If an investor has a finger in every pie, then it will mean that they are invested in a company and also that company’s competitors...
Blackrock generally are that way, although I don’t know whether they actually intervene in governance decisions as often as people sometimes fear. I’d guess there are a lot of industry-specific ETFs that intervene more often than they do though?
… but this doesn’t seem that important—they had an incentive to create cartels, Universal Owner or no.
Yeah I guess I’m not saying UO will make this worse, more that there could be a deeper problem that also afflicts UO.
What it does mean is that they are also invested in the company’s consumers
Every industry is aligned with its consumers’ interests in some ways and opposed in others. I wasn’t denying the presence of aligned incentives… it’s not obvious to me which is the stronger force and in what circumstances.
Blackrock generally are that way, although I don’t know whether they actually intervene in governance decisions as often as people sometimes fear. I’d guess there are a lot of industry-specific ETFs that intervene more often than they do though?
Yeah I guess I’m not saying UO will make this worse, more that there could be a deeper problem that also afflicts UO.
Every industry is aligned with its consumers’ interests in some ways and opposed in others. I wasn’t denying the presence of aligned incentives… it’s not obvious to me which is the stronger force and in what circumstances.