Investing is shifting from active stock picking toward passive strategies that track entire markets.
Index funds and exchange-traded funds (ETFs) allow investors to buy a broad basket of assets, often at lower cost than traditional managed funds.
Companies like BlackRock and Vanguard have driven the expansion of passive investing, making it accessible to both institutions and individuals.
Supporters argue that passive investing offers diversification, transparency and consistent performance over time.
However, its growth also raises questions. If large amounts of capital flow automatically into major indices, it may influence how markets allocate resources and value companies.
There are also concerns about concentration, as a small number of firms manage large portions of global assets.
Experts suggest passive investing will remain a dominant force, but its long-term effects on market behaviour are still being debated.
In that sense, the way people invest is quietly transforming the structure of global finance.