Big-money investors are increasingly bullish on these 8 AI beneficiaries, according to a Goldman Sachs analysis of over 744 hedge funds with a combined $2.4 trillion in equities

• Hedge funds’ top holdings have performed much better this year than in 2022 or 2021.
• Well-timed investments in large-cap tech companies and cyclical stocks lifted returns.
• Here are eight artificial intelligence beneficiaries that hedge funds are gravitating toward.

Hedge funds took advantage of the robust market rally in the first half of 2023 by buying shares of technology giants connected to artificial intelligence and economically sensitive companies, according to Goldman Sachs.

The Wall Street titan examined 744 hedge funds that had $2.4 trillion in equity positions at the start of the third quarter in an August 21 report, in order to see how long-short money managers were performing after their favorite holdings face-planted for two straight years.