No. of Recommendations: 1
Here's a Foolish question: Shouldn't we assume that the stock of S&P500 companies is artificially inflated in value because so much is invested in them (rather than in others) via index funds and exchange traded funds?

I realize that the companies are chosen for the index because of significant longstanding strengths. Still, doesn't the fact of being listed itself count as an asset, since it virtual guarantees positive investment flow?

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