Risks of Passive Investing
The article suggests that the popularity of passive capitalization-weighted index funds may increase systemic risk and distort prices, and recommends rebalancing to non-price-based weights for better long-term returns.
Featured in No. 98 on 21 May 2025 · 3 days after release
- Released
- 18 May 2025
- First featured
- No. 98 · 21 May 2025
- Published in
- Not yet, as far as Semantic Scholar knows
- Shares when featured
- 3
- Identifier
- SSRN 5259427
Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).