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The argument is that the automation at scale that ETFs bring to the table changes the game qualitatively. How many people would really buy and sell thousands of
by lovecg 7y ago
The argument is that the automation at scale that ETFs bring to the table changes the game qualitatively. How many people would really buy and sell thousands of individual stocks in a correlated fashion if this infrastructure didn’t exist?
- vkou 7y agoNo, they'd have a dozen individual stocks that they would own, and when you combine fifty million people, each owning a dozen individual stocks, you'd get a pretty accurate proxy for the S&P 500. They'd still follow the same herd mentality that they would, had they owned ETFs.