Hedge Fund Pain Brings Loss Worse Than '08 in Crowded Stocks
- Most hedge fund-owned Russell 3000 stocks down 31% since July
- Bofa: Hedge funds lead pack in equity selling so far in 2016
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It’s well known that stocks with the most hedge funds ownership have been doing badly in the U.S. How badly might surprise you.
While volatility has seeped into every corner of the market over the last year, no group has had it worse than equities where professional speculators are most concentrated. Since July, Russell 3000 Index companies in which hedge funds have the highest ownership percentage have plunged 31 percent, compared with a 2.8 percent decline in the Standard & Poor’s 500 Index, according to data compiled by Bloomberg.