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> Control or power doesn't disappear, any more than mass-energy does - if Vanguard or Fidelity aren't controlling the billions in index funds, then who is? The
by nandemo 17y ago
> Control or power doesn't disappear, any more than mass-energy does - if Vanguard or Fidelity aren't controlling the billions in index funds, then who is?
The investors who own shares in the mutual funds?
- gaius 17y agoExactly. A fund is in a very real sense a democracy. You 'vote' for a fund manager's decisions by investing and vote against by withdrawing.
- gwern 17y agoMutual fund investors no more affect the decision of the fund managers - and certainly not the indices' management - than does a random voter in even a swing state.