source: https://www.cambridge.org/core/journals/business-and-politics/article/hidden-power-of-the-big-three-passive-index-funds-reconcentration-of-corporate-ownership-and-new-financial-risk/30AD689509AAD62F5B677E916C28C4B6

  • blobjim [he/him]
    ·
    edit-2
    1 month ago

    That's mostly just because the Big Three hold other people's money. All this really means is that it's more efficient for a couple organizations to manage or process all of the country's wealth/stock transactions than have tons of private individuals or small organizations do it. Of course that does make me wonder how they actually do the decision making, are the boards of directors just picked by BlackRock/Vanguard employees?