Never miss an update

1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431

Item specifics

New with box: A brand-new, unused, and unworn item (including handmade items) in the original packaging (such as ... Read moreabout the condition
Brand: adidas
Style: Running Shoes Model: adidas Calzado
Never miss an update

1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431 -

    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431
    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431
    REEBOK PUMP Shaq Attaq GRINCH GHOST of CHRISTMAS PAST Green Magic Jordan Sz. 11 , $120 NIB Men's Saucony Grid 8000 Veg Tan Pack Brown Leather S70313-1 Size 11 , NIKE AIR HUARACHE RUN PRM MEN'S SNEAKER 704830-015Nike Zoom Air Scottie Pippen Size 12Brooks Men's Ghost 10, Ebony/Metallic Charcoal/Electric Blue, 10 D US , Men FILA SPAGHETTI Jerry Stackhouse Retro Basketball Shoe Sneaker Blue Suede 9.5Men's/Women's nike air jordan retro 13 Every item described is available real Excellent stretchingASICS Onitsuka Tiger MEXICO 66 X Disney Mickey Mouse White Shoes D8G4L.0101 , Gentleman/Lady Pacific Trail Rainier Men's Shoes Ideal gift for all occasions Primary quality Superb craftsmanship , 2005 AIR JORDAN B'2RUE 312523-107 SIZE 14 WHITE/GREY , Adidas Climacool 02/17 Mens CG3346 Grey Mesh Athletic Training Shoes Size 8.5 , New NWT NIKE TRAINERENDOR SB Black / White All Sizes 616575-011 100% AUTHENTIC!! , UNDER ARMOUR DRIVE 4 LOW MEN'S BASKETBALL SHOES SIZE 10 ROYAL BLUE , [CG5128] Mens Adidas Campus Vulc X Alltimers Sneaker - White Blue RedLot of 3 Adidas Sneakers size 11.5-12 -- Stan Smith PW TNS Match Play Vulc PairsMen's Reebok Floatride Run 6000 Running Shoes Black/White, NEW! $130.00 MSRP! , NIB MENS PUMA FERRARI SF FUTURE CAT OG BLACK MOTORSPORT F1 RACING SNEAKER SHOE , Nike Air Jordan Retro 4 Mars Blackmon 10.5 White Black Red 308497-162Nike Komyuter Premium Light Bone/Black-Cobblestone 921664-002 Men'sNIKE SB ZOOM DUNK LOW PRO BLK/BARELY GREEN/WH MEN'S SZ 11.5 NEW 854866 003 NOLID , RARE Supra Skytop II Gunmetal Gray Muska 002 Pro Model Athletic Mens Shoes Sz 12Mr/Ms Supra Skateboard Shoes Skytop Evo Copper-White Big clearance sale Skilled manufacturing Preferred boutique , Nike PG 1 Basketball Mens Shoes Navy Blue Multi-color NWOB 878627-900$150 Brooks Glycerin 15 Running Shoe in Silver/Blue Men's Size 11Vintage Converse Hi-Top Shoes, Size 9.5 Men's, Official NBA Basketball Shoes , Men's/Women's DVS Skateboard Shoes Militia Snow Black/Black Durable service Win the praise of customers Reliable reputation , nike air max Fingertrap Max Mens Super Bowl XLIX 11.5Saucony Men's Xodus 4 Black/Red/Silver Neutral Trail Running Shoes US 11.5 MGentleman/Lady Reebok Trainflex Cross Training Men's Shoes durable Sales Italy Amoy
    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431 ->1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431 -
    MARC BY MARC JACOBS Tan Leather Fringe Oxford Ankle Boots Shoes US 8 7.5 , Fitflop Women's Superflex Leather Ankle Boot Black , Muck Boots Black Women's Cambridge Tall Boot w/ XpressCool Lining - Size 10Gibellieri 90 Black Leather / Zip-Up Ankle Heel Boots 39 / US 9 , Franco Sarto Womens Valera Closed Toe Loafers , Korean Womens slip on rivet shoes flat heels fashion British style loafers Ch8 , Betsey Johnson Stela Silver heels size 8 new in box bridal silver , Gentleman/Lady Pleaser ASPIRE-609G Fashion pattern Used in durability Popular tide shoesYsl Yves Saint Laurent Stud Platform Black Sandals Pumps Heels Shoes 40.5Via Spiga Womens Black Suede Wedge Slingback Sandals Sz 9 () , ISABEL MARANT PAGDA PUMPS FRENCH SIZE 37Vince Ace Slip On Sneaker, Women's Size 8 M, BlackPuma Ignite Evoknit Low - Grey - MensSouthern Tide Proper Vineyard College Party Patriotic USA Mens Sneakers Shoes 12 , Lakai HOWARD DESERT Mens Pro XLK Tech Skate Leather Boots Size 11 Brown. , Converse Chuck Taylor All Star II Shield Hi Black/Lava Mens Trainers Size 11ASICS GEL LYTE V 5 SZ 8.5 HONEY GINGER SUEDE OFF WHITE HL7W1.3131 , Gentleman/Lady Jumpman Team Jordans Size 8 Complete specification range Upper material Simple , Adidas Crazy 8 ADV PK Core Black Silver Gum BY4423 5-13 kobe prime knit ball , SZ 12 Nike Kobe X 10 Easter Hot Lava Red Black Sunset Glow Basketball 705317-808Dockers Men's Reedsport Fashion Sneaker - Choose SZ/colorGavel Men's Handmade Goat Skin Leather Roper Round Western Cowboy Boots Brown , Wolverine Men's Felix 6" Waterproof Duck Winter Forest Green/Black Size 10.5700$ Balenciaga Red Leather High Tops Sneakers size US 11,ROCKPORT MEN'S "MARGIN" CASUAL OXFORDS ESPRESSO NUBUCK US SIZE 9 MEDIUM (D, M)Men's Shoes Loafers ROBERTO SERPENTINI Navy Blue Vent Braided Blu Scuro New , Rockport Men's Modern Prep Penny Loafer - Choose SZ/ColorNIKE Women's Benassi Solarsoft Slide Sandal - Choose SZ/Color , Nike LF1 Flyknit Workboot Women's Boots, 860558 001 Size 8 NEWwomens ladies leather punk goth black ankle boots Chelsea Boots shoes pumps size
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431 -

