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

Citadel Buys Situational Awareness's Stock Portfolio After Big Losses in AI(wsj.com)

28 points by mudil 1 hour ago | 6 comments

furytrader 1 hour ago |

The irony is that the WSJ had profiled Situational Awareness with a glowing story just 1-2 months ago. It reminds me of my old adage: "You don't want to read about your positions in a newspaper" - it paints a large target on your back.

darkwizard42 28 minutes ago | |

I think this is probably true. Allowed for Citadel and others to create a ton of pressure on SA's highly leveraged positions.

Always a bigger whale out there with the ability to exert pressure...

hbcondo714 49 minutes ago |

More precisely, 23 new positions were reported in their latest filing just a couple months ago, most of those being semiconductors:

https://last10k.com/sec-filings/2045724

nrenegar 26 minutes ago | |

It should be clarified that a number of those were puts.

d_silin 1 hour ago |

Reminds me of LTCM fund story (very smart people X highly leveraged portfolio = a perfect recipe for massive losses on black swan day)

vzcx 56 minutes ago | |

LTCM was actually a lot more sophisticated, this fund's thesis was basically "number go up."

Count the OOMs!