A reluctance by US mutual funds to invest in big tech stocks, which have staged a ferocious rally this year, is costing them dearly as they’re underperforming broader indexes, according to Goldman Sachs Group Inc. strategists.
Just a third of large-cap mutual funds are beating their benchmarks this year, compared with the long-term average of 38%, Goldman strategists led by Cormac Conners wrote in a note.
