00:00What exactly happened with situational awareness and where do we stand now?
00:03Yes, this is a story we've seen time and time again.
00:06Dramatic couple of days, dramatic 24 hours.
00:10And, you know, what happens is, this is what you see what happens when we see these firms
00:15which have huge amounts of leverage, concentrated positions, and volatile stocks.
00:20And situational awareness had four to five times leverage on these assets.
00:24And this is what happens when those see a downward spiral.
00:28They need to meet margin calls.
00:30They need liquidity fast.
00:31They have to find a buyer.
00:33And they were seeking to sell their public stock book as well as their private stock book.
00:38Ultimately, they found a buyer in Ken Griffin's Citadel.
00:41Talk a bit about the level of panic so much as it existed here within the fund.
00:45So you've got this Wunderkeend who studies math at Columbia.
00:47He's the valedictorian, goes on to found this fund.
00:50You know, from your reporting and others, he was looking at Sand Hill Road maybe as a place
00:54that might take on some of this, of what's in the portfolio.
00:56Was there a lot of panic here?
00:59So where was the head of the founder of this firm here as this all happened?
01:02Yes.
01:03I mean, they were trying to find any number of buyers.
01:05So they were talking to Millennium, to Jane Streets, to Citadel.
01:09They were in conversations with Green Oaks and Sequoia about the private book.
01:13So when you're looking to offload this degree of assets so speedily, it's not a good sign.
01:20It's problematic.
01:21And so I can imagine there would have been a great deal of concern.
01:26He's now reassuring investors to say, look, we made a mistake.
01:29We're trying to get back on track.
01:32We're trying to get back.
01:32We're trying to get back.
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