Market Flux
Open the Terminal

Market Flux Event

Citadel Unwinds Over 80% of Situational Awareness Portfolio Risk Through $4 Billion in Block Trades

By Market Flux···1 min read

Ken Griffin told Citadel investors in a Friday letter that the firm has unwound more than 80% of the aggregate risk it took on when it purchased the stock portfolio of Leopold Aschenbrenner's embattled AI hedge fund, Situational Awareness. The exit was executed through more than 100 block trades totaling over $4 billion in market value, with Griffin noting the transactions included the largest intraday block trades of the year in 10 different names. Griffin said Citadel quickly exited the vast majority of its vega risk in the United States, describing the move as saving substantial capital.

Of the remaining positions in G10 currencies, only five carry a gross market value greater than $250 million. The letter, obtained by CNBC's Sara Eisen, signals Citadel moved with unusual speed and scale to reduce its exposure after absorbing the Situational Awareness book.

© AI-generated summary is provided by Market Flux

Sources

  1. ZerohedgeAVGO stock just saw the CDS
  2. BenzingaRing The Bell is live The AI trade just shifted. Wall Street has 10 new winners on its radar. Plus the stocks Cathie Wood is avoiding, earnings, and more. Read today’s issue:
  3. NasdaqCRL Jumps 33.3% in the Past Month: Can This Strong Rally Keep Running?
  4. WallstengineKen Griffin’s Citadel has already shed more than 80% of the aggregate risk it took on from Leopold Aschenbrenner’s Situational Awareness portfolio. Griffin on the exit: “These included the largest intraday block trades of the year in 10 different names. In the United States, we quickly exited the vast majority of the vega risk, saving substantial capital in the process. Of the remaining positions in G10, only five have a gross market value greater than $250 million...”
  5. FaststocknewssCITADEL HAS SHED MORE THAN 80% OF AGGREGATE RISK FROM ITS SITUATIONAL AWARENESS PORTFOLIO, PER CNBC CITING A LETTER
  6. CNBCCitadel's Ken Griffin sends investor letter detailing situational awareness
  7. MikeZaccardiThe lone pair of S&P 500 sector ETFs hitting 52wk highs today? $XLE $XLB .. the resource-trade is hot @koyfincharts
  8. Seeking AlphaBiggest stock movers Friday: ROST, MSTR, MRVL, HOOD, and more
Show 6 more
  1. InvestingWhy is Parsons stock rallying today?
  2. MarketRebelsStocks expected to have increasing option volume: $NVDA $SPCE $ROST $BJ
  3. Yahoo FinanceCitadel Sells Over 80% of Situational Awareness Portfolio
  4. Unusual_WhalesKen Griffin has said that Citadel has sold more than 80% of risk tied to Situational Awareness portfolio, per CNBC
  5. BusinessKen Griffin’s Citadel offloaded more than $4 billion of bets that it snagged when the firm bought a stock portfolio from embattled AI hedge fund Situational Awareness.
  6. Capital_HungryInsane HTF Pivot call for swings and riding day trades