Hedge Funds Shift Bets to Double Down on Big Tech Amid AI Boom

Channel News Asia ^

[nickcarraway]

Wall Street's largest hedge funds, Bridgewater Associates, Tiger Global Management and Discovery Capital, increased their exposure to Big Tech in the second quarter amid a generational boom in the growth of artificial intelligence.

During the June quarter, hedge funds cut their exposure to laggards in industries like aerospace and defense, and consumer and retail, as part of a broader move back to momentum investing. It marks a big shift from earlier this year when bets on Big Tech had soured for top money managers due to tariff-fueled volatility in financial markets, with investor concerns around rising inflation and fears of a bubble in AI triggering a sell-off in "Magnificent Seven" stocks.

Since then, tech stocks have staged a big comeback. The S&P 500 is up 10 per cent so far this year, buoyed largely by the largest tech companies, which account for nearly a third of the combined market cap of companies on the index.

[dfwgator]

They never learn.

[kvanbrunt2]

AI will turn out to be some very stupid programs that generate sociopathic responses. they don’t have a conscience. I would like to see these AI crappers make some gcode improvement modifications to some piece of airframe design and them let the guys fly it. Painting picture and singing songs is just HS,

[mmichaels1970]

AI will turn out to be some very stupid programs that generate sociopathic responses.

That may be some of it, but I mostly disagree. It's coming, and coming fast.

I don't believe it's going to achieve a position where we are turning over the keys to the jet to fly it. But it IS going to do play a big role in things like business intelligence and coding. Code will be developed more rapidly using AI as an assistant. You can now tap into best practices, translate plain language to queries and get information from resources more directly from the internet. Instead of googling and hitting up 20 different sources to read, AI reads those sources, summarizes it, and proposes a method that you can accept, reject, or enhance.

In the realm of business intelligence, you're going to be able to link it to tables and rows full of data and reports and it will be able to suggest trends, historical performance, etc.

It's coming. And big tech wants it. And big tech controls social media. Which controls the message. Which influences public opinion. I believe there will be many small nuclear reactors powering data centers and manufacturing facilities within the decade.

[Bobbyvotes]

And Microsoft keeps sending me updates to Windows 10 (about 1500 so far). Why Microsoft does not use AI to reduce constant updates to fix bugs.

[Brian Griffin]

The big money still to be made in AI is with companies that will enable cuts to labor costs.

AI Building Inspection

AI Architect

AI Teacher

AI Police Dispatcher

AI Psychiatrist

AI Doctor

[Brian Griffin]

AI Personnel Director

AI Hiring Manager

AI Merchandiser

AI Buyer

AI Ad Writer

[Brian Griffin]

AI College Finder

AI Student Selector

AI Spouse Finder

AI Loan Officer

AI Bank Examiner

[Brian Griffin]

AI Family Law

[Brian Griffin]

“And Microsoft keeps sending me updates to Windows 10 (about 1500 so far). Why Microsoft does not use AI to reduce constant updates to fix bugs.”

[My opinion]
It wants to wear out my PC so I have to buy another one (and another copy of its operating system) and then rent software on an annual basis.

[Brian Griffin]

“largest tech companies, which account for nearly a third of the combined market cap of companies on the index”

Google refused to do searches for me two days ago, so I switched to DuckDuckGo.

[If You Want It Fixed - Fix It]

Stick with DEI agenda and climate change guys....I think you are really onto something.

Chicken Little Hacks is all they are. Lemmings, grasping at new grifter ideas.