4 ms·
The good/bad thing is more people are in index funds and are overexposed to the expensive companies (especially $TSLA)
by abirch 1y ago
The good/bad thing is more people are in index funds and are overexposed to the expensive companies (especially $TSLA)
- cactusplant7374 1y agoThere are a lot of people that only hold $TSLA and are quite obstinate about it on X. If Tesla can't perfect and launch completely autonomous cars and humanoid robots in the next ten years these people are going to lose most of their net worth. By relative comparison, index investors are highly protected.
- abirch 1y agoYou're right, it's only 2% of the S&P 500.
- creer 1y agoIs that really A LOT of people? A few posters on X is hardly a lot of people, no? By contrast there is an awful lot of people who are currently overexposed to the usual suspects due to problematic index weighting. Which is aimed at meeting tax law quirks for tax efficiency rather than investing wisdom.