> His point is that the index funds don't own the stocks at all This is misleading, I think. Depends on the fund. Some seek to match the benchmark through a ce

> His point is that the index funds don't own the stocks at all This is misleading, I think. Depends on the fund. Some seek to match the benchmark through a certain exposure to derivatives and synthetic things. Others hold the stocks in proportion. The vanguard funds I'm invested in don't have much synthetics - they own the stocks