Replies to post #382816 on Anavex Life Sciences Corp (AVXL)

[Investor2014]

Would you generally agree that institutional ownership of $AVXL has been pretty constant over the last couple of years?

[frrol]

One of the obscure consequences of the rise in popularity of index funds is that as a stock rises (or falls) relative to the index, the institutional ownership will now tend to do so as well, all else equal. It's the "index effect" and has to do with recalibrating fund holdings due to relative price changes. Other major factor of course is a change in exchange listing (eg, graduating from OTC).