Situational Awareness, the hedge fund founded by ex-OpenAI researcher Leopold Aschenbrenner, is betting on electricity generators and crypto-miners as part of a broader strategy to profit from the race toward artificial general intelligence (AGI), according to a report by Fortune.

The fund, which launched less than two years ago, now manages roughly $5.5bn in US equity exposure across nearly 30 holdings, according to its most recent filings. Investors include Silicon Valley founders, family offices, institutions, and endowments, while Aschenbrenner himself has invested almost all of his net worth in the fund.

Situational Awareness LP’s strategy focuses on publicly traded companies poised to benefit from the infrastructure needs of large-scale AI deployment, rather than the AI model developers themselves. Its portfolio includes semiconductor companies such as Intel and Broadcom, power producers like Vistra and Constellation Energy, and crypto-mining firms that are being repurposed for AI workloads, including Core Scientific, IREN, Applied Digital, and Cipher Mining.

The fund has recently added or expanded positions in Bloom Energy, a fuel-cell power company that has become the fund’s largest holding, and CoreWeave, a provider of AI cloud infrastructure. This reflects the thesis that the most valuable assets in the AI era may be electricity and computing capacity rather than the algorithms themselves.

Aschenbrenner, who previously authored a 165-page monograph, Situational Awareness: The Decade Ahead, has argued that the exponential scaling of AI models will create enormous geopolitical and economic opportunities. The hedge fund’s investments are designed to capture value from this structural shift by targeting companies that provide the raw infrastructure required to support AI at scale.

The approach highlights a growing trend among hedge funds to move beyond traditional tech bets, focusing instead on the often-overlooked operational bottlenecks in emerging technology sectors.