Steven Cohen: Coaxing Capital into Cornerstones

Steven Cohen: Coaxing Capital into Cornerstones

By Charles Joseph | Editor, Financial Affairs
Reviewed by Corey Michael | Senior Financial Analyst

Steven Cohen is a renowned American billionaire and hedge fund manager. He is the founder of Point72 Asset Management and S.A.C. Capital Advisors. This investment mogul is known for his significant involvement in the finance world and his philanthropic efforts. Cohen’s successful career is a testament to his skills and knowledge in finance and investment, making him one of the most influential figures in the field. Over the years, he has made considerable investments in various fields, which has ultimately built his fortune.

1. Early Life and Education of Steven Cohen

Steven Cohen was born on June 11, 1956 in Great Neck, New York to a Jewish family. His father was a garment manufacturer and his mother was a piano teacher. Cohen grew up in a modest setting and was one of eight siblings.

In terms of education, Cohen attended Wharton School at the University of Pennsylvania and graduated with a degree in Economics in 1978. It was during his time at Wharton School that his interest in finance and stock trading began.

2. Career Highlights and Achievements in Asset Management

Steven Cohen’s career in finance began with a Wall Street brokerage firm, Gruntal & Co, where he was handling proprietary trading. His successful stint in the firm led him to establish his own company, S.A.C Capital Advisors, in 1992. The hedge fund started with $20 million of his own money, and it soon gained high returns largely due to his skill and ability to make strategic financial decisions.

S.A.C Capital Advisors became one of the most successful hedge funds, managing up to $16 billion at its peak. However, the firm was caught up in insider trading investigations in 2013, leading to its closure. In 2014, Cohen founded Point72 Asset Management, a hedge fund where he reinvented his approach to investing and risk management. As of today, he remains active in the hedge fund industry, leading his firm to new heights.

Want More Financial Tips?

Get Our Best Stuff First (for FREE)
We respect your privacy and you can unsubscribe anytime.

3. Philanthropic Efforts and Contributions

Aside from his notable success in the financial industry, Steven Cohen is also recognized for his significant philanthropic contributions. He established the Cohen Veterans Network, a network of mental health clinics that offer free care to veterans and their families. Moreover, he launched the Steven & Alexandra Cohen Foundation, named after him and his wife, which focuses on children’s health, education, and the arts.

His generous donations to various causes have made a substantial difference in many lives. Cohen’s charity work and his drive to use his influence and wealth for the benefit of others is a significant part of his legacy.


Throughout his life, Steven Cohen has proven to be an influential figure in the world of finance and philanthropy. His impressive career in asset management and his generous philanthropic efforts illustrate how his strategic thinking and big heart have made a significant impact in numerous fields.

Key Takeaways

  • Steven Cohen is a significant figure in the world of finance, known for founding successful hedge funds – S.A.C. Capital Advisors and Point72 Asset Management.
  • His career started in Wall Street at a brokerage firm, Gruntal & Co, where he handled proprietary trading.
  • Cohen’s educational background, with a degree in Economics from the prestigious Wharton School, played a part in shaping his finance career.
  • Aside from his finance career, his significant contributions in philanthropy including the establishment of the Cohen Veterans Network and the Steven & Alexandra Cohen Foundation, are noteworthy.
  • Despite legal troubles leading to the closure of S.A.C. Capital Advisors, Cohen managed to bounce back and maintained his influence in the asset management industry.

Related Questions

1. What personal experiences shaped Steven Cohen’s career?

Steven Cohen’s interest in stock trading began during his time at Wharton School which set the foundation for his successful career in finance.

2. How did Steven Cohen handle the allegations against S.A.C. Capital Advisors?

Following the insider trading allegations against S.A.C. Capital Advisors, Cohen handled it by paying fines, closing the hedge fund, and later launching Point72 Asset Management, reaffirming his place in the financial world.

3. How has Steven Cohen contributed to society through his philanthropic efforts?

Cohen has made substantial contributions to society, especially to veterans and their families through the Cohen Veterans Network, and children’s health, education, and arts through the Steven & Alexandra Cohen Foundation.

4. What is Steven Cohen’s approach to investing and managing risk?

While specific details of his strategies are not public knowledge, it’s evident from his successful hedge funds that Cohen prioritizes strategic financial decisions and diligent risk management to optimize profits.

5. What is Cohen’s current role in Point72 Asset Management?

Steven Cohen remains actively involved in Point72 Asset Management, continually navigating the firm towards new heights in the finance industry.