Never miss an update

Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a




Item specifics

Condition:
New with tags: A brand-new, unused, and unworn item in the original packaging (such as the original box or bag) ... Read moreabout the condition
Brand: Puma
MPN: 360899 08_Black/White UPC: 4056206187461
EAN: 4056206187461
Never miss an update

Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a - blurrypron.com

    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a
    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a
    Puma Womens Vikky Platform VT Low-Top Sneakers Black White, 7.5 UKPalladium Womens Us Pampa F Hi-Top Trainers, Pink Peach WhipMarshmallow K94,Creative Recreation Women s Gs Lacava Trainers Black Noir Black White Cheetahxyxyx Womens Trainers, Green Moss 01, 40 40 EUNapapijri Womens Mia Low-Top Sneakers Pink Size 7 UKVanessa Wu Womens Jade Hi-Top Trainers, Beige Noir 11, 5 UK , Mustang Womens 1267-306-875 Low-Top Sneakers, Blue Sky 875, 3.5 UK , Gola Harrier, WomenS Low-Top Sneakers, Grey GreyWhite, 5 EU , Remonte R7804, Womens Low-Top Sneakers, White Iceweiss81, 7.5 EU , Lico Womens Glare V Hi-Top Trainers, Blue Rosegold Rosegold, 5 UKCarvela Womens Krowd NP Espadrilles, Silver Silver 63, 7 UKAldo Womens Acaredia Low-Top Sneakers, White Bright White 70, 6 UKNew Balance Womens GW500V1 Trainers, White WhiteGold, 6 EUPuma Desierto Fun L Hi-Top Trainers Chocolate Brown, 4 UK , Marip Womens 26210-P Trainers, Pink Camoscio Azalea, 4.5 UKAldo Womens Stepanie Trainers, Multicolour Botanical Floral 58, 7 UK , Fiorucci Womens FEPK067 Trainers, Black Nero Nero, 38 38 EUMolly Bracken Womens Sneakers Velours Trainers, Grey, 5 UKGola Coaster, Women s Low-Top Sneakers, Black Black Black Off White , 3 , Kangaroos Womens Nihu Trainers, Red Mauve GlowWhite 6033, 8 UK , Gola Harrier, Women S Low-Top Sneakers, Yellow Yellow White , 7 EUNew Balance Womens Wrl247D1 Trainers, Multicolour Cerise, 4.5 EU , Aldo Womens Veassi Low-Top Sneakers, Black Jet Black 96, 5 UK , Mustang 1146-303, Womens Low-Top Sneakers, Blue Sky, 5 EUGola Womens Specialist Crackle Trainers, Blue Dusky Blue, 4 EU , Kappa Womens Sol Low-Top Sneakers, Grey JerseyGrey 8888, 36 36 EU , Hummel Womens Stockholm Low Trainers, Pink Orchid Pink 4335, 5 UKMustang Womens 1267-306-318 Low-Top Sneakers, Brown Taupe 318, 5.5 UK , New Balance Womens W530 Trainers, Black BlackDiva Pink, 7 EU
    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a - blurrypron.com>Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a - blurrypron.com
    PRADA Milano Black Leather Heels Boot Women SZFreebird By Steven Tash Womens Size 8 Leather Ankle Boots Brown/Multi $295 , Helly Hansen Women's A.S.T 2 Boot Port/Ash Grey/Graphite 7 M USAdidas Men's Sneakers Baseline Low White Leather Shoes Sneakers Leisure NEWNew Merrell Mens Outright Edge Comfortable Outdoor Shoes , Lucchese Bootmaker Women's Beatrice Western Boot Black Size 7.5Premium Ranger NPS Made in England Black 8 Eye Steelcap ns030-x11551bGentleman/Lady Stringata Orby Church's Fine workmanship online shop Seasonal hot sale , Gentleman/Lady Miranda in Brandy Fashion pattern Strong value Quality and consumer firstPleaser Delight 1025 Black / Red Patent Corset Back Stiletto Heel Ankle BootsNEW SAS HANDSEWN WOMEN COMFORT SHOES SIZE 9.5 M CREAM LEATHER MADE IN USA. , NEW Jeffrey Campbell women size 6.5 floral Embroidered Slides miles , Christian Louboutin Latcho Flat Calf/Pony Sz 37 , Men/Women SEXY-42 Elegant appearance the most economical Preferred boutiqueEasy Street Womens Fabulous Closed Toe Classic PumpsMr/Ms Donna Karan Perspex Wedge Sandals Complete specification range Modern and stylish fashion Vintage tide shoes , Chloé Shirley Leather Platform Cut-Out T-Strap Wedge Sandals Nude Size 40 $59511930 EW Wide Fit Black Dlites Skechers Shoes Women's Sport Comfort Memory FoamWomen's Boden Navy Suede Platform Cork Sandal sz 39 EUC worn 1x , Badgley Mischka Newlyn II Womens Dress Sandal- Choose SZ/Color.adidas Performance Men's Samba Classic Indoor Soccer Shoe - Choose SZ/Coloradidas YUNG 1 adidas from japan (3103 , LOS ALTOS BROWN SNIP TOE GENUINE LIZARD TEJU WESTERN COWBOY BOOT (EE+) 940707 , Men Leather Vintage Pointy Toe Heel Chelsea Casual suede High Top Ankle Boot 12wolverine w10381 Roscoe composite toe square toe pull on work bootmen's shoes UMBERTO LUCIANI 12 () sneakers blue leather AP356Mercanti Florentini Size 12 M Brown Leather Loafers Mens Shoes Made In ItalyCircus by Sam Edelman Women's Scotlyn SneakerDemonia Women's ASSAULT CHARADE CRAMPS CRYPTO FURY GLAM GOTHIKA Ankle Boots , Alegria Women Eliza Dame Black Floral Leather Ankle Boot Shoe Size 37 ELI-579
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a - 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.

    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a - 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
    Puma Womens Modern Womens S Low-Top Sneakers Low-Top Black Size 29964 3.5 a03b73a
    Athletic Shoes
    >
    ;