Hedge funds focused on Asian equities endured their worst month on record in July, hit by a sell-off in artificial intelligence stocks that sent returns plunging. Several funds that had posted standout performances in the first half of the year swung to double-digit losses. Funds managed by Hel Ved Capital Management, E20 Capital, Valliance Asset Management, and WT Asset Management all suffered double-digit losses in July. Meanwhile, Goldman Sachs, which assesses the aggregate investment positions of its clients, said regional funds employing both long and short equity strategies lost an average of 15 percent in the same month. Shares of South Korean memory chip maker SK Hynix tumbled more than 30 percent, while Japan's Kioxia Holdings saw its value nearly halved, and China's onshore small-cap index dropped almost 20 percent. Additionally, the Situational Awareness fund run by Leopold Aschenbrenner, an investor and former OpenAI researcher, lost as much as 67 percent in July, forcing it to sell billions of dollars' worth of technology stocks to Ken Griffin's Citadel. It ended the month with assets under management falling to around 10 billion dollars from 45 billion dollars.
SK Hynix Inc
Kioxia Holdings Corporation
Goldman Sachs Group Inc