Seven Largest Hedge Funds Hit Record 22% Net Exposure

A report that the seven largest hedge funds have collectively reached a record 22% net exposure is drawing attention to crowded-trade risk, as concentrated positioning among the industry’s biggest players raises the prospect of synchronized de-risking that could amplify volatility across asset classes, including digital assets where leverage concerns have already resurfaced in the aftermath of prior market dislocations. Net exposure measures the difference between a fund’s long positions and its short positions as a share of assets under management.

Source: Coincu