Point72 Tops Citadel and Millennium Returns as Multi-Strategy Funds Soar

In the world of hedge funds, New York Mets owner and Point72 Asset Management founder Steve Cohen just hit the equivalent of a World Series-winning grand slam. 

His payday last year totaled $3.4 billion, beating his fellow highest-earning hedge fund managers for the top spot on Bloomberg’s annual listing for the first time. As for the runner-ups, David Tepper of Appaloosa pocketed $3.2 billion, Izzy Englander of Millennium earned $3.1 billion and Chris Hohn of TCI took home $3 billion. 

Cohen’s more-than-$9-million-a-day earnings weren’t the only factor that made Point72 one to watch in the hedge fund Big Leagues. The firm ended the year with an 18% gain — significantly higher than the returns of Citadel’s flagship fund (10%) and Millennium (11%). 

Pod Shop Powerhouses  

Global hedge fund industry capital jumped $642.8 billion in 2025 to end the year at a record $5.15 trillion, according to data from Hedge Fund Research (HFR). It was the best year of performance since 2009, when the Great Recession wreaked havoc on the industry and caused massive fund closures. 

Most of the largest top-tier funds (Point72, Citadel and Millennium among them) are multi-strategy funds, which diversify their strategies to generate returns while reducing risk. These “pod shops” have been the largest-growing segment of the market in recent years, becoming the go-to strategy as volatility has investors turning away from single-manager funds. Point72, which manages $45.7 billion in assets, has expanded the number of trading “pods” to 190, per Bloomberg. It’s building out a private credit operation, prepping for its first venture fund and considering a commodities unit. 

Multi-strategy funds are not slowing down any time soon: 

• A recent survey by Alternative Fund Insight and Citco found that 86% of industry participants expect multi-strategy funds to remain the fastest-growing corner of the hedge fund market, following their strong performance and inflows in 2025. 
• However, the strategy now “demands a higher level of sophistication than ever before” with managers facing three core challenges: managing complexity across multiple strategies and legal entities, maintaining robust risk management and competing for talent, Declan Quilligan of Citco Fund Services said in the report. 

Funds’ Fixations: Global hedge funds were recently loading up on stock from Asian developed and emerging markets, buying a record amount in the week to Friday, Feb. 13, according to a note from Goldman Sachs reviewed by Reuters. The funds were particularly focused on Korea, Taiwan and China, with “modest selling” in India. They’re certainly not as bullish on luxury stocks like LVMH and Kering, the parent company of Gucci, which are struggling amid a slowdown driven by AI-related fears and hedge funds’ short sales.