Are the Feds going after Stevie Cohen? If they don't it's not for lack of trying. Katie, the Feds are going after insider trading we have the case against Raj which Raj did not, not do so well in. A lot of people assume that, that Stevie Cohen is the big prize that they will next try to go after him. What are your sources telling you on that? Well, one of the reasons that people wanna go after Steve Cohen is because he's been wildly successful, and nobody can really figure out how he's done it. If you look at his track record, Steve Cohen has produced about 30 % annual return, since, since he went into business. So, over almost 20 years, he's outperformed the market by a huge amount. If you don't believe that his 30 % annualized return was done because he is the greatest investor of all time, [ CROSSTALK ]. Then speak for yourself. It could be because he had access to, inside, you know, inside knowledge. They, they, he knew what was going to happen with the company before it happened. [ INAUDIBLE ] made insider trading a huge focus he went after Raj. There's been a lot of talk about how they haven't gone after, innocent guys like a **** Ford and, Angelo Mozilo. Those guys are totally innocent. Sure. absolved. Totally, totally innocent. So, so do we feel like there's a good chance, that they're going to bring a bigger, an even bigger [ INAUDIBLE ]. All right. In the governments defense, insider trading is illegal. So to go after insider trading is, is not exactly sibberate. Right. Well, it's innocence not illegal. Like **** Fold. **** Fold is totally innocent. [ LAUGH ] But I understand what you're saying. People, people could make the argument that many, many more people were hurt by the collapse of Wall Street and that many more people are out of a job because of it. And that people aren't being harmed by Steve Cohen perhaps allegedly trading on deals before they're announced. Back to Steven Cohen. He has an amazing track record, and yet all sorts of government agencies are looking into, in, into what's going on with the firm. You have former SEC employees who have all plead guilty to insider trading, you have a lot of people who are related to the firm, pleading guilty to insider trading and Senator Grassley. It just so happens. It just so happens. If Senator Grassley wrote a letter saying, I wonder why this could be. I think we should really look into the culture of this firm. Now, Grassley probably has his own reasons for doing this. Right. I don't wanna say self- serving, but. Right. I would never say that. Never about a congressman. Right. So, he's pressured other agencies, including the FCC to look into SAC. Right. Right. That's interesting. now, I, I guess one of the deals that everyone is looking at is this, is this deal with AstraZeneca and Medimmune a few years ago. That's right. In 2007 there was a $ 15 billion merger. There was a lot of trading in the stock in the couple weeks before the deal was actually announced, and apparently, SAC was a firm that was heavily involved in the name. So, they'll wonder did, did the traders of the firm actually know something that nobody else knew? Right. But here's the thing. They might get traders at SAC. They might have people plead guilty. Right. But to actually tie this to Steve Cohen is gonna be very very difficult. He sits at the top of the firm. He himself is not all that all that's coming up with all these trading ideas, and they're being fed to him by other people. So he has, he has sort of a built in way, and he has the s, the structure built in. There's a lot of deniability. His ability to claim his innocence. Right. So if what they want [ CROSSTALK ]. [ UNKNOWN ] One of the reasons, one of the many reasons **** Fuld is so innocent. And so if you want, so if you wanna make the case that people are inside trading at SAC, it's very different than getting Steve. Now, I spoke with somebody who formally worked at the agency and said, do you think it's worth it to pursue if they cannot get Steve Cohen, which it looks like they may not. Right. And he said, well, they're all, an, any time you get somebody to plead guilty it's a victory. It was, it's hollow. Right. It's hollow. They really want him. Right.

The government is cracking down on insider trading, and the hedge fund manager\'s consistent 30% return raises questions about his practices.

Is Steven Cohen in the SEC\'s sights