Situational Awareness Halts New Funds as Morgan Stanley Plans Brokerage Onboarding

Leopold Aschenbrenner’s fund pauses capital intake despite $10B portfolio value. Morgan Stanley shifts stance to onboard the hedge fund as a primary client within weeks.

Woofun AI reports that Situational Awareness has ceased accepting new capital, despite maintaining a portfolio valued at approximately $10 billion. The fund previously incurred losses from AI stock corrections, which paradoxically intensified investor interest in Silicon Valley. Veteran venture capitalist Elad Gil confirmed his initial investment in the entity. Morgan Stanley intends to establish Situational Awareness as a primary brokerage client within the coming weeks, reversing its prior refusal to provide services. Aschenbrenner must now secure Wall Street approval for leverage usage to replicate earlier returns.