Hedge funds increase Asian stock holdings to record levels as regional markets outperform
Hedge funds bought record amounts of Asian stocks last week as regional markets outperformed. Goldman Sachs reports exposure is at its highest since 2016.
Insights:
Global hedge funds purchased a record amount of stock from developed and emerging markets in Asia during the week ending Friday, Feb. 13, according to a client note released by The Goldman Sachs Group, Inc. . This surge in activity has driven hedge-fund exposure to Asian equities to its highest level since at least 2016.
The report indicates that hedge-fund gross leverage has simultaneously risen to a five-year high, reflecting a significant shift in institutional positioning. These funds concentrated bullish trades across multiple Asian markets and sectors, altering the scale of institutional positioning in the region.
