The careers of Z.ai's Tang Jie and Moonshot AI's Yang Zhilin, once teacher and pupil at Tsinghua University, show that China's AI leap is no sudden development (Raffaele Huang/Wall Street Journal)
University lab nurtured the computer scientists who are using ingenuity and imitation to chase down Anthropic and OpenAI; ‘they know perfectly how to monetize their work’
The US Securities and Exchange Commission (SEC) has issued subpoenas to several Wall Street banks associated with the AI-focused hedge fund Situational Awareness. The inquiry stems from the fund's near-collapse last month, following a sharp decline in global semiconductor stocks that put pressure on its leveraged positions, according to Reuters.
The regulatory probe focuses on the fund's trading activity and use of leverage, as well as communications between Situational Awareness and its largest lenders. Citigroup, Goldman Sachs, JPMorgan, and Bank of America are among the banks named in the subpoenas. The SEC and the banks have not commented on the matter. Situational Awareness stated that it anticipates regulatory scrutiny following a significant decline and would cooperate fully with any requests from authorities.
The issuance of subpoenas does not confirm any wrongdoing by the banks or the hedge fund, as information requests can be part of routine regulatory examinations.
Written by urgent.news from Hedgeweek's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 4 other outlets
- SEC subpoenas Wall Street banks over Situational Awareness near-collapse hedgeweek.com
- SEC subpoenaed Wall Street banks over AI hedge fund Situational Awareness's near-collapse qz.com
- SEC reportedly subpoenas Wall Street banks over AI hedge fund Situational Awareness's near collapse cnbc.com
- AMD upgraded, Five Below downgraded: Wall Street's top analyst calls finance.yahoo.com
