Segantii Capital Management has returned more than 90% of its client capital, just under two months after informing investors of its decision to return their funds, according to a report by the Business Times citing unnamed sources familiar with the matter.

The multi-strategy hedge fund, which managed $4.7bn in assets at the end of May, began the repayment process last month by returning about one-third of its capital. The second repayment occurred in recent days, and a final instalment is expected by October, the sources said.

Hong Kong-based Segantii, along with its founder Simon Sadler and former trader Daniel La Rocca, are facing accusations of insider dealing related to a 2017 block trade with the Securities and Futures Commission having initiated criminal proceedings against the trio in early May. Although the case has not yet gone to trial, it has abruptly ended Segantii’s 16-year streak as one of Asia's leading hedge fund performers.

Founded with $26m in late 2007, Segantii's AUM peaked at $6.2bn in 2021. The hedge fund specialised in Asia-Pacific equities and equity-linked securities, while also engaging in global trading. Segantii earned a reputation as Asia’s block-trade king, often being the first contact for bankers assisting clients with large stock sales.