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The book 'Trillions' by FT journo Robin Wigglesworth is very good on this subject


Anything stand out to you? I’ll add it to the list but in the meantime I found these points from Chat interesting.

3. Impact on Corporate Governance

With substantial holdings across numerous companies, major index fund providers possess significant voting power in shareholder decisions. Wigglesworth discusses the implications of this influence, questioning whether these firms can effectively oversee corporate management without the traditional incentives that drive active investors.

4. Systemic Risks and Market Stability

The author also examines the potential systemic risks posed by the dominance of index funds. He explores scenarios where market shocks could be exacerbated by the passive nature of index investing, potentially leading to increased volatility and reduced market resilience.




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