Hedge Funds Cut Tech at Record Pace as Leveraged ETFs Draw $9.5 Billion

Hedge funds made their steepest proportional cut to technology positions since Goldman Sachs began tracking the measure in 2016, even as leveraged equity ETFs drew a record $9.5 billion last week. Across the five trading sessions through Oct. 15, semiconductor and semiconductor-equipment stocks accounted for 57% of net selling in U.S. technology shares. The Nasdaq 100 fell 5.5% and the Philadelphia Semiconductor Index dropped about 11.4% in the week ended Oct. 16. From Oct. 12 to 16, about $7 billion of the inflows into leveraged equity ETFs went to SOXL, a fund tied to semiconductor stocks.

Source: TokenPost