some track, alot don't. At the end of the day the market is made up many different traders, groups of traders, individuals all doing different things, wanting different things in return for the level of risk they have taken on. Trying to evaluate what any one type is trying to do or needs to do is fruitless imo. They all come together to create a market. One day the trackers are the ones in the money, the next it could be the more selective picking funds, the next it could be the small clients who bought through their broker. Some funds will have such a diverse basket of investments they could be losing on half of them but still making money. The thing they all have in common is they are in the game. Not everyone can short or wants to short. The one thing to remember is there will always be buyers it's what keeps the market going.