Despite Crowding into Big Tech, Hedge Funds Are Searching for Alpha Elsewhere

When Goldman Sachs released its latest Hedge Fund Trend Monitor about a week or so ago, the major point picked up by all news outlets was the fact that hedge fund crowding is now at a record high. In fact, crowding has actually been working well for fund managers. Additionally, the massive outperformance of the most popular hedge fund positions marks a major reversal from what we’ve seen in recent years, when those hugely popular positions actually underperformed the rest of the market. Q3 2023 hedge fund letters, conferences and more However, while noting the extreme level of crowding into…