Long global semiconductor stocks is now the MOST CROWDED trade among global fund managers, cited by ~73% of respondents in the BofA Global Fund Manager Survey.

This is also the 3rd-highest reading on record since data began in 2014.

Furthermore, fund managers are the most overweight in technology since February 2024, and near the highest overweight since 2020.

By comparison, the previous most crowded trades at similar conviction levels were Long Magnificent 7 in June 2024 at ~70% and Long US tech in October 2020 at ~80%.

When a trade gets this crowded, and an unwind occurs, the selloff can be swift and painful.