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Also, the weighting of the index itself is recalculated by computer, nearly instantaneously, all during the day. You can check to see how any index fund is performing against its index by looking at its tracking error (computed after the close each day). You will find that all of the major funds (SPY, VFINX, etc), have extremely small tracking errors, meaning that any effect like the one you are pointing out has been historically insignificant.

I didn't know that. Thanks for the information, Russ.

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