Hedge funds have increased their exposure to the so-called Magnificent Seven tech stocks to a record high on the back of Nvidia’s latest earnings report, which surpassed analyst expectations, according to a report by Bloomberg.
The report cites data from the prime brokerage division at Goldman Sachs in revealing that Nvidia, Apple, Amazon, Meta, Alphabet, Tesla and Microsoft now account for about 20.7% of hedge funds’ total net exposure to US single stocks.
An index tracking the tech sector mega-caps has soared since Nvidia released its results late Wednesday, with the AI chip manufacturer alone adding about $470bn in market capitalisation.
