This is an absolutely crucial point that is not discussed nearly enough in the context of passive investing. Thanks for the link, I didn't know Matt Levine had

This is an absolutely crucial point that is not discussed nearly enough in the context of passive investing. Thanks for the link, I didn't know Matt Levine had stated it so eloquently already. A tangentially related point is that membership in e.g. the S&P500 imparts a big financial advantage to companies for a somewhat arbitrary reason, due to passive investing.