Situational Awareness, star AI hedge fund that nearly imploded, now being probed by the SEC — Live Feedhttps://www.live-feeds.com/feed/situational-awareness-star-ai-hedge-fund-that-nearly-imploded-now-being-probed-by-the-secContinuously updated, source-cited coverage. SEC Subpoenas Banks Over Situational Awareness AI Hedge Fund Meltdownhttps://www.live-feeds.com/feed/situational-awareness-star-ai-hedge-fund-that-nearly-imploded-now-being-probed-by-the-sechttps://www.live-feeds.com/feed/situational-awareness-star-ai-hedge-fund-that-nearly-imploded-now-being-probed-by-the-sec#u50093Thu, 27 Aug 2026 12:55:47 +0000The Securities and Exchange Commission is investigating the near-collapse of Situational Awareness, an AI-focused hedge fund managed by a 24-year-old. The probe focuses on trades that led to a July meltdown, with the SEC issuing subpoenas to four Wall Street banks and lenders to obtain specific trade details. The fund previously experienced a 67% portfolio wipeout, causing its assets to plunge to 10 billion dollars. This federal inquiry follows the fund's rapid transition from a highly regarded Wall Street firm to a subject of regulatory scrutiny.Why it mattersSituational Awareness gained