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ASCHENBRENNER'S FUND EXITS PUBLIC STOCKS

AI DESK1 MIN READ
SAT, AUG 1, 2026

■ AI-SUMMARIZED FROM 5 SOURCES ▸ TIMELINE

Situational Awareness, Leopold Aschenbrenner's AI-focused hedge fund, has liquidated all public stock holdings after suffering steep losses on AI bets and a failed bet against software stocks. Assets have plummeted to roughly $10 billion from over $20 billion in May.

The fund sold its stock portfolio to Ken Griffin's Citadel while managing margin calls. Situational Awareness, which maintains a $5 billion stake in AI company Anthropic, will continue operating as a private investment firm despite the recent crisis. Aschenbrenner, a former OpenAI researcher, launched the hedge fund with significant backing but misjudged recent market movements. The tech sell-off exposed vulnerabilities in the fund's positioning, forcing rapid unwinding of positions. The fund's roughly 50% asset decline marks a sharp reversal for what was previously positioned as a high-conviction AI investment vehicle. It will now focus on private investments rather than public equities, marking a strategic retreat from its original thesis.

■ SOURCES

TechmemeTechmemeTechmemeTechmemeThe Verge

■ SUMMARY WRITTEN BY AI FROM THE LINKS ABOVE

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