| interesting question, and i used the AI for help on this one: $ value of equity purchased in indices: - total market cap of those 3: $3.6tn - index inclusion weights is based on free float, not full market cap - free floats ~5% => 5% * 3.6tn = 180bn of these stocks in MV weight in the index $ value of index funds: $18tn $ value of market cap that is tracked by these index funds: $57tn => index funds are 18/57 = 31.6% of the market value => 180bn * 31.6% = $57bn of stock included in the index funds so $57bn in sales in other companies
=> 57bn/18tn = 0.32% of all other stocks sold Now for the assymmetry here: - 57bn in sales is about 7% of daily volume for all incumbants combined - 57bn in purchase is about 15-30 days of volume for typical stocks (hence Elon's eagerness to get them included asap) |