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Situational Awareness Fund Loses 67% After AI Bet

8/8/2026

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Story summary
  • Situational Awareness, led by Leopold Aschenbrenner, lost about 67% of its portfolio in July after a leveraged AI bet collapsed.
  • Aschenbrenner removed leverage, kept a $5 billion Anthropic stake, avoiding a fire-sale.
  • The fund invested $400 million in an unnamed private company, now controls $10 billion in assets and refuses new capital.
  • Barclays declined to onboard the fund over sector concentration, which is backed by Elad Gil and Logan Bartlett.