For hedge funds, software-as-a-service stocks are the new FAANG

 
 

It wasn’t that long ago that FAANG stocks were leading the market forward, and then pulling it right back into reverse. Investors worried that their performance was distorting expectations for typical S&P 500 companies.

Noticing a larger theme within hedge fund investment, Jon Caplis sat down with MarketWatch to discuss the shift away from FAANG companies and toward “software as a service” (SaaS) businesses instead. Simply put, the performance has been outstanding. What are the key factors driving this shift?

 
 
MediaAbigail Corcoran