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macroJul 1, 2026, 1:59 AM

Hedge Funds Cut US Tech Exposure at Fastest Pace in Over a Decade

Hedge funds are aggressively reducing their positions in US Technology, Media & Telecom (TMT) stocks, with outflows from the sector the largest and most persistent of any US sector in 2026.

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Hedge funds have been rapidly reducing their exposure to US Technology, Media & Telecom (TMT) stocks, marking the fastest pace of selling in more than ten years.

The TMT sector has recorded the largest and most persistent outflows of any US sector in 2026, according to data cited by market monitor FirstSquaw. The selling reflects a broad shift away from growth and tech stocks amid changing market conditions.

The move comes as hedge funds reposition portfolios, cutting back on one of the most crowded trades of the past decade.

Source: First Squawk