PremiumSince it was a shortened week, the normal Weekly Rundown note from Goldman's trading desk, arguably one of the most important reports from any Wall Street bank, was not published and instead Goldman ran a much shortened version focusing only on the bank's Prime Brokerage. Here is what it revealed.The GS Equity Fundamental L/S Performance Estimate rose +4.53% between 6/12 and 6/18 (vs MSCI World TR +1.89%), driven by alpha of +2.29% on the back of long and short side gains and beta of +2.23%. The GS Equity Systematic L/S Performance Estimate rose +1.14% during the same period, driven by alpha of +0.99% on the back of long side gains and beta of +0.15%.
After 4 Weeks Of Buying, Hedge Funds Turn Sellers Driven By Aggressive Shorting
After 4 straight weeks of net buying, US equities were net sold on the week, driven by short sales outpacing long buys across both Macro Products and Single Stocks.
TL;DRAI
After 4 weeks of accumulation, hedge funds reverse to aggressive shorting, signaling investor concern over equity valuations. The shift pressures growth-stage tech multiples and tightens venture funding conditions for SaaS and AI companies.
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