Reuters / Brendan McDermid
- Hedge funds disclosed their most recent holdings in public filings earlier this month, providing a window into which companies some of the world’s most successful money managers are betting on.
- Goldman Sachs put together a list of the stocks that appear most frequently in the top 10 largest holdings within hedge fund portfolios.
- The "Hedge Fund VIP List" features the top long positions of fundamentally-driven hedge funds, excluding firms that use quantitative strategies or attempt to mirror private equity investments.
- Here are 12 companies most loved by hedge funds in the second quarter.
- Visit the Markets Insider homepage for more stories.
Earlier this month, hedge funds revealed which public companies they bought and sold during the second quarter.
Hedge funds are required to disclose stakes in public companies four times a year, following the end of each quarter. Goldman Sach’s created a list of the top stocks these money managers purchased in the second quarter based publicly-available 13F filings.
Goldman’s "Hedge Fund VIP List" includes the top long positions of fundamentally-driven hedge funds. The firm’s analysis was limited to funds with between ten and 200 equity positions in effort to exclude funds that apply quantitative strategies or attempt to mirror private equity investments.
When hedge funds show interest in a particular stock, its often a good sign, according to Goldman’s analysis.
"Changes in popularity with hedge fund investors can be strong signals for future stock performance," the firm said in the report.
Here the 12 stocks most loved by hedge funds in the second quarter, ranked in increasing order of how many have them in their top 10 holdings:
12. Allergan
Reuters
Ticker: AGN
Industry: Pharmaceuticals
Year-to-date return: 20%
Number of funds with stock as top 10 holding: 27
Source: Goldman Sachs
11. Comcast
Associated Press
Ticker: CMCSA
Industry: Cable & Satellite
Year-to-date return: 28%
Number of funds with stock as top 10 holding: 29
Source: Goldman Sachs
10. Mastercard
Reuters
Ticker: MA
Industry: Data processing & outsourced services
Year-to-date return: 46%
Number of funds with stock as top 10 holding: 33
Source: Goldman Sachs
See the rest of the story at Business Insider
See Also:
- GOLDMAN SACHS: Recession fever has put hedge funds’ most beloved stock trades in the crosshairs of disaster. Here’s how to safeguard yourself from big losses.
- The market’s biggest investors just traded like they do right before ‘serious damage’ is inflicted on stocks — and one expert warns another painful meltdown could soon strike
- ‘Something does not compute’: A prominent chief economist explains why conflicting signals in the stock and bond markets are ‘very dangerous’
Source: Business Insider – feedback@businessinsider.com (Daniel Strauss)