SPX Capital, the Brazilian hedge fund, is shutting its London office and undergoing a significant restructuring that includes senior partner departures, people familiar with the matter said. The firm is rethinking its overall European operations as part of the shake-up.

The closure represents a notable retreat from London's competitive hedge fund landscape, where Brazilian managers have historically maintained a presence to access global markets and institutional investors. The departure of senior partners suggests underlying strategic disagreements or performance pressures driving the restructuring.

The move comes as hedge funds face mounting pressures including elevated regulatory compliance costs and challenges generating returns in volatile markets. Consolidating operations in Brazil or other regional hubs could allow the firm to reduce overhead while focusing on its core market.