Investing.com - Leopold Aschenbrenner's Situational Awareness LP hedge fund has sold its entire stock portfolio in one block trade after steep losses in the AI-focused portfolio, CNBC reported, citing people familiar with the matter. The capital crunch underscores how quickly fortunes can reverse in concentrated AI investments. Situational Awareness gained roughly 439% after fees through the end of June 2026 and grew to as much as $45 billion before the AI sell-off. Publicly traded AI infrastructure names in Situational Awareness's known long book — including Bloom Energy, CoreWeave and Nebius — were hit hard in the current rout. The letter signals that Aschenbrenner remains constructive on AI infrastructure even as the drawdown forces a capital raise.