Never miss an update

Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9




Item specifics

Condition:
New with box: A brand-new, unused, and unworn item (including handmade items) in the original packaging (such as ... Read moreabout the condition
Model: Nike Air Max Zero
Style: Running Shoes US Shoe Size (Men's): 12
Brand: Nike Product Line: Nike Air
UPC: Does not apply
Never miss an update

Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9 - blurrypron.com

    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9
    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9
    VANS Old Skool Suede Tiger Camo Black Sneaker M11.5NEW - Volcom Men's Red/Black Draft Water Friendly Shoe Sneaker - Size 7 , ADIDAS SUPERSTAR II ORIGINALS MEN'S LEATHER SHOES SIZE 19 NWOBAsics Courtrushing White Red Men Volleyball Badminton Shoes TOB517-0123Infinity Footwear Men's Step In Oil & Slip Resistant Athletic Footwear. MRUSHRARE Nike Zoom CJ Trainer 3 Red Photo Blue Sz 10 725231-600 Bowling Megatron , adidas Originals Kid's Superstar J Shoe, White/White/Metallic Silver, 5.5 M GSAdidas Men’s Originals Swift Run Black / Green CG4110 size 12 US , Propet Men's Stewart Walking Shoe , NEW Men's adidas Stan Smith White/Navy M20325 Size 13 DSNike Zoom Streak Men's Training Tennis Shoes Racing Pink Black 831413-600Used Worn Size 12 Nike Max LeBron XI 11 Low Shoes Magnet Gray & Bright Mango , Nike SB Zoom Stefan Janoski Hyperfeel 844443-002 Black Anthracite PRM Lunarlon 1 , Vlado Footwear Shoes Ares Fashion Men White NewMERRELL Performance Roust Fume Sneakers Castle Rock Grey Mens Size 8.5 USA $120NEW Nike Free Train Virtue Training Mens Shoes Red Orange 898052-600 Size 10.5Nike Air Max Global Court White/Obsidian-Treasure Blue 6 US 38.5 EURMr/Ms MEN’S SHOES DIADORA CAMARO 501.159886 excellent quality Affordable Popular tide shoes , Mens 12 NIKE Air Prestige 3 SI Premium Black White Leather Shoes $80 451685-001 , Adidas Men's Tubular Invader Strap High-Top Leather Basketball Shoe 12 MNike Blazer Mid Silt Red Summit White 371761-607 Men's size 10.5Reebok Zoku Runner UL TK IT IS Men's Classic Shoes Power Techy Red BD4179 Sz 9New Balance/JCrew Collab $100 520 Sneakers in Hairy Suede Sz 12 Khaki H6048 AVL , Saucony Jazz Original Vintage S70368-15 White Black Mens Sneakers Trainers , ASICS Men's Gel-Craze TR 4 Black/Black/White 8.5 D US , New Balance Mens Size 12.5 Low Molded Baseball Cleats Red White , Mens Nike Magista Onda II FG Soccer Cleats Size 10.5 Black Blue White 3D TextureADIDAS ORIGINALS TUBULAR MENS SIZE 11 SNEAKER CG5071 INVADER STRAP EASY BLUE , Adidas CF Lite Racer Men's Running Shoes B42167 Dark Blue Size 9.5 ,
    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9 - blurrypron.com>Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9 - blurrypron.com
    Twisted X Boots Women's WRS0021 Ruff Stock Chocolate/Turquoise Leather$1050 Chloe WORN ONCE Women's Purple Leather Biker Boots CH21161 Size 38 US 8 , Gentlemen/Ladies Aldo Women's Ravaldino Ankle Bootie Promotion Environmentally friendly Elegant and stable packaging , Puma Mobium ELite Speed V2 Blue Yellow Mens Running Shoes Sneakers 188154-01Rios of Mercedes Winter White Full Quill Ostrich Cowboy Boots 6C Ladies 7 to 7.5Man's/Woman's Funtasma GOGO-307 Aesthetic appearance Various types and styles Popular recommendationMan's/Woman's Wittner Ladies Shoes Brown Suede Boots Clearance price Impeccable Global sales , Something For Me Suede & Patent Loafer - 1593Stuart Weitzman Patent Leather Peep Toe Bow Heels Pink Size 7.5Carlos by Carlos Santana Hamptons Womens Black Open Toe High Heels size 8 , Pleaser FLAMINGO-889LN Women's White Patent Lined Platform Stripper Strap Sandal , ZARA NEW SLINGBACK KITTEN HEELS CHECKED BLACK PINK POINTED TOEHandmade Briton Style Chic Carved Leather Women College Loafer Shoes Many Choice , Pin Up Couture SECRET-15 Women's Platforms White Patent Mary Jane Pump HeelsNIB Tory Burch Lowell Leather Wedge Pumps Shoes BLACK 11 M , Skechers Performance Womens H2 Goga Bountiful Flip Flop- Select SZ/Color. , NIKE MAK Womens 7.5 (6Y) Fire Pink 844984 600 NEWNIKE LEBRON XIII 13 WRITTEN IN THE STARS MEN MULBERRY PURPLE 807219-500 SIZE 9.5MEN’S SHOES NIKE AIR MAX GUILE 916768 , Men/Women Nike Sonic Flight Quality products Sufficient supply Different stylesAir Jordan XI low elephant argon size 11 .5 space jam X 12 13 concord bred gammaMen's size 13 Air Jordan Future Premium All White New in box , SAUCONY sneaker shoes man JAZZ ORIGINAL S2044-416 brown and yellowAir Max 90 Ice OFF-WHITE AA7293 100 size 9 Used 100% authentic , Mens Rhinestone England Style T Stage Show Loafers Leather Round Metal Toe Shoes , NIKE AIR MAX 90 PRM SZ: WMNS 6.5 (896497 007) RETAIL: $130.00 , NWB Swarovski Studded Nike Free 5.0 TR Fit Black Running Shoes 703674-004adidas Women's Energy Cloud V Running Shoe - Choose SZ/Color , NEW Womens Dingo Motorcycle Boots Biker Work Casual DI02246 Black Size 6.5MNew $129 Diba True I Conic Taupe Cow Suede Fringe Bootie Stacked Heel Open Toe
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9 - blurrypron.com

    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.

    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9 - blurrypron.com

    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.

    Conclusion

    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
    Man/Woman Nike Man/Woman color Zero Airmax Zero Crimsom Size 12 Innovative design Stylish and fun Suitable for color c4fa3c9
    Athletic Shoes
    >
    ;