Hedge funds 'doubling down' on AI are fleeing software stocks: Goldman
Goldman Sachs said hedge and mutual funds are shifting toward AI-linked semiconductors and away from software. Strategists led by Ben Snider found semis’ weight in hedge-fund long portfolios hit a record high while software’s fell to the lowest since 2019, based on filings as of May 18. Hedge funds added Lam Research, Applied Materials and ASML; mutual funds added Intel and SiTime. Goldman also cited 10% YTD returns for shared favorites and noted hedge funds’ exposure rose to a one-year high.