinct brands: Point72 Equities and Valist. This strategic move, set to take effect in January 2026, aims to enhance the firm’s access to corporate executives and improve relationships with investment banks.

According to an internal memo from Cohen and Harry Schwefel, co-chief investment officer, Valist will commence operations with approximately a dozen investing teams spread across various sectors. Both units will operate under the same leadership and share resources, fostering a collegial environment. However, they will be located on different floors within the office, emphasizing their distinction.

One of the key drivers behind the establishment of Valist is to improve sell-side coverage. This restructuring comes in light of evolving dynamics between multistrategy funds and investment banks. Firms like Point72, along with peers such as Millennium and Citadel, have altered how they engage with Wall Street, particularly concerning corporate access.

The separation into two brands allows portfolio managers to forge stronger relationships with company CEOs and gain insights from bank analysts. Despite operating under different names, both units will continue working for the same fund, ensuring a unified approach while enhancing their market presence.

This trend mirrors the structure employed by Point72’s competitors. For instance, Ken Griffin‘s $69 billion Citadel has established four fundamental equities units: Global Equities, Surveyor, Ashler, and International Equities. Similarly, Balyasny has portfolio managers operating under the Corbets brand, alongside its main equities unit.

Cohen and Schwefel expressed optimism about the future in their memo, stating, “Our fundamental equities strategy has been the flagship of our firm for over 30 years, and we look forward to building on that foundation.” This restructuring positions Point72 for continued growth in an increasingly competitive landscape.

As the financial industry evolves, Point72’s decision to split its stock-picking arm reflects a broader trend among leading investment firms. The shift aims to enhance the firm’s agility and effectiveness in navigating the complexities of modern finance.