UK markets closed
  • NIKKEI 225

    28,930.11
    -628.99 (-2.13%)
     
  • HANG SENG

    29,236.79
    -643.63 (-2.15%)
     
  • CRUDE OIL

    64.03
    +2.75 (+4.49%)
     
  • GOLD FUTURES

    1,694.90
    -20.90 (-1.22%)
     
  • DOW

    30,924.14
    -345.95 (-1.11%)
     
  • BTC-GBP

    34,615.48
    -1,962.21 (-5.36%)
     
  • CMC Crypto 200

    963.38
    -23.83 (-2.41%)
     
  • ^IXIC

    12,723.47
    -274.28 (-2.11%)
     
  • ^FTAS

    3,792.09
    -16.15 (-0.42%)
     

Steven Cohen's fund Point72 suffers 15% loss amid GameStop frenzy: NYT

·1-min read
Steven Cohen, Chairman and CEO of Point72 Asset Management, speaks at the Milken Institute Global Conference in Beverly Hills

(Reuters) - Billionaire investor Steven Cohen's Point72 Asset Management has suffered a nearly 15% loss this year due to a sudden surge in the shares of video-game retailer GameStop Corp, the New York Times reported https://nyti.ms/2YiotoW on Wednesday.

The losses at Point72, which manages nearly $19 billion in assets, came in part from its investment in hedge fund Melvin Capital Management, which had made a massive bet against GameStop, the report said.

But as GameStop soared 700% over the past two weeks, boosted by increased interest among amateur investors, Melvin faced sudden losses.

One of the rescuers was Cohen's hedge fund, which has roughly $1 billion under management with Melvin, NYT said.

Point72 decided to add $750 million, Melvin said on Monday, besides accepting an investment of $2 billion from Citadel, the Chicago-based hedge fund led by Ken Griffin.

Point72 declined to comment when contacted by Reuters.

A spokesman for Melvin, founded in 2014 by Gabriel Plotkin, said the fund has closed out its position in GameStop and repositioned the portfolio.

(Reporting by Juby Babu in Bengaluru; Editing by Arun Koyyur)