PivotalPath’s data suggests AI concentration is no longer just reshaping benchmarks. It’s making it harder for even specialized tech investors to look meaningfully different from the market itself.
Technology hedge funds just had their strongest month in 26 years.
But that return was almost a perfect match with the S&P 500’s performance.
According to PivotalPath, the hedge fund research firm, technology funds were just 16 basis points, a mere .06 percent, away from the S&P’s performance, and that’s the closest match ever. The Technology/Media/Telecom Index had a beta of .99 to the S&P 500 in April (a beta of 1 means the index moves in lockstep with the benchmark, assuming there is no alpha) — the highest of all 40 categories of hedge funds tracked by the firm.