Don't Blame Passive Investors If SpaceX Is Mispriced
Index funds don't misallocate capital — that's what stock pickers do
Don’t Blame Passive Investors If SpaceX Is Mispriced The argument that index funds misallocate capital is flawed. Instead, it is active stock pickers who contribute to capital misallocation. Passive investing, by contrast, offers a more efficient approach to capital deployment.
- Index funds do not misallocate capital.
- Active stock pickers are the ones who misallocate capital.
- Passive investing is a more efficient method of capital allocation. Continue reading https://www.ft.com/content/3e9cfe15-c2c4-4e9c-9022-3a50a11f94dd
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