Why is Fenrir's Chosen not exclusive to capes?

Whilst reading the Hookwolf's encounter with Shatterbird. I remember him talking about the Arian race and the peak race. But wouldn't that then make the E88 or rather Fenrir's chosen exclusive for capes only? As capes are technically the greatest and most powerful race in the Parahumans verse? Do they consider capes as human? And if they don't, why would a neo Nazi group even have capes that control them- if that makes sense.