From Nasdaq:

Global hedge funds have decreased investment in the “Magnificent Seven” stocks and are now focusing on other technology, media, and telecommunications (TMT) companies, according to Morgan Stanley. The Magnificent Seven stocks, including Nvidia, Apple, and Tesla, drove a market rally last year, with individual gains between 50% and 240%.

Morgan Stanley’s prime brokerage team reported hedge funds have added long positions to TMT every trading day in 2023, accelerating most recently. Exposure to non-Magnificent Seven TMT stocks is close to record-low levels since 2020. Software and semi-conductor stocks have been the most added sectors, while bets against TMT stocks are across different sectors.



Read more: Hedge funds hunt new ‘magnificent’ tech stocks