Jane Street Still on Record Pace After $15 Billion July Loss Despite First Losing Month Since 2016

Jane Street has already generated more than $40 billion in net trading revenue this year, surpassing its record haul for all of 2025 even after a $15 billion hit in July that produced its first monthly loss since 2016.

The Wall Street market maker has still booked over $40 billion in net trading revenue through July, according to people familiar with the firm's results. That figure includes the July loss and is already above the $39.6 billion Jane Street generated for the whole of 2025, its previous annual record.

The result puts the scale of July's setback in perspective. Jane Street suffered its first negative month of trading revenue since 2016, with revenue falling about 25% from June. Even so, the firm's cumulative performance remained ahead of its record pace for the year.

The July loss was linked partly to Jane Street's exposure to Situational Awareness, an AI-focused hedge fund run by former OpenAI researcher Leopold Aschenbrenner.

The fund was forced to sell most of its portfolio after sharp falls in AI-related stocks triggered margin calls, with Citadel buying much of the stock in a fire sale. But the $15 billion loss was not solely an AI trade going wrong.

Jane Street's Losses Extended Beyond AI

Jane Street told employees that its losses also involved long positions in Asian non-AI stocks, according to reports.

The firm's normal hedging strategies failed to protect it as those positions declined gradually, people familiar with the matter said.

Jane Street has since begun reducing risk in some affected areas and reassessing parts of its trading strategy. The episode marked an unusual reversal for a firm that has repeatedly set trading records.

In May, Jane Street reported a record $16.1 billion in trading revenue for the first quarter.

Profits more than doubled to $10.3 billion. Its performance was helped by quantitative and medium-frequency strategies, as well as gains in stakes in AI companies including Anthropic and CoreWeave.

That first-quarter result was followed by the firm's record $39.6 billion in net trading revenue for 2025, a figure that had already placed Jane Street ahead of several major Wall Street trading operations.

$15 Billion Loss Does Not Erase Record Year

July represents a sharp break in Jane Street's monthly performance without overturning its annual trajectory. More than $40 billion in net trading revenue through July means the firm has already exceeded the full-year total from 2025.

The comparison is particularly notable because the latest figure includes the $15 billion setback. Jane Street described July internally as a 'bad month', according to Reuters. The firm has also started to scale back risk in areas affected by the losses.

The Situational Awareness exposure became the most visible part of the episode. The hedge fund's portfolio fell 67% in July as AI-linked stocks sold off, an investor letter revealed. Citadel subsequently bought most of its stock holdings.

The loss has nevertheless left Jane Street with a level of annual trading revenue that remains ahead of its previous record.

For the rest of 2026, the firm will be trading against a different backdrop. It must now protect the gains accumulated during the first half of the year while adjusting positions and hedging strategies after its first negative trading month since 2016.

The numbers show that Jane Street suffered one of the largest monthly setbacks reported for the firm, but even after that loss, its 2026 net trading revenue had already moved beyond its previous annual record.