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How Passive HODL-ing Of Stocks Leads to Extreme Crashes | Mike Green

Forward Guidance

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The Evolution of the Market

The higher something goes in price, the wealthier and more share the more money that is available for the insiders to sell. Kathy Wood grew so large that her flows actually became the determining factor of the performance of the companies she owns. She was reinvesting the proceeds of incremental share sales of the ARKK ETFs which raises cash. It's effectively an inflow of cash into the vehicles. They then need to deploy that into buying these smaller, less liquid companies. And in the process of doing so, they're forcing those prices higher.

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