Ron, If the index doesn't go up, change it til it does. All of the indices have taken their lead from the gimmying of the CPI.
Hmm... Isn't this what they been doing for years/decades??
Now I'm not trying to be a student lecturing to my professor, but even an experienced man like yourself has to believe that the over-abundance of mutual funds has severely disarticulated the market and driven money managers to seek short term annual gains through momentum trading, leaving essentially ignored the value that exists in less liquid small cap stocks over a longer term.
Only as of late have we seen the proliferation of individual investors/discount brokerages challenge the institutions who have controlled this market for the past 15 years+.
Given their size generally, institutions seek liquidity that can only found normally only in highly capitalized over-valued stocks, it is apparent to me that some very valuable and innovative companies are being ignored because their "Index" is considered illiquid and the big money ignores it. And this emphasis on companies like MSFT, CSCO, AMZN...etc, is sucking huge sums of money away from far more deserving companies.
To fix the index manipulation, the manipulation that creates the circumstance where the broader market is ignored in favor of a "four-horsemen" or "nifty-fifty" market must be corrected.
Personally, whatever it takes to attract investor dollars back to small caps is just fine with me. It broadens the market and provides a pressure release for an overly inflated big-cap market.
Regards,
Ron
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