Jane Street told lenders it lost roughly $15 billion in July during a volatile stretch for AI and semiconductor stocks, the Financial Times reported. The disclosure surfaced as the trading firm shifts about $11 billion of public debt to a group of private lenders including Pimco. Crypto Briefing has since disputed the claim, pointing to Jane Street's strong first-quarter revenue and a fresh investment-grade credit rating.
Jane Street disclosed a roughly $15 billion loss for July to lenders as part of a $14.6 billion private debt deal led by JPMorgan, according to people familiar with the matter cited by the Financial Times. The New York-based firm is rolling about $11 billion of existing public debt into a smaller group of private investors, a shift that will also limit how many parties receive its regular financial disclosures.
A record year, even after the July loss
Despite the setback, Jane Street has generated more than $40 billion in net trading revenues in the year to Friday, even accounting for the July loss, a total that exceeds its entire haul for 2025. The firm posted a record $16.1 billion in net trading revenues in the first quarter of 2026, far outstripping comparable results among Wall Street banks.
An AI hedge fund also buckled in the same rout
The July drawdown coincided with a sharp reversal in AI and semiconductor stocks that had rallied through most of 2026. The sell-off also hit Situational Awareness, an AI-focused hedge fund run by Leopold Aschenbrenner in which Jane Street had invested, an unusual move for a firm that mostly trades its own capital. Aschenbrenner's concentrated bets, built on heavy leverage, moved against him during the ructions, and Situational Awareness's assets plunged from a $45 billion peak to roughly $10 billion within a single month, forcing a distressed sale of its entire public equity portfolio to Ken Griffin's Citadel.
Crypto Briefing questions the scale of the loss
Crypto Briefing has disputed the loss figure circulating online, arguing it doesn't square with Jane Street's $16.1 billion in first-quarter trading revenue and roughly $10.3 billion in net income, more than double the same period a year earlier. The outlet also cited Fitch Ratings' decision to upgrade Jane Street to BBB- on July 24, 2026, arguing that agencies don't typically grant investment-grade ratings to firms absorbing tens of billions in losses. As a market maker, Jane Street's business normally centers on profiting from bid-ask spreads across thousands of instruments rather than concentrated directional bets, Crypto Briefing noted.
Jane Street and Pimco declined to comment on the loss disclosure, the Financial Times said.
Sources: Financial Times, Investing.com, Crypto Briefing
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