Steve Cohen bagged $1.7 billion in 2022 with his short bets that profited from the Fed inflation-fighting policy, the pin which pricked the asset bubble of everything.
Steve Cohen is the founder of Point 72, and his latest capital gains tax filing indicates he was one of the few winners of the Fed inflation-fighting policy.
In a zero-sum game, the many reds on the millions of portfolios are the few big greens. Remember the Fed’s inflation is temporary, then the transitory narrative in 2022, then the buy side desk and mainstream included trying to get as many Joes into the market because cash is trash?
“Steve Cohen is the founder of Point 72, and his latest capital gains tax filing indicates he was one of the few winners of the Fed inflation-fighting policy”
WEALTH TRAINING COMPANY
It is how the few manipulate the many into making losses. Calculate how your investment could be more profitable by betting against those trapped in the matrix. Trading psyops is about manipulating an opponent through propaganda and psychology into making losses.
Fear, uncertainty, doubt (FUD), and the fear of missing out (FOMO) are human emotions played like a jukebox.
Steve Cohen bagged $1.7 billion in 2022 with his bearish short trades when the investment psychology sentiment cycle was in FOMO heading into mania
For those unfamiliar short trading is a practice of selling stock or other securities or commodities that one does not own at the time, in the hope of buying at a lower price before the delivery time.
Steve Cohen’s Point 72 is a multi strategy long and short hedge with assets of $26.7 billion as of October 1, according to its website.
Steve Cohen made more than $1.7 billion in personal capital gains in his hedge fund, which posted a roughly 10 percent net gain in 2022. But that figure does not include his share of the fees generated by the hedge fund. So it is possible that Steve Cohen made even more than $1.7 billion in 2022.
“Steve Cohen’s Point 72 is a multi strategy long and short hedge with assets of $26.7 billion as of October 1, according to its website”
WEALTH TRAINING COMPANY
Steve Cohen’s Point 72 discretionary long-short strategy is its largest by assets and headcount. Point72 and EverPoint, one of the firm’s long/short equity divisions, are “sector-aligned multi-manager businesses,” according to the Point 72 website.
Point72’s Cubist Systematic Strategies comprises dozens of investment teams engaged in computerized trading in many liquid markets.
Meanwhile, the Point 72 global macro business makes discretionary investments in developed and emerging markets, including foreign exchange, fixed income, liquid credit, commodities, and derivatives.
Point72 also has a private investment business that invests in venture capital.
So Point72’s approximate 10 percent gain last year was due to the fund’s traders betting against equities; betting that interest rates would rise; and being heavily long the USD dollar through September and October, before betting that the trade would reverse direction.
” the biggest short squeezes in history occurred in January 2021, when shares of GameStop, a struggling video game retailer, suddenly soared in value following a coordinated effort by retail investors on the Reddit forum r/wallstreetbets to drive up the price” – Wealth Training Company
Steve Cohen bagged $1.7 billion in 2022, but his trading career has had its fair share of ebbs and flows
While Steve Cohen’s performance last year bucked the trend, he also made staggering losses during the 2021 meme stock craze.
Indeed, the biggest short squeezes in history occurred in January 2021, when shares of GameStop, a struggling video game retailer, suddenly soared in value following a coordinated effort by retail investors on the Reddit forum r/wallstreetbets to drive up the price.
Bears were trapped in a vice, and Steve Cohen’s outfit, Point 72 lost nearly 15% as small-cap investors caused shares of video gamer retailer Gamestop to surge forcing the oligarchy hedge fund to close positions with losses in the billions.
“Steve Cohen is using his billions to buy American respectability”
– Wealth Training Company
Steve Cohen is a controversial figure, who “pleaded guilty to insider trading charges in 2013 and paid $1.8 billion in penalties.” He was required to stop handling investments for outsiders. Cohen “escaped criminal indictment himself despite being at the helm of S.A.C.
But some of his employees, mules, were not so lucky and were small enough to cage. S.A.C’s Martoma got nine years for insider trading.
So Steve Cohen is now back in the game and on the charm offensive.
There is a stigma attached to profiting from the demise of businesses, people’s misfortune, and their homes and autos being repossessed due to no payment from being unemployed. It is like pickpocketing a stranger hanging off the edge of a cliff, and it is viewed as being un-American.
So Steve Cohen is using his billions to buy American respectability.
Steve Cohen is the proud owner of The New York Mets, an American professional baseball team based in the New York City borough of Queens.
Moreover, Cohen’s windfall from 2022 should be reassuring to Mets fans, who have been ecstatic with his aggressive signing of high-priced free agents.
