A stunning slide from Adam Parker at Morgan Stanley in his latest monthly macro strategy.
The chart on the left shows the ongoing decline of hedge fund profits ever since the mid 90s.
The second chart is the more stunning chart.
Basically over the last few years, hedge fund returns have become more and more closely related to Apple.
We know that Apple is a freak of nature stock that so many hedge funds have been bullish on for years. But we didn’t realise the extent to which the industry performance were correlated.
Photo: Morgan Stanley