(Bloomberg) Quantitative hedge funds that bet winners will keep winning just had their best month in more than a year buying technology stocks. Now, it’s exchange-traded funds’ turn. The First Trust Dorsey Wright Focus 5 ETF, which uses a computer algorithm to choose stocks that are likely to outperform, recently ramped up its holdings of tech shares in a big way. The fund-of-funds dumped its position in the First Trust Utilities AlphaDex fund in favor of the First Trust Technology AlphaDex ETF — giving it a 60 percent weighting in technology.
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First Trust ETF Follows Quant Funds by Betting Big on Tech
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