Modern global capitalism is shaped by a highly consolidated handful of index-fund giants that sit at the top of the ownership pyramid for almost every major company on Earth.
BlackRock, Vanguard, and State Street—collectively known as the "Big Three"—own a massive percentage of nearly every publicly traded company in the world, creating a web of circular, interlocking ownership.
They don't just own the companies that make products; they also own each other.
Because they manage trillions of dollars for millions of individual savers, retirement plans, and pension funds, they end up holding the largest voting blocks in almost every industry.
While the money belongs to everyday investors, the voting rights tied to those shares belong to the asset managers.
They wield immense power behind the scenes over corporate boards, executive pay, and corporate policy simply by deciding how to vote their trillions of shares.