A Look at Q1 Hedge Fund Holdings

Below we highlight the cumulative sector weights of hedge funds based on their first quarter 13Fs (from Bloomberg). As shown in the table below, Financials make up the biggest portion of hedge fund portfolios, just as they do in the S&P 500. Energy ranks second, Technology third, and Industrials fourth.

In the first chart below, we highlight the changes in holdings in the first quarter versus the fourth quarter of 2007. Hedge funds increased their weight in Energy the most and decreased their weight in Technology the most. Tech was one of the worst performing sectors in Q1, but it has been one of the best performers so far this quarter.

Comparing hedge fund weightings to the S&P 500, hedge funds are most overweight in the Materials sector and the most underweight in the Consumer Staples sector.

click to enlarge

Comments

[jcrash:]

Are these based on share counts or values? Because if they are based on values, it would help to know that since tech went down MORE than 2% more than Energy did, then the actual share counts went up in tech versus energy. If, instead, it is based on sharecounts, then that is what we need to know.

2008 May 15 10:39 PM