Steven A. Cohen's SAC Capital Advisors is shutting down its London office by the end of the year as the hedge fund has had to turn to downsizing from a long insider trading investigation. A memo sent from SAC president Tom Conheeney, "As negotiations with the government have unfolded, it has become clear that the outcome the government is demanding is likely to have a greater than first anticipated impact on the firm. We have concluded that we must operate as a simpler firm and reduce our capital allocations." During the summer SAC was indicted by U.S. prosecutors for insider trading. SAC is expected to being paying a $1 billion fine and admit to insider trading in a deal that is not official yet with the U.S. prosecutors.