Replies to post #3720 on Vuzix Corporation (VUZI)

[growacet]

Obviously they're down big

I take it you're referencing this:

https://pressoracle.com/news/2019/02/23/blackrock-inc-purchases-90968-shares-of-vuzix-corp-vuzi.html

I know shareholders often look for a smoking gun to justify their decisions: "See, Blackrock bought...so obviously I'm right".

I'd offer up a few examples, Enron, Nortel, WorldCom, Sino Forest....all had big institutional investment, all no longer exist. How were big institutions so wrong? Its pretty simple really.

Institutions have billions of dollars under management....a small or microcap fund only has a few thousand options for the billions of dollars they're managing...so they spread it around. Vuzix is in the Russel 2000 index, at least until the index its re-evaluated in a few months. Institutions will often simply mirror an index....and based on Vuzix having a MCap up over 200 million last year they were included.