One Bank’s Quants Think They’ve Found The Key To Outsmarting ETFs
The contention that the epochal active-to-passive shift distorts markets and has a deleterious effect on price discovery is of course not new. But as the trend continues, the debate about unintended consequences continues to fester.
Here's Deutsche Bank describing the current state of the markets in the context of passive ownership:
The shift to passive transmitted through stock-level ownership by passive vehicles is currently at historic levelsĀ Passive investors own $5 trillion or 21% of th
Excellent piece.
So logically the next thing is to base an ETF on the anomaly? Coming soon to a dealer near you.
Does anyone know where I can find the original report by Deutsche ?