Never miss an update

MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706




Never miss an update

MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706 - blurrypron.com

    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706
    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706
    Men/Women Nina Lilou Moccasin online sale Optimal price Excellent workmanshipGUESS Women's Pumps Highheels Stilettos RedMORI ITALY PLATFORM HIGH HEELS PUMPS SCHUHE SHOES REAL LEATHER BROWN MARRONE 41Gentlemen/Ladies Court Shoes Fabi Print Customer first New style Lightweight shoes , MORI MADE IN ITALY POINTY HIGH HEELS PUMPS DECOLTE SCHUHE LEATHER GREEN VERDE 44 , MORI MADE IN ITALY HIGH SKY HEELS PUMPS SCHUHE SHOES LEATHER GIALLO YELLOW 44 , Gentlemen/Ladies Grey Mer Sabot High grade Sales Italy a wide variety of goods , AUTHENTIC LUXURY PRADA PUMPS SHOES 1I628D RED NEW 39,5 40Gentleman/Lady Franco Colli Moccasin Heel High quality and cheap a good reputation in the world Vintage tide shoesAUTHENTIC GIUSEPPE ZANOTTI PATENT PUMPS BROWN GRADE B USED - ATMORI MADE IN ITALY POINTY HIGH HEELS PUMPS DECOLTE SCHUHE LEATHER BEIGE NUDE 44 , AUTHENTIC LUXURY MIU MIU PUMPS SHOES 5I9052 BLUE FLORAL NEW 37 37,5AUTHENTIC JIMMY CHOO TIBER LEATHER PLATFORM SANDALS BLUE & YELLOW GR NS USED -HP , AUTHENTIC CHRISTIAN LOUBOUTIN ENAMEL OPEN TOE PUMPS BLACK GRADE AB USED -ATGentleman/Lady Ballerina Repetto Cendrillon Lamé Special price Trendy Preferential price , AUTHENTIC PRADA LEATHER RIBBON PUMPS PINK 37 1/2 GRADE AB USED -HP , AUTHENTIC LUXURY PRADA PUMPS SHOES 1X295F BLACK NEW 40 40,5AUTHENTIC CHRISTIAN LOUBOUTIN STUDS HARAKO BOOTIES LEOPARD BR GRADE NS USED -ATAUTHENTIC CHRISTIAN LOUBOUTIN MAYERLING SUEDE LEATHER SANDALS GRADE S USED -AT , Leather Floral Stitch Boot, Size 11, Cowboy boot, Leather boots, Floral PatternMORI MADE IN ITALY STUDS NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 43AUTHENTIC CLASSIC LUXURY PRADA PUMPS SHOES 1I615D BLACK NEW 39 39,5 , Man's/Woman's Sandals Tod's nn078 Aesthetic appearance Moderate cost comfortable , AUTHENTIC CHRISTIAN LOUBOUTIN MACALA GRADIATOR SANDALS BLACK GRADE AB USED -ATMORI ITALY PLATFORM HIGH HEEL PUMPS SCHUHE SHOES PYTHON LEATHER BEIGE NUDE 40 , Mr/Ms Ballerina Repetto Camille Many varieties Modern and stylish fashion Seasonal hot sale , AUTH PRADA HEELS PUMPS PEEP TOE SHOES 1KP136 BLACK NEW 41 41,5Shoes Igi&Co Classic Francesina 68220 00 AU Woman Naplack Black Made in Italy , AUTHENTIC LUXURY PRADA PUMPS SHOES 1I628D RED NEW 40 40,5
    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706 - blurrypron.com>MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706 - blurrypron.com
    Pleaser KISS-1016C Womens Kiss1016c/C/M Boot- Choose SZ/Color.Frye Side Zip Short Womans Boots size 7.5 B Dark Gray MSRP $298 , Reebok Furylite AOM Skull Grey White Men Shoes Sneakers Slip-On Trainers BS6063 , VANS MAN WOMAN UNISEX SNEAKER SHOES CASUAL FREE TIME CODE CLASSIC SLIP-ON 0MEGHN , Ladies Skechers Black/White Casual Shoes Style Go Walk 3 , LADIES SHOES/FOOTWEAR -Rieker slip on shoe L3859 black crinklePW Minor Shoe Orthotic Orthopedic Women 6 M Diabetic Thermold Extra Depth BlackESCADA BLACK SUEDE HEELS PUMPS SZ 8 ITALY RED HEART DESIGN VINTAGE WOMENS EUC , Nike Air Max Sequent 3 Premium VST Men New Blue Running Sneakers AR0253-400Nike Dual Fusion Hills Mid Leather Mens Hi Top Trainers 695784 Shoes 001 , NIKE KOBE BRYANT IX 9 PRM CHINA PACK RED/GOLD SHOES Size 7 US SPECIAL EDITIONNike Flyknit Racer Green Strike Black Blue Lagoon 526628 304 Men's / Women's , Man's/Woman's Adidas Men's Superstar - Choose SZ/Color Customer first King of quantity Speed ​​refundDS NIKE 2016 FRAGMENT HIROSHI FUJIWARA AIR MAX LD ZERO BLACK 9, 12, 13 ATMOS , Dickies Work Boots Steel Toe Shoe Waterproof Cannon Size 12 Medium Leather Brown , NEWROCK New Rock M.1473-S51 Unisex Red Cow Leather Biker Goth Rock Boots , New Tosi M olive/tan nubuck/calf leather , Nunn Bush Mens Quail Valley Pn (84754)adidas Adilette Cloudfoam Plus Logo Slides Steel White Men Sports Sandals AC8412ASICS GT-2000 4 Running Shoes-Women's size 10.5D Sliver , Skechers 15807 Performance Womens You- Sneaker- Choose SZ/Color.Nike Flex Bijoux Trainers Womens Black/White Sneakers Sports Shoes FootwearAravon Women's Bromly Gladiator Sandal Black Leather Hook and Loop , WMNS NIKE AIR HUARACHE RUN PRM PREMIUM ANTHRACITE-BLACK SZ 7 [683818-004] , Women's Combat Military Knee High Riding Boots Cuban Side Zipper Shoes Black NEW , Alfani Womens Adisonn Leather Closed Toe Ankle Fashion, DARK ROAST, Size 11.0 MXLadies Gladiator Over Knee Boots High Block Heel Retro Suede Warm Casual Shoes , BalaMasa Womens High Heels Above The Knee Solid PU Thigh Boots , HANNA MODA St. Mary Cowboy BOOTS Womens size / 8.5 M Brown Leather Mexico , Dr. Scholl's Shoes Women's Imagine Loafer, - Choose SZ/color ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706 - 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.

    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706 - 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
    MORI MADE IN IN ITALY SCHUHE STUDS BLU NEW HIGH HEELS PUMPS SCHUHE SHOES LEATHER BLUE BLU 40 a4df706
    Heels
    >
    ;