Situational Awareness, the AI-focused hedge fund founded by former OpenAI researcher Leopold Aschenbrenner, is seeking additional capital from investors following sharp losses during the recent correction in technology and AI-related stocks, according to a report by the Financial Times. However, the subsequent market downturn has significantly reduced those gains, with leveraged positions amplifying the impact of the sell-off. Despite the recent decline, Situational Awareness reportedly remained up 439% on a net basis through the end of June, highlighting the extraordinary returns generated during the AI-driven market rally. The firm has attracted backing from several prominent technology investors, including Stripe co-founders Patrick and John Collison, former GitHub chief executive Nat Friedman, investor Daniel Gross and proprietary trading firm Jane Street. Many of the fund’s largest disclosed holdings have come under pressure during the recent technology sell-off.