Citadel snaps up Situational Awareness’s AI stock book, lifting Wellington and tempering AI rout
TL;DR
Citadel’s Wellington fund rose about 5.9% in July after purchasing billions of AI-related stocks from Leopold Aschenbrenner’s troubled Situational Awareness in a rapid, less-than-24-hour sale, at roughly a 10% discount. The deal leaves Wellington up about 12% this year as AI equities wobble, and analysts say the purchase helped stem a broader AI-stock selloff while boosting some of Aschenbrenner’s former holdings like Bloom Energy and SanDisk.
- Citadel surges 6% after swoop on Situational Awareness Financial Times
- Citadel’s Purchase of Situational’s Stocks at Discount Is Already Paying Off WSJ
- A 25-Year-Old AI Investor’s Hedge Fund Implodes Forbes
- Investors in Situational Awareness deserved to lose their shirts The Economist
- Jim Cramer says one hedge fund's collapse cleared the way for tech's rally CNBC
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