Never miss an update

Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8

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: Nike
Style: Athletic Sneakers Color: Multi Color
Never miss an update

Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8 -

    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8
    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8
    NIKE 2011 RETRO DUNK HIGH SB BLACK AND GRAY SIZE 10.5 PREOWNED RARE , Nike SF Air Force 1 High Navy GumNIKE MEN'S ROGER FEDERER ZOOM VAPOR 9.5 MIX BLUE.Nike Air Force 1 Ultra Flyknit Low Mens Black Volt Green Pink 817419-002 Sz 9.5 , New Men's Air Jordan Spizike Shoes (315371-406) Men US 9.5 / Eur 43 , {D96758} MEN'S ADIDAS ORIGINALS EQT SUPPORT MID ADV PK LIGHT GREY/PINK *NEW* , Nike Air Jordan 5 Retro Low (GS) Trainers 314338 001 Sneakers ShoesJORDAN FLIGHT LUXE MEN'S SHOE LIFESTYLE MID TOP COMFY SNEAKERGentleman/Lady NIKE PURPLE AVENGER SB lot High security Sufficient supply Known for its beautiful quality , AIR JORDAN RETRO 9 "BARONS" Size 12Nike Men's Air Jordan Retro 8 - Size 13Jordan J23 Men's Sport Casual Shoes 854557-001 , Reebok Classic Leather Alter The Icons MensNike Air Zoom 90 IT Men's Golf Shoes NEW! Sz 11.5Nike Air Jordan Wool Casual Sneakers Dark Grey Mens Size 11.5Nike Lunarepic Low Flyknit 2 Mens Running Trainers 863779 Sneakers Shoes 002 , Gentleman/Lady ADIDAS RAVEN M MENS RUNNING BB3941 Many styles Good market Don't worry when shoppingAdidas Originals Men's Neighborhood New York Cityrun Shoes Size 12 us M25783Nike Air Jordan 1 Mid, White / Black / White, 554724 110, Size 12 , Gentleman/Lady Nike air max 95 premium Comfortable feeling Quality and quantity guaranteed Seasonal hot sale , Adidas Porsche Design Sport P'5000 Gym Slide 2.0 (BB5534)Men's/Women's Mens red Puma Fierce size 9 Elegant and sturdy set meal First batch of customers Comfortable and naturalNike Air Max 1 Ultra 2.0 Flyknit Mens Running Trainers 875942 400 Sneakers Shoes , Nike Men's Air Pegasus '92 Premium (USA) , Nike Air Max 95 Essential Wolf Grey Men SZ 8 - 10 , Nike Air Max Express Green Size 9.5Nike Air Jordan 1 Retro Ultra High Mens 8 844700-050Adidas Originals Dragon Vintage Men's Sneakers Shoes Blue S32087 Gym Shoe NewMr/Ms Nike Custom Size 11.5 Good world reputation Ranked first in its class Preferred boutique ,
    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8 ->Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8 -
    Franco Sarto Women's Ellyn Wide Calf Taupe Boot 9 , US4-12 Autumn Ladies Over Knee Thigh High Boots Zipper Back Nightclub Sexy ShoesFrye Women's Leather Boots - Various Styles, Sizes and ColoursToga Pulla AJ780 Black Suede boots Women's size 9.5 m Euro 39.5NIB Christian Louboutin Bootoni ML 100 Leather Booties in Black - SZ 37.5Vans Authentic Low Sneaker Boots Black Canvas Sneakers Leisure VN000EE3BLKNew VANS Womens CHECKERBOARD SLIP ON YELLOW Ochre US W 5.5 - 8.5 TAKSE AUPaloma Barceló Kirk Navy Women Ankle Boot FW 2017-2018Unique! Ballet Flats Black CHERRY genuine leather size 8 (26 cm) NEW in BOXDrew Women's Rose Comfort Shoes Black Leather Black Stretch , Revere Charlotte - Women's Ballet Flat Black - 10 Medium , Women's High Heels Pointy toe Special Spike Punk Rock Oxford Stilettos Boot C8J.Renee Women's Florentina Pump - Choose SZ/Color , New BCBG Maxazria Gladiator Sandals boot cage hills camel 7 shoes leather , NEW CHRISTIAN LOUBOUTIN Pigalle 120 Framboisine Patent Kate Heels Pump Shoe 36,5NEW LANVIN Satin Glitter-Bow T-Strap Pumps (Size 38) - MSRP $1,100.00! , Nike Men's Running Shoes - FS Lite Run 2 - Size 11.5 - Black - 685266-005 , Nike Air Force 1 - Court Purple/Black-Volt 488298-503 - Men's Size 9.5New Balance 997 Made in USA Grey Silver Black Sz 9 M997BRK1807 adidas SWIFT RUN Men's Training Running Shoes B37731 , New Balance BM3020BK Mens BM3020V1 Fashion Boots- Choose SZ/Color. , BURGAN 300 Safety Work Boot with Steel Anti-Penetration Midsole and Toe - CrazyRALPH LAUREN COLLECTION MADE ITALY Brown Snuff Suede Crepe Driving Loafer 10 DKorean New Mens Loafers Oxfords Leatehr Flats Slip On Casual Dress Driving ShoesPUMA 36381802 Mens Mostro Sirsa Sneaker- Choose SZ/Color. , Mens Pointed Toe Buckle Leather Slip On Dress Formal Business Wedding Shoes , WMNS Nike Air Jordan 1 Retro Low NS SZ 5 Partical Beige Red Bronze AO1935-204PUMA Women's Prowl Alt Satin Wn Sneaker - Choose SZ/Color , Men's/Women's WOMEN’S SHOES CONVERSE CTAS HI 559015C High grade high quality Highly appreciated and widely trusted in and outNew Gianni Bini Nailah Pointed Toe Black Patent Leather Ankle Boot 6.5 7.5 9.5 ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8 -

    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.

    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8 -

    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
    Nike Nike Air Max 875679-100 1 Ultra 2.0 Essential Men's 18497 Running Shoes 875679-100 3467fd8
    Athletic Shoes