The technology feast is packed with no empty seats, institutional investors are eager to leave but stay.

Recently, the technology sector has become the main battlefield for capital competition. Public funds have significantly increased their positions in electronics, communications, and other directions, with the tech holdings of A-share institutional investors exceeding 40%, approaching historical highs. With the continuous rise in concentration of holdings and valuation levels, concerns about sector overcrowding are growing, with some institutions even saying that tech stocks are nearing "bubble territory", and there is a gradual increase in short-term volatility risk and style rebalancing pressure. However, some believe that with the expansion of passive index products such as ETFs and the continuous changes in market structure as the economy transitions, the effectiveness of crowding indicators needs to be reassessed. With the push of the artificial intelligence wave and support from industrial trends, most institutions still see the long-term investment value of tech stocks positively. The mainstream view in the industry is that oscillation may be a good opportunity for positioning, and in the future, attention should be paid to the implementation of technology and economic differentiation in order to seize structural opportunities.