Bridgewater and Tiger Global Pile Into Big Tech as AI Bets Grow

Large U.S. hedge funds increased their exposure to the technology sector in the second quarter, betting that demand for artificial-intelligence applications will keep driving market leaders higher, according to mandatory 13F filings covering positions as of 30 June. Bridgewater Associates led the shift, more than doubling its stake in Nvidia to 7.23 million shares worth about $1.14 billion and boosting holdings in Alphabet and Microsoft by 84% and 112%, respectively. The Dalio-founded fund also added positions in Broadcom and Palo Alto Networks while exiting Chinese names such as Alibaba, Baidu and JD.com amid heightened trade tensions. Tiger Global Management increased stakes in several “Magnificent Seven” companies, buying roughly 4 million additional Amazon shares to hold 10 million shares valued at $2.34 billion, and expanding positions in Alphabet, Nvidia, Microsoft and Meta Platforms. Discovery Capital more than doubled its Meta stake and opened a position in cloud-infrastructure provider CoreWeave, while also adding to America Movil and UnitedHealth Group. Across the industry, managers trimmed exposures to weaker-performing aerospace, defense, consumer and retail stocks, underscoring a move back to momentum trades centered on generative-AI beneficiaries. The filings offer the first detailed look at how top hedge funds repositioned portfolios after an early-year pullback in Big Tech gave way to a fresh rally that has lifted the S&P 500 about 10% year-to-date.