Goldman Sachs: Hedge Funds Sell AI Stocks for 5 Consecutive Days, Wiping Out Entire Cumulative Net Buying Since 2025

TechFlow reported on November 1 that, according to Coin Bureau citing Goldman Sachs prime brokerage business data, hedge funds were net sellers of global artificial intelligence (AI)-related stocks for 5 consecutive trading days, with cumulative selling offsetting their entire net buying of AI stocks since early 2025.

Data showed that hedge funds have sold approximately USD 20 billion of technology stocks over the past 2 weeks, mainly by reducing existing long positions, with long selling about 3.5 times the size of new AI short positions.

On October 22, the basket of popular hedge fund holdings tracked by Goldman Sachs fell 4.2% in a single day, marking its worst performance since 2011. Separately, according to Steno Research citing Morgan Stanley data, hedge funds cut their overall equity exposure by approximately 7.8%, the largest reduction since the bank began tracking the metric in 2016.

Meanwhile, memory chip companies including Samsung, SK Hynix, Micron and SanDisk collectively shed more than USD 700 billion in market value in less than 2 weeks. Chip stocks fell a cumulative 15.6% in October, while the S&P 500 index declined less than 1% over the same period.

Source: TechFlow