Citadel Buys Out Situational Awareness Positions

[sleepy5136]

Long story short Situational Awareness (SA) a hedge fund got margin called and its positions were bought out by Citadel. Citadel manipulated the market by dropping news that a market rate hike was on the table on Tuesday despite the odds of it being low. Markets sold off day after and given SA was 4x leveraged, he was forced to sell his public positions and was bought by Citadel for 0.40-0.50 to the dollar. CRAZY stuff and quite frankly I’m surprised it’s even legal.

Article: https://www.wsj.com/finance/citadel...7159b?st=qR6S5m&reflink=article_copyURL_share

 

[morekaos]

that guy has a very interesting story. He’s an Gerry McGuire storyline…After starting a hedge fund, when he left AI…he turned $2 billion into $40 billion, but hedge funds are exactly that, they use significant leverage to create that magic. Works great on the way up is painful on the way down.
How Leopold Aschenbrenner built a $45 billion AI hedge fund, and lost most of it

https://www.cnbc.com/2026/07/31/leopold-aschenbrenner-situational-awareness-fund-fire-sale.html?__source=iosappshare|com.apple.UIKit.activity.CopyToPasteboard