TLDR
- Cantor Fitzgerald is giving its 3,000 institutional clients access to Kalshi’s prediction markets
- Cantor will act as broker, arranging block trades in event contracts on the CFTC-regulated exchange
- Susquehanna International Group will provide pricing and liquidity for the trades
- Hedge funds are interested in trading contracts tied to iPhone sales and AI supply chains
- Kalshi has been pushing to attract institutional investors, completing its first block trade earlier this year
Cantor Fitzgerald has announced plans to give its roughly 3,000 institutional clients access to prediction markets trading on Kalshi. The firm will act as broker, helping clients arrange and execute large block trades in event contracts.
Today, Cantor announced the launch of institutional block trading in event contracts for prediction markets as an introducing broker on @Kalshi, a CFTC-regulated exchange, with Susquehanna providing institutional-scale pricing and liquidity for its prediction markets coverage.… pic.twitter.com/eDRCk8L1T8
— Cantor (@Official_Cantor) August 19, 2026
Susquehanna International Group, Kalshi’s flagship market maker, will provide pricing and liquidity for the trades. The partnership makes Cantor one of the first full-service investment banks to offer this kind of access on a CFTC-regulated exchange.
Prediction markets allow participants to trade yes-or-no contracts tied to the outcome of future events. These can range from weather forecasts and commodity prices to corporate earnings results.
Pascal Bandelier, co-CEO and global head of equities at Cantor, said institutional demand is already there. “The investor base that we’ve met has been really keen on entering and participating in the prediction markets,” he said.
Hedge Funds Eye Event Contracts Over Stock Bets
Hedge funds have shown interest in trading contracts tied to iPhone sales rather than betting on how Apple shares will move. Bandelier said family offices are also exploring event contracts to hedge risks around weather and commodities like crop outputs and oil prices.
Joe Grubb, head of business development at Susquehanna Predictions, said other use cases include risks tied to artificial intelligence supply chains and the price of computing power.
Institutions will also be able to propose their own markets. Kalshi and its partners have already been in early discussions with investors about what contracts they would want to see created.
Kalshi’s Push Into Institutional Trading
Kalshi completed its first block trade earlier this year, a contract tied to carbon allowances in California that was built specifically for that trade. The company also partnered with Interactive Brokers, a platform used by professional traders and hedge funds.
Max Crowley, vice president of business development at Kalshi, said demand from institutions is clear. “We get a lot of questions of, I do want to hedge specific event risk, but I don’t know how to do it,” he said.
Prediction markets have historically been retail-focused, with much of the volume tied to elections and sports. Kalshi has been working to broaden that.
Bandelier said at Cantor: “Prediction markets are growing rapidly, but institutional participation has not kept pace because investors have lacked the ability to transact at scale on a regulated exchange. The liquidity is here.”
The move signals a shift in how Wall Street views prediction markets, treating them less like a betting product and more like a trading and risk management tool.
Grubb added: “We believe the next area of material growth for prediction markets will be large institutional risk transfer.”
Stop guessing and start investing with confidence. KnockoutStocks gives you the AI insights, market intelligence, and stock research you need to spot opportunities, cut through the noise, and make smarter investment decisions — all in one powerful platform.
Sign up today and get 50% OFF full access to our premium stock picks.
Simply use coupon code SPECIAL50 at checkout to claim your exclusive discount.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
