Hedge funds are changing their strategies as fears of a trade war rise. Many are cutting back on risky investments to focus on safety. This shift comes before a key announcement from U.S. President Trump about tariffs on imported goods.
- Hedge funds have lowered their investments, especially in Europe and emerging markets.
- They expect the S&P 500's returns to decrease by 5% over the next three months.
- Investors are selling stakes in cyclical stocks, like auto parts and home goods.
| Event | Details |
|---|---|
| Proposed Tariff Rate | 20% |
| Expected Decrease in S&P 500 | 5% |
