'Block trade king' goes to court in Hong Kong: 5 things to know

Hedge fund Segantii reportedly shutting down, faces insider trading claim

20240627 Simon Sadler Segantii Capital Management

Segantii, a hedge fund facing accusations of insider trading in Hong Kong, had $4.8 billion in assets under management as of March, and 151 employees. (Source Photos by Echo Wong and Reuters)

ECHO WONG, Nikkei staff writer

June 28, 2024 10:42 JST

HONG KONG -- A high-profile court case brought by Hong Kong's financial watchdog against a local hedge fund has thrown a spotlight on market-moving block trading. Hong Kong has recently stepped up regulation of this market practice, which is little known among small investors.

Hong Kong's Securities and Futures Commission (SFC) is taking Segantii Capital Management to court, alleging that it engaged in insider trading of shares of Esprit Holding, a clothing company.