Age 25, managing $20–24 billion in assets. This former OpenAI researcher also previously worked at FTX, where he was an employee of the iconic SBF. He was once hailed as a child prodigy in AI—but recently, the market has taught him a harsh lesson. Leopold Aschenbrenner’s AI-themed hedge fund, Situational Awareness, liquidated all its public equity positions just before Thursday’s U.S. market open and also sold off its substantial stakes in Anthropic. As of the end of June, the fund had generated a net return of an astonishing 439%. It had been one of the top-performing hedge funds this year, propelling Leopold into the spotlight as a new-generation investing legend. But recently, AI-themed stocks have plummeted. The fund’s heavily weighted holdings—including SK Hynix, NVIDIA, Micron, and CoreWeave—suffered sharp corrections, while its short positions in software stocks were caught in a short squeeze, causing assets to rapidly shrink. Reports now indicate that banks such as Bank of America, Goldman Sachs, and JPMorgan are assisting with margin calls. Leopold has begun seeking new capital from existing investors and lenders. Once a dazzling AI-themed hedge fund, it is now forced to liquidate all its public equity holdings. Heartbreaking 😭