Citadel Buys Situational Awareness's Stock Portfolio After Big Losses in AI

2026-07-31

Situational Awareness has sold the bulk of its stock portfolio to Citadel after suffering deep losses. The firm had amassed over $20 billion in assets, making it one of the fastest-growing firms in years. It encountered funding issues due to margin-call demands from its lenders. Citadel, one of the world's largest hedge-fund firms, has a long record of acquiring assets from forced sellers.