Quantum Strategy Shifts From US Tech Giants to China AI Application Stocks

Wall Street research firm Quantum Strategy has told clients it is changing its asset allocation by pulling money out of US tech leaders and turning bullish on Chinese stocks tied to AI applications, according to Jiemian News. The report comes as the “Magnificent Seven” (Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta and Tesla) have weakened this year. In June alone, their combined market value fell by about $2.3 trillion, the worst month in a year; Microsoft fell 20% in June, Nvidia’s market cap dropped about 13%, and Apple and Amazon each slid about 8%, the report said. Jiemian cited Goldman Sachs as saying that since January 2025’s “DeepSeek moment,” China AI concept stocks have risen about 50% on average and related tech stocks’ total market value has increased by more than $3 trillion. Goldman also said global fund managers’ holdings of China AI stocks account for only 1.2% of their global tech portfolios. Separately, Liontrust Global Technology Fund raised its China allocation to 11% as of June 2026, and ProShares filed with the US SEC to launch a daily 2x leveraged ETF tracking Zhongji Innolight’s single-day performance, Jiemian reported.