Point72's quant trading division Cubist Systematic Strategies is facing a legal dispute with former analyst Xin Jin, who claims the hedge fund is withholding more than $30m in investments and compensation, following allegations that he used artificial intelligence tools to extract proprietary research and trading code, according to a report by eFinancialCareers.

Jin joined Cubist in 2019 as a research analyst in its KEPL mult i-asset systematic trading team, which specialises in medium-frequency statistical arbitrage. His initial compensation package included a $175,000 base salary, a $50,000 signing bonus and a guaranteed first-year bonus of $175,000, bringing total starting compensation to $400,000.

The dispute began after Jin informed Point72 on 16 September that he had accepted a position with a rival investment firm. Cubist dismissed him for cause two days later, alleging that he had used AI coding assistants to access and compile confidential research belonging to colleagues.

According to court filings, Cubist claims Jin conducted 4,117 queries across 2,416 sessions using Anthropic's Claude Code and OpenAI Codex between February and May 2026. The firm alleges that some prompts were designed to extract and organise proprietary investment research into portable materials that could potentially be used at a competing hedge fund.

Jin disputes the allegations, with his legal representatives describing the claims as without merit. He maintains that he has cooperated with a forensic review of relevant devices and accounts and alleges that Cubist is wrongfully withholding more than $30m in investments and compensation. The precise composition of the disputed sum has not been disclosed.

The case raises questions about the use of AI coding tools within quantitative investment firms, particularly where automated systems can access sensitive trading research and proprietary intellectual property. It also highlights potential disputes over employee compensation and co-investments when senior hedge fund professionals leave for competitors.

Jin's next position is not scheduled to begin until June 2028, following the expiration of his non-compete restrictions. The legal proceedings remain ongoing, with the competing claims yet to be determined by the court.