The $35 Billion AI Trading Loss Exposes The Real Risk Of Leverage
The $35 billion AI trading loss attached to Situational Awareness will get attention because of the number. According to the Financial Times, it now sits at the top of its table of major historical trading losses. I think the most useful part of the story is how it happened.
Leopold Aschenbrenner’s fund reportedly gained 439% from the start of 2026 through June. Then the portfolio fell 67% in July. Even after that collapse, it was still up around 80% for the year. This was not a manager who spent six months being wrong about artificial intelligence. It was a hugely successful…
Read the full article at FORBES.COM
