Passive strategies are remaking the investing world. This inexorable trend creates systemic inefficiency as the rising tide is lifting many undeserving ships.
The nature of digital technology is exponentially driven and therefore fundamentally distinct from previous technological revolutions.
Markets do not effectively discount the disruptive effects of digital technology as humans are very poor in understanding exponential functions.
Industry incumbents fail due to good managerial decisions, lending a powerful quantitative advantage to deselecting laggards