The Most Popular Stocks in Hedge Fund Portfolios: Insights from Alpesh Patel
Updated: Oct 10
In the dynamic world of hedge funds, knowing which stocks are favoured by top fund managers can provide valuable insights for individual investors. Drawing on the extensive experience of Alpesh Patel, a renowned hedge fund manager, we delve into the most popular stocks in hedge fund portfolios and what this means for your investment strategy.
Updated October 2026 with the latest 13F filings (quarter to 30 June 2026). The original 2024 snapshot is further down for comparison.
Short answer: Hedge fund portfolios are still dominated by the biggest US tech companies. By the number of funds holding them, Microsoft, Amazon, Apple and Nvidia topped the second-quarter 2026 filings. But the most concentrated, high-conviction managers lean much harder into semiconductors, and that crowding hurt them in July 2026. Copying the list blindly is a mistake. Use it as a starting list, then run each name through your own process.
What hedge funds own now (Q2 2026 filings)
What we looked at | What the filings show |
|---|---|
Most widely held stocks | Microsoft (about 3,860 funds), Amazon (3,820), Apple (3,750) and Nvidia (3,700), by number of 13F filers holding them. |
Highest-conviction picks | Goldman Sachs' Hedge Industry VIP ETF tracks the 50 stocks that appear most often in funds' top ten holdings. At 30 June 2026 its largest positions were Marvell Technology, Applied Materials, SanDisk, Micron, Lam Research and AMD. |
Favourites of both hedge funds and mutual funds | Boeing, Capital One, Mastercard, SpaceX, Thermo Fisher Scientific and Visa, according to Goldman's August 2026 study. |
How crowded it got | Goldman said hedge fund crowding hit a record in Q2, and its VIP list then had its worst month against the S&P 500 in more than 20 years in July 2026. |
Sector shift | Hedge funds raised their net tilt towards financials by over three percentage points in Q2, to their largest position in the sector since before the 2008 financial crisis. |
Sources: Goldman Sachs research as reported by CNBC (21 and 24 August 2026), Goldman Sachs Hedge Industry VIP ETF holdings, and aggregated SEC 13F data.
How do you find out what hedge funds are buying?
US rules require any investment manager with at least $100 million in US-listed shares to file a Form 13F with the SEC within 45 days of each quarter end. That includes London-based firms with US holdings. The filings are free to read on the SEC's EDGAR website, and sites that aggregate them do the adding up for you.
Know the limits before you act on them:
They're late. You see positions up to 45 days after the quarter ended, so a fund may already have sold.
They only show long positions in US-listed shares. Short positions, most derivatives and non-US holdings don't appear, so you can't see how a position is hedged.
Popular isn't the same as cheap. Goldman's shared favourites traded at a median 25 times earnings, against 19 times for a typical S&P 500 stock.
Crowding cuts both ways. When everyone owns the same stocks, everyone sells them at the same time, as July 2026 showed.
The good news: Goldman found 77% of the stocks hedge funds held at the end of one quarter were still held three months later. So the lag matters less than most people assume, if you're investing rather than trading.
The original 2024 snapshot
Top Stocks in Hedge Fund Portfolios
According to recent data, the most popular stocks in hedge fund portfolios include industry giants such as Microsoft, Amazon, Alphabet, and Apple. These companies are not just leading the market but are also preferred by hedge fund managers for their growth potential and stability.
Microsoft (MSFT): Microsoft stands as the most popular company, held by 44% of hedge funds. Its strong performance in AI and cloud services has made it a favourite among investors, with shares up over 20% in 2024 (Visual Capitalist) (Talk Markets) .
Amazon (AMZN): Amazon continues to be a top pick with 42% of hedge funds holding the stock. Its dominance in e-commerce and cloud computing, combined with its innovative business strategies, ensure its place in many portfolios (Talk Markets) .
Alphabet (GOOGL): Alphabet, the parent company of Google, is held by 38% of hedge funds. Its leadership in digital advertising and AI technologies makes it a valuable asset for long-term growth (Visual Capitalist) .
Apple (AAPL): With 36% of hedge funds investing in Apple, this tech giant remains a solid choice. The company’s continuous innovation, particularly in AI enhancements for its products, keeps it at the forefront of the industry (Talk Markets) .
