Never miss an update

STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4

Item specifics

New without box: A brand-new, unused, and unworn item (including handmade items) that is not in original packaging or ... Read moreabout the condition
Style: Kitchen Shoes
Color: Wine US Shoe Size (Men's): Please Check Description
Brand: STICO
Never miss an update

STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4 -

    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4
    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4
    Man's/Woman's VIRAL-CASUAL-WORK-SHOES Many styles Attractive fashion classic styleDsquared2 Black Leather Sneakers Size US: 8, EUR: 41 , Fashion Mens Pointy Toe Color matching Leather Shoes Youth Night Club Bar Shoes , Top Mens Suede Slip On Flats Bowtie Loafers Moccasins British Dress Shoes18 fashion men breathable slip on low top flats board shoes summer sports canvasShoe Man Artisan Antica Sartoria Napoletana Art. A103/LN Suede skin BeigeKorean Mens Flats Shoes Driving Moccasin Gommino Slip Ons Comfort Loafers Casual , Shoe Man Artisan Antica Sartoria Napoletana Art. A103/LN Suede skin Brownmen's shoes D.A.T.E. (date) 7 () sneakers black leather BX52-40 , STICO Mens BLACK Non-Slip Safety Chef Kitchen Shoes HighlyElastic EVA Insole_EN , STICO Mens WHITE Non-Slip Safety Chef Kitchen Shoes HighlyElastic EVA Insole_Rc , Mens Casual Sports Slip On Loafers Shoes Canvas Flats Breathable Sneakers SizeMan/Woman TBS EDGARD, sneaker basse homme opale Clearance price Primary quality Perfect processingRoman Mens Leather Flats Summer Beach Sandals Antiskid Flip Flops Slippers wi , 2017 Mens Fashion Creepers Casual Loafers Stitching Comfortable Slip On ShoesCasual Mens Skate Shoes Elastic Band Hollow Out Round Toe Breathable Flats 39-44Mens Fashion Sneakers Slip On Athletic High Top Casual Board Pointy Toe Shoes , Men's Casual Loafers Driving Moccasins Oxfords Leather Shoes Comfort boat New Y1 , J. Riggings Amazonas Brown 2 Tone Leather Boat Shoes Men's Size 9 D Brazil , Mens Casual Sports Slip On Loafers Shoes Canvas Flats Breathable Sneakers Chic , Top Mens Trendy Metal Decor Glitter Sequins Leather Shoes Entertainer Club Shoes , 2018 men's shoes breathable shoes dress lazy shoes pointed sets of feet shoes , Urban Classics - KNITTED Light Runner Shoes , NEW adidas ACE 15.2 CT B32886 Mens Shoes Trainers Sneakers SALEMEN'S MOCCASINS WITH METAL LOGO BEIGE COLORBLACK LEATHER PUNKY STEVE MADDEN MONARCH DUAL ZIPPER Hi TOP Sneakers sz9D US , Men Driving Moccasins Slip On Loafers Casual Business PU Leather Boat Shoes sizeNEW NIKE COURT ROYALE (749747-111) Mens Shoes Casual Sneakers All Size , Men's Slip On Loafers Black Flats Breathable Gommino Moccasin Driving Shoes SZ ,
    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4 ->STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4 -
    Steve Madden Overt Women's Leather Black Boot Sz 5.5 M 4447 *Schutz Pia Black Leather Mesh Booties Size 8 New MSRP: $200Laredo Women's Madison Burnished Red Snip Toe Western Boot , JIMMY CHOO Black Mayor Leather Wedge Ankle Boots with Back Zipper Closure - 40.5Men/Women Vans Old Skool Shoes Black/White Big clearance sale high quality valueSteel Blue WHYALLA Steel Cap Hiker Style Safety Boots Wheat , Men's Leather Shoes * PORSCHE DESIGN-PORSCHE * M20587 * Limited Quantity , B37646 | ADIDAS WOMENS NMD_R1 W MAROON/CORAL/PURPLE - FREE AU SHIPPING , Anyi Lu ~ Art to Wear ~ Animal Print Carly Ballet Flat Moccasins ~ 39$89 Steve Madden Womens Whereto Peep Toe Dress Wedge Pump, Blush, US 9 , Retail $975+T Auth New Valentino Rockstud Ballerina Patent Leather Black FlatsYSL Yves Saint Laurent Mesh animal print black pumps 8.5 B , Delman Women's Trish Black Leather Espadrille Wedges 1183 Size 7.5 M , OLUKAI WOMENS HO' OPIO FLIP FLOPS 20294-RD26 OC RED DAHLIA / CHARCOAL SIZE 7 , Luxury Elegant Ladies Ankle Strap Rhinestones Wedge Hollow Heels Sandal Shoes SZ , NIKE WOMENS AIR FORCE 1 '07 2006 VINTAGE DEADSTOCK DS US WOMENS SIZES 315115-412Nike SB Blazer Zoom Low XT Skateboard Shoes Deep Night White 864348 501 Size 11Mr/Ms Puma Shoes Men Size 9 Black Online Shopping Used in durability Excellent stretching , Jordan Fly Unlimited Mens AA1282-004 Dark Wolf Grey Basketball Shoes Size 13 , Raf Simons Stan Smith Comfort Badge Size 10.5Mr/Ms KITH Air Maestro 2 superior New products in 2018 Perfect processingwacko maria Wacomaria Converse 100 HI Leopard US JPS 27.5 cm rare size men's M09Giovanni Cyprus Grey and Black Oxford Shoes Mens Shoes , Gentleman/Lady FLORSHEIM DRESS SHOES SIZE EE Promotion Clearance British temperamentMan's/Woman's Adidas Gazelle- Size 6- never worn Various styles real Known for its excellent qualitySkecher Street Women's Double Up Fashion Sneaker - Choose SZ/ColorBearpaw Women's Rosalina Moccasin Pewter Distressed Suede Slip-on ShoesNEW Women's Nike Epic React Flyknit Olive Green Matcha Black White AQ0070-300Converse All Star Chuck Taylor White Canvas Sneaker Trainer Silver Studs , NIB Born Pirlo Womens Distressed Leather Ankle Boot Size 5 ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4 -

    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.

    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4 -

    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
    STICO Mens WINE Mens Non-Slip Safety 29992 Chef Kitchen Shoes Insole_IG Highly Elastic EVA Insole_IG 92117e4
    Casual Shoes