[mvindahl]

A lot of "mights" in that article.

Sure, index funds are freeloading a bit in the sense that they don't allocate any resources to scrutinizing the prospecta of each individual company, they just assume that other market players have done they homework.

This would be a problem if every investment was passively managed but that's not the case and it will never be. If we ever came close to that, then actively managed funds would outperform the passively managed ones by large margins.

[qqii]

Exactly, those that are interested in the performance of a specific company will invest and effectively have the same proportion of power as if the passive investors didn't exist.