A surge in tech stocks has pushed major U.S. investment funds like Fidelity and T Rowe Price close to exceeding IRS limits on concentrated holdings, leading them to sell shares to comply with tax regulations. This unexpected development highlights the impact of tech dominance on the market and raises questions about fund managers’ ability to outperform in a sector-driven rally.
A top 10 Chinese fund manager, China Merchants Fund Management (CMFM), is demanding its senior executives return excessive pay received over the past five years, aligning with the government’s ‘common prosperity’ campaign aimed at reducing income inequality. The move comes amidst increased scrutiny of the fund management sector and follows audits by the National Audit Office, which deemed salaries at some firms too high.
