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Over the last decade, more money has been allocated using passive asset management strategies. A good part of the latter relies on ETFs that are replicating indices that are mainly comprised of big-cap stocks. Does this increase the volatility of those companies' stocks and in turn increase the risk of passive asset management strategies?

I would suppose that while it increases the risk there is a low probability of index replicating funds falling behind the overall markets since their cap is mainly determined by big-cap companies.

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