Re:The Impact of Index Investing: A Follow-Up
by dragonwriter on Wednesday May 04, 2016 @01:29PM
(#11629968)
The fundamental flaw in that argument is the assumption that the inactive and the active groups share of ownership remains the same. Which it would have to only if:
(1) the initial split was formed by splitting each company into halves between the two groups, and
(2) no new companies were ever formed, or, if they are, they are from initiation split ownership exactly 50/50 between actives and inactives.
(1) the initial split was formed by splitting each company into halves between the two groups, and
(2) no new companies were ever formed, or, if they are, they are from initiation split ownership exactly 50/50 between actives and inactives.