Rising investment in S&P 500–linked products gives the appearance of broad business ownership, yet it concentrates power in a few mega‑caps and weakens the link between savings and productive investment. The index’s success thus contributes to financialization rather than financing.
— This challenges the conventional wisdom that passive 'own-the-market' investing naturally supports the real economy.
Daniel Peris
2025.08.20
100% relevant
The author claims the most significant consequence of S&P 500 dominance is a 'widening gap between investment in the stock market and actual ownership of businesses.'
← Back to All Ideas