ETF growth is ‘in danger of devouring capitalism’
Financial Times
Itzhak Ben-David, a finance professor at Fisher, presented a paper that showed that when a company joins a major index both its ETF ownership and volatility goes up, and when it leaves its ETF ownership and volatility goes down. “No one doubts this [the ETF] is a great innovation, but at the same time it could have some unintended consequences,” Prof Ben-David said at the conference.
February 4, 2018