Market-Cap-Weighted Index Funds Not Broken
A small number of firms driving returns and concentrations positions are a feature, not a bug, of a cap-weighted strategy.
Jeremy Glaser: For Morningstar, I'm Jeremy Glaser. With a handful of large-cap names driving much of the market's return, many investors are wondering if market-cap-weighted indexes are at risk. I'm here with Ben Johnson, he is our director of global ETF research and also the editor of Morningstar's ETF newsletter, to explore this topic.
Ben, thanks for joining me.