Out of stock ideas? Might want to play the top trades of the hedges.
While the average equity hedge fund has returned a decent 2% year to date says Goldman Sachs (S&P 500 Index
Since 2001, the VIP basket has out-performed the S&P 500 in 63% of quarters, generating an excess return of 58 basis points.
The list's current top five holdings include tech and media giants Facebook (FB) , Amazon (AMZN) , Time Warner (TWX) , Microsoft (MSFT) and Alphabet (GOOGL) . All five were also the top five holdings in the prior quarter. Goldman points to 13 new additions to the list of hedgie favorites:
- Adobe (ADBE)
- Anadarko (APC)
- GCI Liberty (GLIBA)
- Cheniere Energy (LNG)
- NRG Energy (NRG)
- Orbital ATK (OA)
- Palo Alto Networks (PANW)
- Stamps.com (STMP)
- TransDigm Group (TDG)
- UnitedHealth Group (UNH)
- VICI Properties (VICI)
- Worldpay (WP)
Goldman's research findings are derived from the analysis of 848 hedge funds with $2.3 trillion of gross equity positions.
Facebook, Amazon, Microsoft, Alphabet, Anadarko and UnitedHealth Group are holdings in Jim Cramer's Action Alerts PLUS.
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Before proceeding, don't hesitate to look into what it takes to start your own hedge fund.