To The Moon

$NIO Inc.(NIO)$  

Singapore's sovereign wealth fund, GIC, and major institutional asset managers like JPMorgan Chase and D.E. Shaw have emerged as the highest-profile investors facing staggering losses or massive drawdowns from their investments in Nio Inc..

The primary entities experiencing the largest losses and position liquidations include:

1. Singapore Sovereign Wealth Fund (GIC)

GIC has sustained "tremendous losses" on its massive block of Nio shares.

• The Exposure: GIC accumulated 54.4 million shares of Nio between 2020 and 2022.

• The Fallout: GIC formally filed a lawsuit against Nio, accusing the company of artificially inflating its revenues by over $600 million through an affiliated battery leasing firm. The legal conflict triggered immediate market plunges that vaporised billions in market value, cementing GIC's position as one of the hardest-hit sovereign entities.

2. JPMorgan Chase & Co.

JPMorgan has engaged in a multi-year unwind, shedding the vast majority of what was once a gargantuan position.

• The Drawdown: JPMorgan unwound roughly 79% of its all-time record Nio position held in late 2025.

• Recent Liquidations: Regulatory disclosures reveal they dumped 3.87 million shares in a single stretch, followed by cutting their remaining stake from 6.56 million shares down to 2.68 million shares by mid-2026 as the stock price languished.

3. D.E. Shaw & Co.

Once Nio’s top institutional backer, the New York-based quantitative trading giant has taken severe hits to its equity and derivatives portfolio.

• The Selloff: D.E. Shaw was forced to dump over half (52.5%) of its American depositary shares (ADS) in a single quarter, shedding 20.1 million shares.

• Capital Destruction: In just a six-month window, D.E. Shaw's core position cratered by 62.2%. Concurrently, their options exposure collapsed completely, with the value of their Nio call options plunging 99.1%.

4. Other Major Institutional Downsizing

Faced with persistent downward momentum and widening quarterly net losses (which topped $718 million in a single quarter), several other multi-billion dollar hedge funds opted to cut their losses and significantly scale back exposure:

• Two Sigma Investments: Offloaded 4.3 million shares in recent tranches to limit further capital degradation.

• Citadel LLC: Trimmed its position sharply by selling off 4.48 million shares.

Know your coconuts. 

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