South Korea’s sharp equity correction is testing hedge funds that have been among the biggest beneficiaries of the AI-driven rally in semiconductor stocks.
Quantitative hedge funds are experiencing their most challenging period since late 2023 as a sharp reversal in momentum trades disrupts systematic strategies and prompts deleveraging across the industry, cited a Bloomberg report.
US hedge funds cut exposure to technology hardware stocks for a fourth consecutive week as semiconductor shares retreated and investors positioned ahead of the upcoming earnings season, according to a Goldman Sachs prime brokerage note.
Bond funds attracted £1.06bn of net inflows in June, marking their third-strongest month on record, as investors continued shifting towards income-generating and diversified strategies, according to the latest Fund Flow Index from Calastone.
Hedge fund Situational Awareness, founded by former OpenAI researcher Leopold Aschenbrenner, is among a group of investors signalling interest in SK Hynix’s planned $28bn Nasdaq listing, according to a FT report.
Distressed debt investors are exploring potential exchanges of preferred securities issued by Strategy Inc. as the company’s prolonged share price decline creates opportunities across its capital structure, according to a Bloomberg report.
Saba Capital, led by Boaz Weinstein, has increased its stake in Workspace Group to 28.2% ahead of the company’s annual general meeting on 23 July, where the activist investor is seeking shareholder backing for its proposed board overhaul.
Hedge funds have increased bearish bets on the Japanese yen to their highest level since 2007 as the currency hovers near a four-decade low against the US dollar.
Graham Capital Management has announced the departure of chief executive Brian Douglas, with the firm promoting Jason Slutsky to chief operating officer as part of its senior leadership changes.
Smaller specialist hedge funds outperformed many of the industry’s largest multistrategy firms during the first half of 2026, with equity long/short and event-driven strategies posting the strongest gains, according to a Bloomberg report.
