Mutual funds cut tech exposure to 6.7% at 8-year low
Mutual funds just cut their tech investments to the lowest point in eight years.
In April 2026, tech made up only 6.7% of mutual fund portfolios, down from both last month and last year.
The big reasons? Concerns about AI shaking up traditional IT jobs, global IT spending slowing down, and disappointing earnings.
Funds shift after Nifty IT slump
The Nifty IT index has dropped nearly 28% in a year (ouch), so funds are shifting toward sectors like finance, capital goods, and defense that seem more stable right now.
Analysts say automation is disrupting old-school outsourcing but see potential for growth in areas like cloud computing and cybersecurity.
Their advice: stick with companies embracing AI smartly and avoid putting all your eggs in the tech basket during this bumpy phase.