Millennium Management builds tools to use prediction market data in traditional asset signals

Millennium Management, which oversees about $97 billion in assets, is developing tools for its portfolio managers that would use data from prediction market platforms including Polymarket and Kalshi as trading signals for traditional asset classes. Some portfolio managers are said to be particularly interested in markets tied to geopolitics, the economy, and commodities. According to people familiar with the matter, Millennium is not directly trading prediction market contracts at this stage. Millennium, Polymarket, and Kalshi all declined to comment. The move comes as other firms have already stepped into the sector: market makers such as Susquehanna and Jump Trading have entered prediction markets, while AQR expanded its quantitative research team focused on prediction markets earlier this summer.