Situational Awareness Returns to AI Options After July Blowup, Cuts Leverage

The re-entry matters less for the specific names than for the funding structure behind it: a fund that previously relied on bank prime brokerage is now routing through a broker while explicitly dialing down leverage, after its main lender walked away. That shift says counterparty risk appetite, not conviction, is shaping how this kind of concentrated AI options exposure gets expressed. Whether Clear Street can support similar notional growth, and whether other lenders follow JPMorgan's exit, is the open question for anyone tracking leverage in AI-linked names.