Hedge funds sold global stocks in March 2025 at the fastest pace in 12 years, according to data from Goldman Sachs. This large-scale equity sell-off exceeded the levels seen during the 2022 bear market and the 2020 market crash. The selling spree was reportedly driven by hedge funds' efforts to de-risk amid heightened market volatility and concerns over potential financial instability. European equities experienced the largest monthly net selling in a decade, partly attributed to caution ahead of tariff announcements. The rapid liquidation by hedge funds has raised concerns about broader financial market vulnerabilities, including risks tied to leveraged trades in U.S. Treasury markets and commercial real estate exposure, as highlighted in recent research papers.