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Hedge Funds Keyed to Growth Stocks Stall Out

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Viking Global and other hedge funds had a lousy 2021 after several fat years for firms investing in fast-growing companies

A major bright spot for the hedge-fund industry in recent years has suddenly darkened as stocks of technology and other fast-growing companies sell off, handing out large losses to some big investors.

Hedge funds investing in growth stocks turned in their worst performance in years in 2021, according to portfolio managers and their clients. Many funds were hit by large losses late in the year, with the drubbing continuing into early this week.

 

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