    There’s no doubt that the last 2 years has seen the coming of age of ETFs. With what was once an unknown type of investment quickly becoming a $30b industry in Australia ($3 trillion globally). However, as ETFs have moved from the unknown to the flavour of the month, an increasing number of commentators have called on the risks ETF investors face, with some even stating that ETFs will be the source of the next market crash. Today we take a look at some of the claims as to why some believe there are so many risks associated with ETFs.

    Claim 1: ETFS are blindly pushing up stock prices

    Many have written about share markets being at record highs. In an interview with the AFR, Wilson Asset Management chief Geoff Wilson discussed his portfolios’ current high weightings to cash due to concerns of market over-valuations. 

    US based fund manager FPA capital called ETFs “Weapons of Mass Destruction”and stated “The flood of money into passive products is making stock prices move in lockstep and creating markets increasingly divorced from underlying fundamentals”. The argument they make is as ETFs blindly invest in stocks in their chosen index and ignore the underlying fundamentals of these companies. This causes these companies prices to be bid up to prices that do not support their fundamentals (ie a bubble), and eventually history repeats, the bubble bursts and markets crash.

    What do we think?

    ETFs account for around 10% of US stocks’ market value and less than 1% in Australia. In the US at least this is not an immaterial amount. However, the active managers whom ETFs have taken business from generally have mandates which force them to invest a certain percentage in the market. As a result, active managers have always been investing in expensive markets and pushing up prices. Additionally, what is currently called by many analysis as expensive equity markets could also be attributed to global record low interest rates rather than an uptick in passive investing. In saying that, since the last major market crash (the 2008 GFC), the proportion of total assets in ETFs are considerably higher and continual growth of passive investing must be considered as a possible cause of markets becoming expensive.

    Recently we’ve seen Vaneck reweight their huge Junior Gold Miner’s ETF as they approached 20% limits in some of their smaller holdings. This meant selling out of these small gold miners which saw large falls in some of these shares (some of which was blamed on hedge funds looking to capitalise on the opportunity). This is a great example of the influence that ETFs can have, albeit this is at the small end of the market.

