Citadel Scoops Up Struggling Situational Awareness Portfolio

Ken Griffin's Citadel has reportedly purchased a significant portion of Situational Awareness' public stock portfolio, which was heavily impacted by July's AI market downturn. According to reports, the fund fell about 67% in July, with stocks such as Sandisk and CoreWeave declining significantly.

The Financial Times first reported that Citadel bought the portfolio holdings after Aschenbrenner's fund approached existing investors and lenders for fresh capital. Situational had grown to around $24 billion in assets under two years before the reversal, but it now retains roughly $10 billion in stocks and private investments.

The exact details of the transaction between Citadel and Situational are unclear, including whether the fund retained any of its Bitcoin miner positions or what specific stocks were part of the deal. Aschenbrenner's fund had significant exposure to AI-related companies, which suffered steep declines in July.