Cantor Fitzgerald is moving to give its roughly 3,000 institutional clients access to prediction market trading on Kalshi, the CFTC-regulated event contracts exchange. The Wall Street investment bank will act as an introducing broker, arranging large block trades for family offices, hedge funds and other professional investors.
Under the arrangement, clients will be able to trade contracts tied to weather outcomes, commodity prices, corporate earnings, iPhone sales and AI supply chain risks. Susquehanna International Group, one of the world’s largest market makers and Kalshi’s flagship market maker, will provide institutional-scale pricing and liquidity for the trades.
Pascal Bandelier, co-CEO and global head of equities at Cantor, said institutional demand is already building. “The investor base that we’ve met has been really keen on entering and participating in the prediction markets,” he said. Joe Grubb, head of business development at Susquehanna Predictions, added that use cases include risks tied to artificial intelligence supply chains and the price of computing power.
Kalshi has been expanding its institutional footprint after completing its first block trade earlier this year and partnering with Interactive Brokers. The platform operates under Commodity Futures Trading Commission oversight, which gives risk-averse institutions a regulated compliance framework. The initiative could create a secondary market for event contracts and signals that Wall Street increasingly views prediction markets as a trading and risk management tool rather than a retail betting product.
