“In an equity environment where hedge funds are struggling to break even, Apple Inc. has played the role of savior, according to Goldman Sachs Group Inc.,” Joseph Ciolli reports for Bloomberg.
“A group of companies representing the most popular long positions for hedge funds is up just 0.2 percent in 2015, compared to a 2.3 percent gain for the Standard & Poor’s 500 Index, data compiled by Goldman Sachs show,” Ciolli reports. “A 19 percent year-to-date increase for Apple, which is owned by one in every five hedge funds and is a top-10 position for 12 percent of them, has provided a needed boost, the firm said.”
“Apple came into 2015 poised to have a major impact on money managers, comprising the highest percentage of hedge fund equity assets in more than two years, according to Goldman Sachs data. The technology titan constitutes 4 percent of an S&P 500 that’s hovering near an all-time high,” Ciolli reports. “‘Apple reigns undisputed as the most popular hedge fund stock,’ a group of Goldman Sachs analysts including chief U.S. equity strategist David Kostin wrote in a Feb. 20 client note. The company is a ‘key driver of hedge fund performance, as well as U.S. equity earnings growth and returns,’ they said.”
Read more in the full article here.
Related article:
Hedge Funds pile into Apple – August 25, 2014
Talking about Hedge Funds – One I was in dropped Apple and bought Mr. Softy and they did in Q4 ……
So I talked with the Manager yesterday and asked why and this guys answer was – get this – Because Apple’s dividend had fallen below their threshold due to share appreciation so they dropped Apple and bought MSFT ….
I’m like wow OK ….. And then I laid down my news which was because they brought MSFT and sold AAPL I was moving my nice six figure account to another fund, Manager did not appreciate that but I am no Promand I even I knew which was a better stock to own …..
Silly Rabbits!
Hope you were able to switch before Microsoft’s earnings drop. The old hedgefund sounds like a guy who believes in selling his winners and buying his losers to “rebalance”.