GS Prime Book Shows Mag 7 Nets Taken Higher Into Rally; Overall HF Nets Remain Extremely Low
GS Prime Brokerage data as of 10/5/2026 shows hedge funds have added tech and taken Mag 7 net exposures higher, while overall net exposure levels remain extremely low with sentiment described as pessimistic, according to Rich Privorotsky at @GoldmanSachs on 7 Oct 2026.
The chart tracks Mag 7 as a percentage of total US exposure (market value) on both a gross and net basis from 2022 through mid-2026. The gross and net series are visible, with the net series running materially below gross throughout the period.
Privorotsky's read: the risks are "obvious and well understood." The positioning tailwind is real for bonds, Russell and Europe, but those can't sustainably work "without a durable energy solution." The market is not broadly long. The concentrated addition is in Mag 7/tech specifically, consistent with the tape where S&P and Nasdaq held while Russell struggled.
GS Prime Brokerage data as of 10/5/2026 shows hedge funds have added tech and taken Mag 7 net exposures higher, while overall net exposure levels remain extremely low with sentiment described as pessimistic, according to Rich Privorotsky at @GoldmanSachs on 7 Oct 2026.
The chart tracks Mag 7 as a percentage of total US exposure (market value) on both a gross and net basis from 2022 through mid-2026. The gross and net series are visible, with the net series running materially below gross throughout the period.
Privorotsky's read: the risks are "obvious and well understood." The positioning tailwind is real for bonds, Russell and Europe, but those can't sustainably work "without a durable energy solution." The market is not broadly long. The concentrated addition is in Mag 7/tech specifically, consistent with the tape where S&P and Nasdaq held while Russell struggled.