https://forusers.org/ A community Q&A forum — real questions with clear, community-sourced answers. en-us https://forusers.org/0bd6bb3b-role-of-passive-investing-in-volatility/ https://forusers.org/0bd6bb3b-role-of-passive-investing-in-volatility/ Fri, 14 Aug 2026 03:49:11 +0000 passive investing market volatility index funds price discovery Passive investing could increase market volatility if it grows dominant enough, as fewer active traders would mean less efficient price discovery and sharper market swings. Some analyses suggest that once the passive share reaches around 65%, index volatility may rise sharply, and at 90% share, volatility could increase at cubic speed, leading to exaggerated boom and bust cycles. The current passive share is well below those thresholds. All funds combined make up about 30% of the US equity marke https://forusers.org/9c0fc445-impact-of-musk-s-companies-on-market/ https://forusers.org/9c0fc445-impact-of-musk-s-companies-on-market/ Tue, 11 Aug 2026 00:46:36 +0000 musk companies market impact tesla stock valuation spacex index funds government subsidies tesla Musk's companies impact the market through massive valuations disconnected from financials, heavy reliance on government funding, and attempts to alter index rules. Users note that stock prices seem propped up by hype and speculative investment strategies like the Greater Fool Theory. There are widespread concerns about passive investors being forced into these assets. Musk is reportedly lobbying to fast-track his companies into major indices by changing seasoning and free-float requirements, wh