| ▲ | femto 11 hours ago | ||||||||||||||||||||||||||||||||||
Why can't an index fund compute and track their own objective index, thus ignoring any distortion introduced by the Nasdaq? | |||||||||||||||||||||||||||||||||||
| ▲ | aloha2436 8 hours ago | parent | next [-] | ||||||||||||||||||||||||||||||||||
They don't target something else because they wouldn't be an index fund, that's just a passive fund with their own published strategy. Those exist but aren't as popular, the appeal of index funds is that you're just getting "the market" and "the market" is measured by the index. Public indexes are supposed to be lower-cost and less manipulable, but that was before they got large enough to "wag the dog," which is the ultimate point of the article. | |||||||||||||||||||||||||||||||||||
| ▲ | tverbeure 10 hours ago | parent | prev | next [-] | ||||||||||||||||||||||||||||||||||
Because when I buy QQQ expect it to track the Nasdaq-100, not something else. | |||||||||||||||||||||||||||||||||||
| ▲ | bagacrap 9 hours ago | parent | prev [-] | ||||||||||||||||||||||||||||||||||
Vast majority of index funds do not track NASDAQ 100. | |||||||||||||||||||||||||||||||||||
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