October data from the Investment Company Institute shows that index funds have a 60% market share.
Investors believe that beating the market is increasingly challenging and index funds offer the most effective approach to stock market investing.
I hold a PhD in financial economics. My research has shown that insiders and hedge funds can outperform the passive index funds by a very large margin over long periods of time.
I know what you might be thinking.
Hedge fund data is delayed by 45 days, potentially making it outdated by the time we receive it. How can this approach still be effective?
Well, you don’t need to speculate. Just look at the performance.
Overall, hedge funds’ top 10 stock picks returned 545.2% since 2014 (through December 27th) and beat the S&P 500 Index ETF (SPY) by 360.5 percentage points.
We have been telling our readers and subscribers for years to imitate hedge funds’ top stock picks.
Here is our previous article on this topic.
You can also check out our 2023 articles about the 30 most popular hedge fund stocks at the end of the third quarter and first quarter here. You can also check out the previous lists that are published in 2002Q4, 2022Q2, 2022 Q1, 2021 Q4, 2021 Q3 and 2021 Q2 here. In May 2021, we shared hedge funds’ top 30 stock picks for 2021 Q1. In February 2021, we also shared hedge funds’ top 30 stock picks. We also shared hedge funds’ top 30 stock picks at the end of November 2020. Three months before that we shared hedge funds’ top 30 stock picks for Q2’20. In fact, we have been sharing the list of hedge funds’ top 30 stocks since 2012 in our quarterly newsletter.
In 2023 top 10 stocks returned 75.1% and outperformed the S&P 500 Index ETF (SPY) by nearly 50 percentage points.
2034’s top 10 stocks returned 43.2% versus 27.3% gain for SPY through December 27th.
Sixty percent of all investors invest in dumb index funds because they were made to believe that they can’t outperform the market by stock selection.
Our readers who invest in hedge funds’ top 10 stock picks beat the S&P 500 index funds by 360 percentage points over a 10-year period. That’s real money.
Every quarter we process more than 900 hedge funds’ 13F filings and identify the top stocks among ALL 900+ hedge funds.
The list of top 10 hedge fund stocks hasn’t changed much since the third quarter of 2018.
You can invest in this low turnover simple strategy by subscribing to our quarterly newsletter or simply reading my articles.
If you subscribe to our free e-newsletter below, you can get a daily free email alert whenever we publish something important.
The best thing about following hedge funds’ top picks on our website is that you don’t need to pay hedge funds an annual 2% fee and 20% of your profits to beat the market.
We do that here free of charge.
Our approach is also superior to investing directly into hedge funds because we don’t like to invest in a hedge funds’ 35th best idea when we can invest in only the best stock picks of the best hedge funds.
Below we listed the 30 most popular stocks among hedge funds at the end of September 2024. If you are only interested in a more concentrated portfolio, check out the top 10 stocks in this list below:
30. Progressive Corporation (NYSE:PGR)
Number of Hedge Funds: 95 (2024Q3)
Number of Hedge Funds: 89 (2024Q2)
Total Dollar Amount of Long Hedge Fund Positions: $7.4 billion
Percent of Hedge Funds with Long Positions: 10.6%
Q4 Return: -4%
Popularity Ranking (2024Q2): 38
Popularity Ranking (2024Q1): 38
Noteworthy Hedge Fund Shareholders: John Armitage
Pixabay / Public Domain
