U.S. mutual funds hit record underweight in AI-exposed equities

U.S. large-cap mutual funds are now roughly 1.75 percentage points underweight AI-exposed equities relative to their benchmarks, the largest underweight position on record.
The measure excludes mega-cap names such as $AMZN, $AVGO, $GOOGL, $META, $MSFT and $NVDA. AI-exposed stocks currently represent about 13.0% of the average large-cap mutual fund portfolio versus 14.8% of benchmark exposure.
That marks a sharp reversal from mid-2024, when funds were approximately 0.40 percentage points overweight the AI group. The positioning suggests institutional portfolios have become increasingly cautious toward the broader AI trade outside the largest technology companies.