Capula Investment Management seeks investor capital for new trading strategy

Capula Investment Management, one of Europe’s largest hedge funds, is raising capital for a new trading strategy as the firm accelerates its push beyond the fixed-income arbitrage playbook that made it famous.

The London-based firm, which manages roughly $32-35B in assets, has spent 2026 methodically expanding its toolkit. It allocated $450 million to Cinctive Capital Management in May, hired energy traders to cover European and US futures, and is now courting investors for yet another strategy.

A fund in expansion mode

Capula was founded in 2005 by Yan Huo and Masao Asai with a laser focus on fixed-income relative value trading.

The $450 million allocation to Cinctive Capital Management, completed on May 29, was structured as a separately managed account. That means Capula retains oversight and transparency into how the capital is deployed while tapping Cinctive’s stock-picking expertise for additional alpha.

Then came the personnel moves. Capula brought on energy traders Wouter Verdam and Jakob Stawiarz to bolster its presence in European and US energy futures.

Institutional backing tells a story

Dai-ichi Life Holdings, one of Japan’s largest insurers, increased its ownership stake in the firm to approximately 15% in 2025.

Meanwhile, New Jersey’s Division of Investment committed up to an additional $500 million to Capula’s Tail Risk Fund in late 2025.