🚨LEOPOLD’S FULL LETTER TO LPs DROPS! Leopold Aschenbrenner of Situational Awareness sent this to investors after the AI rout. Fund was down 67% in July (still +80% YTD). Came “closer to permanent capital impairment than is acceptable.” They executed a block trade of the public portfolio to strip out all leverage, closed every short, and now run a fully paid-for book with zero margin risk. Fund is not shut down or liquidated, still operating as a hybrid public-private vehicle. He takes full responsibility, says the scars will be “invaluable lessons,” and remains “very optimistic” as AI fundamentals accelerate while prices have cratered.