GOLDMAN SACHS: Here are the 13 US VIP stocks that are most popular with hedge funds

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Despite a challenging market environment for hedge funds, they have returned on average 7% so far in 2017.

While that mark has not been good enough to beat the market, they are still on pace for their best return since 2009.

In a recently released report, Goldman Sachs Portfolio Strategy Research wrote, “2017 has been defined by low volatility and low return dispersion.”

That low volatility has led many hedge funds to rely on a select number of stocks to drive returns.

And according to Goldman Sachs Portfolio Strategy Research, crowding into the most popular positions rose in the second quarter of 2017.

Goldman Sachs takes these positions into account when compiling their own Hedge Fund VIP list, which has outperformed the S&P 500 by 702 basis points (7.02%) so far in 2017.

Here’s a look at Goldman Sachs’s top 13 Hedge Fund VIP stocks.

13. Dell Technologies

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Ticker: DVMT

Subsector: Systems Software

Total return year-to-date: +21%

No. of funds with stock as top 10 holding: 26

Source: Goldman Sachs

12. Citigroup

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Ticker: C

Subsector: Diversified Banks

Total return year-to-date: +13%

No. of funds with stock as top 10 holding: 31

Source: Goldman Sachs

11. Bank of America

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Ticker: BAC

Subsector: Diversified Banks

Total return year-to-date: +8%

No. of funds with stock as top 10 holding: 32

Source: Goldman Sachs

10. Apple

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Ticker: AAPL

Subsector: Technology Hardware Storage & Peripherals

Total return year-to-date: +38%

No. of funds with stock as top 10 holding: 38

Source: Goldman Sachs

9. Visa

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Ticker: V

Subsector: Data Processing & Outsourced Services

Total return year-to-date: +32%

No. of funds with stock as top 10 holding: 39

Source: Goldman Sachs

8. NXP Semiconductors

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Ticker: NXPI

Subsector: Semiconductors

Total return year-to-date: +15%

No. of funds with stock as top 10 holding: 40

Source: Goldman Sachs

7. Microsoft

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Ticker: MSFT

Subsector: Systems Software

Total return year-to-date: +19%

No. of funds with stock as top 10 holding: 44

Source: Goldman Sachs

6. Charter Communications

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Ticker: CHTR

Subsector: Cable & Satellite

Total return year-to-date: +37%

No. of funds with stock as top 10 holding: 49

Source: Goldman Sachs

5. Alphabet

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Ticker: GOOGL

Subsector: Internet Software & Services

Total return year-to-date: +17%

No. of funds with stock as top 10 holding: 53

Source: Goldman Sachs

4. Time Warner

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Ticker: TWX

Subsector: Movies & Entertainment

Total return year-to-date: +7%

No. of funds with stock as top 10 holding: 56

Source: Goldman Sachs

3. Alibaba (ADR)

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Ticker: BABA

Subsector: Internet Software & Services

Total return year-to-date: +87%

No. of funds with stock as top 10 holding: 57

Source: Goldman Sachs

2. Amazon

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Ticker: AMZN

Subsector: Internet & Direct Marketing Retail

Total return year-to-date: +28%

No. of funds with stock as top 10 holding: 65

Source: Goldman Sachs

1. Facebook

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Ticker: FB

Subsector: Internet Software &Services

Total return year-to-date: +45%

No. of funds with stock as top 10 holding: 80

Source: Goldman Sachs

Get the latest Goldman Sachs stock price here.

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