Macro hedge fund Palinuro Capital, founded by former ING portfolio manager Alfonso Peccatiello, is in discussions to raise up to $400m in new capital as institutional appetite for macro strategies continues to build, according to a report by Financial News London.
The London-based firm, which began trading in January 2025, is understood to be in talks with a Canadian pension fund and two multi-strategy hedge funds regarding a potential investment, according to a source familiar with the matter.
Palinuro Capital currently manages approximately $50m in assets and focuses primarily on rates and foreign exchange derivatives trading. Since launch, the fund has generated gains of 8.7% through 28 January, the source said, slightly ahead of the broader macro hedge fund average return of around 7% in 2025, according to HFR data.
Peccatiello founded the firm after spending seven years at ING, where he joined as a portfolio manager in 2014 before being appointed head of investments at ING Germany in 2018. In that role, he was responsible for managing a $20 billion portfolio.
Alongside the hedge fund, Peccatiello also established institutional macro research platform The Macro Compass in 2022. The research business has helped build a substantial following across social media platforms, with more than 460,000 followers on X and over 100,000 on LinkedIn — visibility that Peccatiello has previously cited as a contributor to early asset-raising efforts.
The fundraising discussions come amid renewed momentum for hedge fund capital raising more broadly. According to HFR, the industry attracted $116bn in net inflows in 2025, marking its strongest year for investor allocations since 2007.
Recent launches and fundraising efforts across the sector underline the trend, including Kite Lake Capital’s reported talks to raise $500m for its flagship event-driven fund, Squarepoint’s $200m backing of Invictus Investment Partners, and Millennium Management’s $3bn seeding of KR Capital, founded by former Marshall Wace portfolio manager Ravi Naresh.
