Cantor Fitzgerald & Co, a global investment bank and part of the Cantor Fitzgerald group of companies, today announced the launch of institutional trading for prediction markets.

Cantor will act as an Introducing Broker, arranging and facilitating the execution of institutional-size block trades in event contracts for institutional clients, enabling them to negotiate block trades in event contracts at a single price through Kalshi’s block trading framework, away from the central order book.

Cantor is also collaborating with Susquehanna Predictions, part of the Susquehanna International Group of Companies, a leading liquidity provider in prediction markets, to provide institutional-scale pricing and liquidity for its prediction markets coverage.

Cantor is applying the institutional trading model it has developed across Equities and Fixed Income to a new regulated asset class and will operate the business within its Global Markets division under Co-CEOs Pascal Bandelier and Christian Wall.

Initially, Cantor will facilitate block trades on Kalshi, a CFTC-regulated exchange, with additional venues expected to follow.

“Cantor has spent more than eighty years building institutional access to new markets, and prediction markets are the next one,” said Pascal Bandelier, Co-CEO and Global Head of Equities 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. With the launch of block trading, institutional investors can now access block trading in event contracts through an institutional intermediary they know and trust.”

“Cantor brings deep institutional relationships and significant experience executing in equities and fixed income markets,” said Max Crowley, VP of Business Development at Kalshi. “We’re looking for partners who think creatively about where event contracts fit in a client’s portfolio, and who see the new use cases and hedging opportunities that come with it. Cantor is exactly that kind of firm.”

“We believe the next area of material growth for prediction markets will be large institutional risk transfer,” said Joe Grubb, Head of Business Development at Susquehanna Predictions. “We are able to price and execute custom, tailored contracts for institutional counterparties desiring to hedge both general market and bespoke industry risk currently unserved by traditional insurance markets. Our ability to do so quickly and at scale will provide a valuable solution to this unmet market demand.”