GS Kartik Singhal Hedge Funds Crowding Monitor Europe

Hedge Funds Crowding Monitor — Europe

18 August 2026 | 11:51 AM Eastern Daylight Time

Long conviction concentrates in Semis while short conviction broadens across the tape. Below we highlight the key movements:

 Chemicals (SX4P) short crowding reached an extreme at 1.16 (99th percentile, increasing from 1.02), making it the 2nd most short crowded sector (after Autos), while the long leg stays uncrowded at -0.35.

 Within the tech complex, Semis (GSSBSEMI) remains the standout crowded long at 1.61 (99th percentile, up from 1.38) with a deeply uncrowded short score of - 0.93, indicating strong directional conviction. In contrast, Software (GSSBSFTW) shows the inverse profile: uncrowded on the long leg at -0.39 (2nd percentile) while short crowding is elevated at 1.38 (95th percentile).

 Telcoms (SXKP) rotated from uncrowded to crowded on both legs simultaneously. On the long side, the score climbed from −0.17 to 0.11 (95th percentile), and the short crowding score jumped from −0.03 to 0.35, a rare simultaneous build.

 Oil & Gas (SXEP) is trending toward crowded on the long leg, with long crowding rising from -0.23 to -0.05 (96th percentile), while short crowding fell further into uncrowded territory, from -0.65 to -0.88

Crowding scores are expressed as z-scores — measuring the number of standard deviations from the mean — and typically range from −2 to +2. A score above 0 indicates crowded positioning, while a score above +1 indicates highly crowded positioning. For full methodology and definitions, refer to the Methodology and Definitions section below.

Exhibit 1: Crowding Overview: European Sectors and Themes

Exhibit 2: Sector Crowding: Long & Short Side