    Claim 2: ETFs will sell on mass and compound market falls

    One of the known weaknesses of a managed fund structure is the ability for investors to fairly easily redeem their funds, meaning at times of market falls, when a fund manager may find the best investment opportunities, the investors in the fund are panicking and redeeming their investments, meaning the fund manager becomes a forced seller rather than a buyer. This was one of the reasons Forager decided to turn their Australian Share Fund (FOR) into a Listed Investment Trust, where the pool of capital for them to invest was guaranteed.

    The one thing stopping simple redemption of managed funds during market crashes is another one of its weaknesses, which is managed funds are not simple to trade, and require the investor to apply to the fund to redeem units. This can involve filling out paper forms, and an apathetic investor may simply not be bothered.

    What do we think?

    One of the greatest advantages of ETFs is also one of its weaknesses when it comes to the above, with ETFs able to be traded on the ASX, a panicked investor simply has to log into their online brokerage account and hit the sell button. If a buyer does not exist on the other side of the trade, the ETF issuer is forced to then sell the underlying holdings which could very well begin a contagion effect.

    However, we come back to the size of the ETF market, at around 1% of the Australian market and 10% of the US market. Investors selling underlying stocks that they own through their broker will have the exact same impact as the reasonably small proportion of ETFs. We believe the actual impact of this event would be not materially higher than what currently exists.

    Claim 3: ETFS with low liquidity will be hard to sell if markets fall

    Peter Switzer recently spoke about a client who had received advice that an ETF with low liquidity would be difficult to sell if markets fall. The argument being that without a liquid market the seller would be unable to find a buyer on the other side of the trade and would need to sell at a significant discount.

    What do we think?

    One of the somewhat unknown components of ETFs is the role of the market maker. Essentially the market maker’s role is to provide liquidity to an ETF, so that if there is not an existing ETF unit on the other side of an ETF trade, the market maker must create an ETF unit for a buyer, or absorb an ETF unit for a seller. It is then the ETF issuer's role to buy or sell the underlying assets that the ETF holds. This means that regardless of an ETF’s liquidity, a market maker will always exist to buy an ETF off an investor even if the markets in free fall.

    However, there is a caveat to the above. Market makers make a profit by charging a spread between the buy price and the sell price of an ETF. The spread becomes the market maker’s profit margin. In a free falling market it may be difficult for the market maker to price the underlying investments forcing them to create a huge spread between the buy and sell price to protect their margins. This was seen in the 2015 Dow Jones ‘Flash Crash’, where some ETFs dropped 30% when the market makers were unable to price the underlying securities.

    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431 -

    Finally, an ETF is only ever as liquid as its underlying holdings. ETFs which invest in illiquid investments may have great liquidity, but if the underlying investments do not, this will likely be reflected in falls in both the underlying holdings and the ETF during market falls. This may be more likely to play out at the small cap end of the sharemarket and within unlisted asset classes.

    Claim 4: ‘Exotic’ ETFs are higher risk

    In a recent RBA publication, economist Michelle Cunningham discussed the risks faced with some of the more exotic ETFs, those that are classed as ‘synthetic’ ETFs, meaning the ETF issuer does not hold the underlying investments, rather they rely on a counterparty to pay the return. These ETFs are generally referred to as ‘Synthetic’ or ‘Hedge fund’ in their title. Cunningham raised the risk that the counterparty may default on their obligation, so an additional level of risk exists for the investor.

    What do we think?

    We agree with Cunningham’s analysis, an additional level of risk certainly exists with these ETF structures, however in many cases this is the only way to access to investment strategy that the ETF provides. Nevertheless, investors should be aware of the additional risks that exist.


    There’s plenty of arguments in both camps about ETFs role in future market crashes. There’s no doubt the world has moved into uncharted territory with the rise of passive investing & ETFs in particular. We do believe, however, that some of the risks are overblow. Nevertheless, investors should be aware of these risks in order to make informed investing decisions. What do you think?


    Previous Article

    2017 Financial Year ETF and LIC Performance Table

    Next Article

    New Fixed Interest ETFs expand options for investors

    Leave a Reply
    Find a Fund
    1809 adidas Cloud Calzado Fluid Cloud Bold Men's Shoes Training Running Training Shoes S80657 364d431
    Athletic Shoes