Meta (META): Meta, formerly Facebook, is held by 36% of hedge funds. Despite challenges, its focus on the metaverse and social media innovation ensures its popularity among investors (Visual Capitalist) .
Why These Stocks?
With my decades of experience in hedge fund management, the importance of understanding market trends and company fundamentals are key. The popularity of these stocks among hedge funds is driven by several factors:
Innovation: Companies like Microsoft and Alphabet are at the forefront of technological advancements, making them attractive for long-term investments.
Market Position: The strong market positions of Amazon and Apple provide stability and growth potential, essential for any robust investment portfolio.
AI and Technology: The increasing focus on AI and digital technologies is a significant driver behind the popularity of these stocks. Hedge funds are strategically increasing their exposure to companies that lead in these areas (Visual Capitalist) (Talk Markets) .
Strategic Portfolio Alignment
If you’re looking to enhance your investment strategy, aligning your portfolio with the preferences of hedge fund managers can be a smart move. These professionals have access to vast resources and insights, and their stock choices are often based on comprehensive analyses. By including stocks like Microsoft, Amazon, Alphabet, and Apple, you can leverage the growth potential and stability that these companies offer.
Navigating Your Investment Journey
At www.campaignforamillion.com, we provide strategic investment advice to help you reach your financial goals. By following the trends set by hedge fund managers and leveraging insights from experts like Alpesh Patel, you can make informed decisions to maximise your returns.Investing wisely means staying ahead of market trends and making informed choices. Visit www.campaignforamillion.com to learn more about how you can capitalise on these insights for a prosperous financial future.
Data Source: Visual Capitalist, TalkMarkets
How I use hedge fund holdings in my own process
I look at what the biggest hedge funds, and the ones that have been making 40% a year or more, hold in size. Then I ask whether each stock meets my own criteria, not theirs:
Can it plausibly deliver a strong return over the next 12 months on a bullish case? If the trend it has shown can't get there, it's out.
Is it value, growth and income together? An undervalued company that's growing and pays a dividend scores best.
Is it oversold or overbought? I'd rather buy when it's in the bottom third of its recent range and turning up than chase it at the top.
Does it make real cash on the money tied up in it? Cash flow is my tie-breaker. See what CROCI is.
How much risk do you want? If you're in between cautious and adventurous, put in less and add to it each month rather than going all in.
Plenty of stocks a successful hedge fund owns fail those tests. That's the point. For the full filter, see how professional investors go from 10,000 stocks to 40, and judge the risk you're taking with Sharpe, Sortino and Calmar ratios.
Watch: how I check hedge fund selections
Frequently asked questions
What is the most popular stock among hedge funds?
By the number of funds holding it, Microsoft was the most widely held stock in the second-quarter 2026 13F filings, just ahead of Amazon, Apple and Nvidia.
Can a UK investor buy the same stocks as hedge funds?
Yes. Most UK platforms let you buy US-listed shares inside a stocks and shares ISA or a SIPP. You'll need a W-8BEN form to cut US withholding tax on dividends to 15%, there's no UK stamp duty on US shares, and your returns move with the pound-dollar exchange rate. For how US and UK markets compare, see FTSE 100 vs S&P 500.
Should I copy a hedge fund's portfolio?
Not wholesale. You see it late, you don't see the hedges, and the fund's goals and risk limits aren't yours. Use the holdings as ideas, then apply your own criteria and position sizes.
Want a second pair of eyes on your own portfolio?
Book a call with my team. We'll look at what you hold, how you choose investments now, and whether the Great Investments Programme makes sense for you.
Alpesh Patel OBE
Visit www.alpeshpatel.com/shares for more and see www.alpeshpatel.com/links
Disclaimer: The content provided on this blog is for informational purposes only and does not constitute financial advice. The opinions expressed here are the author's own and do not reflect the views of any associated companies. Investing in financial markets involves risk, including the potential loss of your invested capital. Past performance is not indicative of future results.
You should not invest money that you cannot afford to lose. Mentions of specific securities, investment strategies, or financial products do not constitute an endorsement or recommendation. The author may hold positions in the securities discussed, but these should not be viewed as personalised investment advice.
Readers are encouraged to conduct their own research and seek professional advice before acting on any information provided in this blog. The author is not responsible for any investment decisions made based on the content of this blog.
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