URGENT UPDATE: Point72 Asset Management, founded by billionaire Steve Cohen, is making headlines with a major restructuring of its stock-picking division, set to take effect in January 2026. According to an internal memo obtained by Business Insider, the firm will split its fundamental equities unit into two distinct brands: Point72 Equities and Valist.
This strategic move aims to enhance access to corporate executives and strengthen relationships with Wall Street banks. The new structure comes as the $41.5 billion firm seeks to position itself for future growth in an evolving investment landscape.
The memo, sent out to employees on Monday by Cohen and co-chief investment officer Harry Schwefel, reveals that Valist will kick off with approximately a dozen investing teams focused on various sectors. Both brands will report to the same leadership and share resources, but they will operate from separate floors in the office, establishing distinct identities.
A key motivation behind the creation of Valist is its ability to establish a separate commercial relationship with Wall Street. This shift will empower portfolio managers to gain increased access to CEOs and insights from bank analysts—essential for making informed investment decisions. The memo highlights that this new structure mirrors trends among multistrategy funds, such as Millennium and Citadel, which have adopted similar models for their stock-picking operations.
In the current competitive climate, firms are rethinking their approaches to corporate access. With Valist, Point72 aims to give its teams an edge in navigating relationships with investment banks, enhancing their capacity to trade and research effectively.
Cohen’s firm is following a path already established by industry leaders like Ken Griffin’s Citadel, which operates four different equities units, and Balyasny, which has multiple brands for its portfolio managers. The split at Point72 is positioned as a strategic response to the changing dynamics in the finance world.
“Our fundamental equities strategy has been the flagship of our firm for over 30 years, and we look forward to building on that foundation,” Cohen and Schwefel stated in the memo. With this bold move, Point72 is not just restructuring but also preparing for a new era of investment management that prioritizes direct access to corporate leadership.
As this story develops, stakeholders in the finance industry will closely monitor how this change impacts Point72’s operations and its competitive positioning among top hedge funds.
Stay tuned for more updates on this significant shift in investment strategy at Point72.
