Even hedge funds are divided about whether to ride the artificial intelligence wave or position for a nasty stock-market correction.
The majority of tech-focused stock-pickers are bullish. Over the past 12 months, the cohort had the highest exposure to the Nasdaq Composite Index since 1998 and double the historical average, according to hedge fund research firm PivotalPath. For each percentage point the Nasdaq moves, funds in the PivotalPath Equity Sector TMT Index tend to move about 0.8% in the same direction.