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BlackRock own a large position in basically every US equity. The reason is that their funds generally want to be exposed to the entire market or some large subs
by dan-robertson 6y ago
BlackRock own a large position in basically every US equity. The reason is that their funds generally want to be exposed to the entire market or some large subsets of it. They aren’t stating some opinion about the value of GameStop by owning 10% of it as they own about 10% of the entire stock market.
If you see regularly someone’s name on the front page of the New York Times you might infer something about them. If you see someone’s name in the phonebook that is less interesting as (ok, not actually true but hopefully you get the point) everyone is in the phonebook. BlackRock is the phonebook.
- lexapro 6y agoI read this a lot on yahoo finance, reddit and other investing related discussions, that somehow Blackrock or Vanguard having a big position means they know something and is a positive sign for a stock. There are a ton of articles and documentaries about Blackrock being some secretive bank that "secretly" owns a big chunk of worldwide assets, which fuels this belief in my opinion. And while it's true that they own a lot of assets, they don't own it directly and are actually a rather boring business. They are completely passive most of the time.