Find The Best Stocks With Perfect Trade Setups In Minutes A Day

Stop wasting time looking for the right stocks.  Free training on how to find perfect stock trades that can move 300-1,500%.  Learn the # 1 key to successful stock investing and how to find success even If the market is crashing, rebounding… or just going sideways. (ad)

Do Not Delay - Click Here Now

 

These 8 Stocks Are Helping Hedge Fund Managers Crush The Market

These 8 stocks have already delivered double-digit returns so far this year.

Every once in a while, following the crowd proves to be a lucrative strategy.

That’s especially true when the crowd is a pack of hedge fund managers who have been beating the market in a year when it feels like the best thing to do is sit on the sidelines.

So far in 2019, this group of hedge funds has beaten the S&P 500 by 3 percentage points. 

And just how have they been doing that? By investing in some of the market’s most-loved stocks.

“Despite the strong track record of popular hedge fund stocks, investors often view high ownership as a negative trait when evaluating stock prospects. Clients often ask us to include hedge fund ownership data in stock screens, expressing a preference for buying ‘under-owned’ stocks,” Goldman Sachs (NYSE: GS) strategist Ben Snider wrote in a report for clients. “In fact, during the past decade hedge fund popularity has been a more useful criterion for selecting stocks than valuations.”

Looking at 855 hedge funds—whose assets total $2.1 trillion—Goldman found that the funds have returned 8% year-to-date. But in looking at those stocks that are the most popular among funds, Goldman found that they have returned 18%, handily beating the S&P’s return of 15%.

Among the names in Goldman’s most-popular basket, Amazon (NASDAQ: AMZN), Facebook (NASDAQ: FB), and Microsoft (NASDAQ: MSFT), each of which are up more than 25% so far this year.

Other names in the bunch include Google-parent Alphabet (NASDAQ: GOOGL, GOOG), Alibaba (NASDAQ: BABA), Netflix (NASDAQ: NFLX), Celgene (NASDAQ: CELG), and Visa (NYSE: V).

But what’s even more interesting, Goldman found that since 2001, stocks with a place in the top 10 portfolio positions have beaten the S&P 61% of the time. And those funds that hold the most shares of those stocks have beaten the market 63% of the time.

“The signals from hedge fund popularity and valuation have been particularly useful in combination, especially for investors with slightly longer investment horizons,” Snider wrote. “During the past decade, popular stocks have generally outperformed unpopular stocks across both 3- and 12-month investment horizons.”

At a time when hedge funds are being criticized for high fees and underwhelming returns, Goldman makes the case that it’s smart to pay attention to what these funds are investing in and following the crowd, at least where the most popular stocks are concerned.

By the way, if you liked this article, you'll LOVE this Meaty free training I just published on the top 3 questions and challenges every investor faces AND how to overcome them. It's titled "10k into $2.4 Million in 18 months" and you can grab it for free here

There are risks inherent in all investments, which may make such investments unsuitable for certain persons. These include, for example, economic, political, currency exchange, rate fluctuations, and limited availability of information on international securities. You may lose all of your money trading and investing. Do NOT enter any trade without fully understanding the worst-case scenarios of that trade. And do NOT trade with money you cannot afford to lose. Past performance of an investment is not necessarily indicative of its future results. No assurance can be given that any implied recommendation will be profitable or will not be subject to losses. Information provided by the Company is not investment advice. The Company is not a registered investment adviser, stock broker, or brokerage. You agree that the Company does not represent, warrant, or take responsibility that any account will or is likely to achieve profit or losses similar to those shown. Examples published by the Company are selected for illustrative purposes only. They are not typical and do not represent the typical results of all stocks within the Company’s software or its individual scans and searches. No independent party has audited any hypothetical performance contained at this Web site, nor has any independent party undertaken to confirm that they reflect the trading method under the assumptions or conditions specified.

FREE TRADING WEBINAR - TRADERSPRO PRESENTS: Starting With Only $10,000 Retire With $2.4 Million? Click Here Now

Join Us Now
X