A Faang Taper Quake Is What Active Manager Dreams Are Made Of
- PanAgora quants say an era of active outperformance is upon us
- Active outflows poised for slowest year since 2014: BofA
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While their stock-market obituaries have been retracted before, U.S. tech megacaps have the most to lose should the Federal Reserve make good on its pledge to revoke stimulus. Their demise would be welcome news to many investment managers.
Spiking Treasury yields sent the richly valued Faang group to a third week of losses. While it’s too early to draw definite conclusions from Jerome Powell’s tapering pledge, it’s a scenario that firms like PanAgora Asset Management see playing out with increasing force as pandemic-era programs to bolster the economy are lifted.