Hedge Funds Lighten Top Holdings

Most of the most popular hedge fund stocks saw a reduction in the number of investors and their stakes in the third quarter.

Qilai Shen/Bloomberg

Qilai Shen/Bloomberg

Friday’s sharp selloff of the FAANG and other widely held tech, software, and internet stocks was a clear warning sign that the most popular but pricey hedge fund stocks could suffer a much sharper and prolonged selloff, especially if the market fears that the new Omicron variant poses a much bigger threat to the global economy.

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