Point72 kicks off new private credit strategy, statement shows

NEW YORK (Reuters) – Point72 Asset Management has hired Todd Hirsch, a former senior managing director at Blackstone (NYSE:), to head a new strategy focused on the fast-growing private credit business, according to an internal statement seen by Reuters.

Steve Cohen, the firm’s founder, said in the statement that demand for private credit “continues to exceed supply,” creating a good environment for the new strategy.

With over $3 trillion in assets under management globally, according to the Alternative Credit Council, the private credit industry includes firms such as Blackstone, KKR, Carlyle and Ares Management (NYSE:).

“In this new role, Todd will build and manage a portfolio of private credit and asset-backed investments,” Cohen said in the statement, adding the strategy will focus on sectors such as technology, business services, financial services, healthcare information technology, insurance and payments.

Initially, private credit will be an additional strategy of Point72’s multi-strategy hedge fund, according to a source familiar with the matter. It is undetermined if Point72 will raise a separate private credit fund in the future or make it a standalone business, this person added.

Point72 manages $35.2 billion in assets, its website shows.

Bloomberg reported earlier on Point72’s private credit inroads.