Never miss an update

DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46




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
Style: sneaker
Euro Size: 39 - 40 - 41 - 42 US Shoe Size (Men's): 6 - 7 - 8 - 9
Brand: DOLCE & GABBANA Color: BLACK
MPN: Does not apply Upper Material: LEATHER - SUEDE
Never miss an update

DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46 - blurrypron.com

    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46
    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46
    wacko maria Wacomaria Converse 100 HI Leopard US JPS 27.5 cm rare size men's M09AUTH LUXURY PRADA SNEAKERS SHOES 4E2642 BLACK GREY NEW US 11.5 , 315/ Used shoes 10half(28.5cm) Original 1985's JORDAN Jordan AJKO scratches tun2 , DS 2016 Air Jordan 4 Retro Premium Pinnacle sz 9.5 Navy 819139-402 , BALENCIAGA TRACK SNEAKERS GREEN BLUE SIZESADIDAS NMD_R1 BAPE OLIVE CAMO BA7326 BRAND NEW IN BOX & 4.5 , Yeezy 350 V2 Butter DS size 36 - 40 2/3 - 41 1/3 - 43 1/3 - 46 , AUTHENTIC LUXURY PRADA SNEAKERS SHOES 4E2502 BLACK NEW US 10NEW US 9 Adidas YEEZY BOOST 350 V2 ZEBRA CP9654 WITH TAG BOX FROM JAPANMan's/Woman's Asics gel lyte iii 3 Zillion Practical and economical Known for its good quality Immediate delivery , Adidas Yeezy Boost 350 v2 "Beluga 2.0" UK8/US8.5/EU42 - Brand New In BoxAUTH LUXURY PRADA MATCHRACE SNEAKERS SHOES 4E2700 BLUE US 7MAISON MARTIN MARGIELA Black Leather Trainers Sneakers UK9 IT43 NewAdidas x Yeezy Boost 350 Black Pirate (2016 Release) US8 EUR41 UK7AUTHENTIC LUXURY PRADA SNEAKERS SHOES 4E2550 GREY NEW US 11 , NIKE KOBE X 10 ELITE LOW PRM HTM US 8.5 RACE CAR GREEN MULTI FLYKNITNIKE ZOOM ROOKIE PRM GALAXY US 14 SOLE COLLECTOR PENNY FOAMPOSITEAir Jordan 13 XIII Retro Low QUAI 54 Q54 810551-050 NEW , AUTH LUXURY PRADA SNEAKERS SHOES 4E3230 BLACK SUEDE NEW US 9 , EDWARD GREEN BERKELEY Leather Shoes Black Size 7 1/2 E82 Men's Fashion Y48 , ONITSUKA Tiger Vintage Marathon Shoes 1960s Nylon SP Deadstock Blue size JP 26.5Adidas Dragon Ball Sneaker Goku Model ZX 500 RM DB Size 27.5 cm US 9.5 , AUTH LUXURY PRADA SNEAKERS SHOES 4E3230 BLACK SUEDE NEW US 7New Rick Owens Mastosneaks Black Leather High Top Trainers BNIB RRP100% Authentic Adidas Yeezy Boost V2 Black / Green size 8USAUTH LUXURY PRADA SNEAKERS SHOES 4E3230 BLACK SUEDE NEW US 10 , DS 2011 SKYWALKER x STAR WARS SZ 8.5 LUKE HOTH BRAND NEW RARE TO FINDNew adidas x BAPE NMD R1 Black Army Camo US7.5 Bathing Ape Shoes Free ShippingMaison Martin Margiela Replica Stud trainers Snearkers UK8/ IT42 /US9 RRP895GBP
    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46 - blurrypron.com>DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46 - blurrypron.com
    Naturalizer Women's Zarie Boot, Black, 8 M US , Italian Designer Nando Muzi Studded Black Leather Platform Ankle Boots Size 38 , Vic Matié - Boots - 320848 - White , Superga 2750 LAMEW, Womens Low-Top Sneakers, Pink rose gold, 5 EUMen/Women FRANKiE4 Suze Rose Gold Elegant and sturdy set meal Strong value Excellent functionNIB Steve Madden perforated black loafers, size 8.5 , Women Shiny Leather Fashion Slippers Shoes Flats Slip on Loafers Oxfords Plus SZPrada Women's Sequin Decorated Moccasins Loafers Slip On Shoes Sz 5 6 9 10 , Gentleman/Lady BCBGeneration Women's Puffer, - Choose SZ/Color Comfortable feeling modern Explosive good goodsLast One TORY BURCH Women JEWELED FLIP-FLOP Emerald Green 32681 US Size 8 $75Chloé Women's SU17 90MM Niko High Heel Sandals Nisty Beige SizeK Swiss Billy Reid Arlington NL Fall Leaf/Cinnamon 03421-271 Men's , Nike Air Max Zero Premium Men's Running Shoes 881982 004 Size 12 NEW , MEN'S SHOES SNEAKERS ADIDAS ORIGINALS FOREST GROVE [B41548]NIKE Rosherun sz 10 Black Dark Magnet Grey Bright Mango Roshe Premium RunNike Air Huarache Run iD White Black SZ 9 ( 777330-983 )New NIKE Air Max Plus Reflective Le Requin Men's Sneakers black white all sizesJORDAN 4LAB1 REFLECTIVE BLACK MEN SIZE 11.5 NEW AUTHENTIC RARE , NIKE AIR VAPORMAX FLYKNIT UTILITY Running Shoe - Light Bone/Summit White/Total , British Cowboy Real Leather Men's High Top Chelsea Round Toe Pull On SHoes Boots , Rockport Men’s Essential Detail Waterproof Black LTHR Oxfords Size 11.5M D1626/New Balance Women's Vazee Pace v2 Running Shoe, Grey/White, 6.5 B USPuma Rebel Mid - Pink - WomensNew Balance Women's 1550 Suede Shoes Grey with SilverSTEVEN by Steve Madden Women's Nc-Padre Ankle Bootie , Womens Rhinestones Diamonds Ankle Riding Boots Pointed Toe Heels Stilettos zhou8 , Gentlemen/Ladies Bearpaw Women's Abigail Boot New product Various types and styles high quality productWomens Ankle Boots Mid Slim Heel Pointy Toe Side Zip Nubuck Warm Fashion party , Womens Shoes Tamaris Wortmann 24415 Black Short Boot Med Width $120 RetailFitFlop Women's The Skinny Sparkle Flip Flop - Choose SZ/color ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46 - 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.

    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46 - 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
    DOLCE & GABBANA DOLCE sneaker low london in leather CS1494 in AB937 AB937 89850 black a577e46
    Athletic Shoes
    >
    ;