Since the beginning of November, financial stocks have been in demand as bond yields push higher thanks to raised inflation and growth expectations. In an attempt to profit from this trend, hedge funds have rotated away from tech into financials according to recent 13 F filings.
However, according to research from Goldman Sachs, this rotation is not enough to make up for years of poor returns from the financial sector, which has resulted in a severe underweight for the industry among hedge funds.
Hedge Funds Are Still Wary Of Financial Stocks
According to Goldman’s research hedge funds have 11% net exposure to Financials, which ranks as their largest net sector underweight...
Login required to continue reading.
Setup a free account to get access to this article (no credit card required).
View Full Article
