S&P Benchmark Capitalism

Because pensions and advisors benchmark to the S&P 500, the index’s design now drives capital allocation and corporate behavior, decoupling 'investing' from business ownership. Benchmark-following creates an observer-effect loop that concentrates flows and deepens financialization. — This places private index providers at the center of economic power, with consequences for retirement security, market concentration, and potential SEC/antitrust scrutiny over benchmark governance.