Titan Advisors has told Steven Cohen it’s pulling its money out of SAC Capital, because it doesn’t need the aggravation, The Wall Street Journal reported yesterday.
Titan — the Westchester-based asset-management firm with about $3 billion in client assets allocated to hedge funds — said it wanted to avoid bad press as SAC faces scrutiny because of several former employees linked to insider-trading charges.
It’s unclear how much money Titan had invested with SAC for its clients.
“They’ve told us they still think SAC is a good firm but Titan doesn’t need the headline risk, and we sure don’t,” Tom Taneyhill, executive director of the Baltimore Fire & Police Employees’ Retirement System, told the Journal.
Spokespeople for SAC and Titan said the firms did not have a comment.
SAC is run by the billionaire Cohen, and the firm has posted returns of roughly 30 percent a year since its inception, according to filings.
But more recently, SAC has garnered attention for employees’ run-ins with regulators and criminal authorities investigating insider trading on Wall Street.
Friday, former SAC fund manager Mathew Martoma was indicted by a grand jury in New York, becoming the seventh former SAC employee to be charged or implicated in insider-trading schemes.