US antitrust officials have started asking companies about their communications with major shareholders amid merger investigations, according to a Bloomberg report.
Citing people close to the matter, the report stated the Federal Trade Commission is asking firms to identify their largest shareholders and their influence over them.
The news adds to the growing scrutiny of the power the major ETF players have over the companies they own.
It is well documented how BlackRock, Vanguard, and State Street, known as the Big Three, see the majority of passive flows and control over 80% of the US ETF market.
The huge flows have led the Big Three to become the largest owners of many US publicly traded firms. Typically, the trio collectively own 22% of the S&P 500, according to Bloomberg data. This gives the companies significant influence over major decisions such as mergers.
This dominance has led to anticompetition criticism from academic circles. For example, José Azar, professor at IESE Business School, Universidad de Navarra, argued competition issues benefitted shareholders, but impacted consumers and savers.
Featured News
Google ExecAdmitted Firm’s Goal Was to “Crush” Digital Ad Rivals, According to Court Docs
Sep 11, 2024 by
CPI
Former Michigan Football Stars File $50 Million Antitrust Lawsuit Against NCAA
Sep 11, 2024 by
CPI
Oasis Fans Could Be in Line for Ticket Refunds Amid Antitrust Concerns
Sep 11, 2024 by
CPI
FCC Chair Calls for More Competition to SpaceX’s Starlink Network
Sep 11, 2024 by
CPI
Singapore Salon Director Jailed for Contempt in Consumer Protection Case
Sep 11, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Canada & Mexico
Sep 3, 2024 by
CPI
Competitive Convergence: Mexico’s 30-Year Quest for Antitrust Parity with its Northern Neighbor
Sep 3, 2024 by
CPI
Competition and Digital Markets in North America: A Comparative Study of Antitrust Investigations in Mexico and the United States
Sep 3, 2024 by
CPI
Recent Antitrust Development in Mexico: COFECE’s Preliminary Report on Amazon and Mercado Libre
Sep 3, 2024 by
CPI
The Cost of Making COFECE Disappear
Sep 3, 2024 by
CPI