{"text":[[{"start":11.1,"text":"Jane Street posted a roughly $15bn loss in July after turmoil at AI-focused hedge fund Situational Awareness wrongfooted the US trading firm."}],[{"start":21.799999999999997,"text":"The New York-based firm disclosed the figure to lenders as part of a deal to shift its roughly $11bn public debt pile to private investors including Pimco, according to people familiar with the matter. "}],[{"start":33.8,"text":"Jane Street and Pimco declined to comment."}],[{"start":37.25,"text":"The loss represents a rare setback for a secretive trading shop that has in recent years become a dominant player in global markets. Jane Street has generated more than $40bn in net trading revenues in the year to Friday, even accounting for the July loss, which exceeds its entire haul for 2025, according to one of the people familiar with the matter. "}],[{"start":57.4,"text":"The drawdown in July came during a tumultuous month for US AI stocks, which fell sharply in a powerful reversal of a rally that carried them sharply higher throughout most of 2026. "}],[{"start":69.6,"text":"The sell-off also hit several AI-focused hedge funds including Leopold Aschenbrenner’s Situational Awareness, which counted Jane Street among its investors."}],[{"start":79.14999999999999,"text":"Jane Street’s investment in Situational Awareness was unusual because the firm trades its own capital. In a sign of the ties between the groups, a former Jane Street employee worked at Situational Awareness and Jane Street co-founder and partner Robert Granieri attended Aschenbrenner’s wedding in California in recent weeks, one person said. "}],[{"start":100,"text":"Aschenbrenner’s concentrated and highly leveraged bets on AI stocks moved against him during the July ructions, leading to a fire sale of his public equity book to Ken Griffin’s hedge fund, Citadel. "}],[{"start":113.2,"text":"Jane Street’s quarterly results leading up to the loss had been breaking records. In the first quarter of the year, it notched a record $16.1bn in net trading revenues, far outstripping comparable hauls among Wall Street banks. In 2025, it reported record revenues of roughly $40bn. "}],[{"start":133.95,"text":"The loss, stemming largely from July’s volatility, would count towards the firm’s financials for the third quarter, which is still ongoing. "}],[{"start":142.04999999999998,"text":"But the $14.6bn private debt deal led by JPMorgan, which included rolling over its existing public debt and taking on additional borrowings, meant Jane Street had to disclose the significant monthly loss to its new lenders including Pimco, people said. "}],[{"start":159.1,"text":"Jane Street’s move from the public debt market to a small private group of lenders will limit the number of parties to whom it will make regular financial disclosures."}],[{"start":168.75,"text":"Jane Street was established in 2000 by a small group of founders including Granieri, who previously worked at Pennsylvania-based Susquehanna. It uses technology to make markets across assets such as equities, bonds, exchange traded funds and more. "}],[{"start":185.9,"text":"In recent years, it has expanded into longer-term strategies as well as investments in private companies, including AI lab Anthropic and data centre operator CoreWeave."}],[{"start":205.70000000000002,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1786751078_9607.mp3"}