My understanding is that the passive bandwidth constitutes the new conditions of investing in stocks, which may justify higher PE ratios. Active investors would have to adapt to that and adapt their price targets or move out of the game altogether.
I understand active investors to include alorithmic traders, which are probably a good chunk of volume. For some of them, the starting price of a stock may not matter but rather if they expect it to trade up or down in the short term.
So we are saying that instead of active setting the price , now passive is setting the price because active need to play by new rules and accept higher valuations?
The price is set by the meeting of offer and demand. Passive affects both sides of the equation by applying a multiplicative factor to them.
Active affects the direction of price changes. Passive amplifies the magnitude of said changes. In a way, the trades made by active investors have more effect with the passive multiplier than they had without.
Itâs market cap weighted, itâs more about overall inflow/outflow right?
If anyway retail playing with short dated options seems to have more impact on the volatility.
Would be nicer to have colour coding as year so you can see at a glance which are recent years.
Just run the image through the latest AI chatbot by one of our Tech giants and ask it to re-color code the years ranked by recency of the year.
Within a split second you should have your result as clearly this is just an intern level difficulty task that will take the intern a couple of hours (maybe under an hour if they are spreadsheet proficient?) but AI can solve this basically immediately â and with colorful results!
</which is why the latest AI craze is just a bunch of hype>
Edit:
Not unuseful, but @PhilMongoose still needs an intern to do the actual work.
Will post it here as a reminder of Switzerlandâs specialty.
GDP per Capita vs. Homeownership rates would make a nice correlation plot 
Bit surprised to see 42%
I always thought it was 30%
Itâs been said in Greece and other places that high levels of home ownership prevented social chaos in times of trouble like 2008-2015.
Responses like that make me furious. That wasnât the task, at all. How can it be so difficult?
Is there a way to get better results with different prompts?
In similar situations, I already tried âno, Iâd like you to actually do this for meâ, which didnât bring the desired results, neither from AI nor smart-ish interns.
edit: Just to see the bright side, it could always be worse:
âAI will take over your jobsâ
âYou will loose your jobsâ
I think an easier intermediate step would be to extract all the years into a 10 column CSV preserving the layout. Not sure even if this works.
Youâve been found out, @PhilMongoose â youâre actually a ChatGTP version 6 bot and theyâre beta-testing it in this forum.
Theyâve even added a humble tone (âNot sure even if this worksâ) â cute!
If there are specific years you believe are missing or if you can provide a clearer or more detailed image, I could attempt a more precise extraction or make educated adjustments based on your input. Alternatively, providing a list or description of the years and their corresponding return ranges would allow me to create a more accurate table for you.
Anyway, once in a while I came across a chart like this. Typically on the German Dax index, seems the original is published by a German interest group.
Quite like the idea, as it shows not only returns in individual years, but also across time. âRenditedreieckâ, they call it.
y-axis: Year invested
x-axis: return in year x
Just came across this chart of the U.S. share of the world economy.
Isnât it puzzling that the US still makes up 60% of the global stock market?
And the share has been growing steadily since about the late 80âs:
I think itâs driven by two factors
Nope. These are different things. Why donât you look up the same data for Switzerland? 
I guess youâre right, theyâre different things.
I still find it amazing that most of the rest of the world doesnât ⊠well, guess, capitalize? on their much larger economy.
They do, just not on the stock market.
