Never miss an update

Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d

Item specifics

New with box: A brand-new, unused, and unworn item (including handmade items) in the original packaging (such as ... Read moreabout the condition
Brand: Unbranded
Material: Synthetic Style: Loafers & Slip Ons
Country/Region of Manufacture: China Width: Medium (D, M)
Never miss an update

Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d -

    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d
    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d
    Neko Atsume Kitten Men's High Top Shoes , European Mens Suede Driving Casual Breathable Shoes Comfy Flat Round Toe LoafersNew Fashion Mens Casual SLip On Loafers Hollow Hole Breathable Flat HEEL ShoesHot Mens Embroidery Multi Floral Loafers Gommino Casual Metal Decor Shoes Sz , Mens Males Dandy Fashion Sneakers Casual Oxford Shoes Brown Navy Beige 4502_RC , Hot Sale Mens SHoes Weave Slip On Bowknot Gommino Driving Casual Flats MoccasinsOnitsuka Tiger Temp-Racer Mens Trainers Blue & WhiteMen Round Toe Slip On Canvas Summer Beach Oxfords Loafers Board shoes Flats szPropet M3705 Mens Dual Strap Lite Walking Shoe,Bone 12 M (D)Vogue Mens Floral Embroider Meatl Round Toe Loafers Slip On Causal Wedding Shoes , Mens Slip On Metal Rivet Flat Boat New Shoes casual Punk Loafer Sneaker ShoesPropet M3705 Mens Dual Strap Walking Shoe,Black 9 M (D) , Loafers Mens Flat Shoes Strappy Slip Ons Breathable Moccasin Gommino Casual SizeMens leather round toe wedding party night club bar new tassel work shoesLeather Retro Mens Flats Bowtie Loafers New Slip on Belgian Dress Pumps Shoes ChPropet M3704 Mens Lite Walking Shoe,Bone size 10 M [D ]Fashion Mens Slip Ons Loafers Rhinestone Rivet Flats Casual Shoes Korean Low Top , Leisure Men's Sequins Metal Decor Slip On Loafers Oxfords Driving Flats Shoes 10 , Vintage Women Pointy toe Tassel Leather Slip on Loafers Brogues Shoes Oxfords sz , Vans Authentic Black White Canvas Unisex Skate Trainers Shoes , Men Leather Slip On Loafers Casual Flat Driving Moccasins Breathable Shoes 38-47Propet M3704 Mens Lite Walking Shoe, White Size 10 XX ( EEEEE )MENS JULIUS MARLOW LANDED BOAT LOAFERS CASUAL BLUE NAVY BROWN LEATHER SHOES , British Driving Moccasins Slip On Loafers Mens Nightclub Casual Party Boat Shoes , Mens Strappy Faux Suede Leather Brogue Wing tip Casual Canved Formal Shoes 2018Mens dress formal casual shoes leather pointy toe patent leather block heel HOt , Mens wedding metal pointy toe slip on multi-color leather shoes block low heel , Mens Patent Leather Leopard Print Slip On Stylish Business Leisure Loafer ShoeDunlop Mens Waterproof, slip resistance sole shoes, Sneaker: UNI ACE Light, 3E
    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d ->Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d -
    WOMEN'S MOTORCYCLE WATERPROOF SQUARE TOE BOOT GENUINE LEATHER 11 INCHAsics Gel Lyte 3 III Kimono Pack "Japanese Denim" New (US13) New 5 rare V fiegBROOKS WOMENS ADRENALINE GTS 18 NAVY TEAL 2A SHOES 2018 **FREE POST AUSTRALIA , Men's/Women's Clarks Hamble Oak, Women's Derby Complete specification range discount Extreme speed logisticsRag & Bone Women's Black Leather Suede Cooper Loafers Shoes size 38.5 new in box , Womens Multi Color Pointy Toe Pumps Stiletto High Heels PARTY Shoes Slip On ClubBlack Fluevog Listen Up Heels with Red Trim 6.5Skechers Women's Microburst Darling Dash Sneaker - Choose SZ/Color , Merrell Zoe Sojourn Ballet Knit Q2 Womens Size 7 Monument 25%OFFNEW NIKE RIVAL S SPRINT PENN RELAYS FAST TRACK SPIKES WHITE ORANGE 13 839562 883 , Reebok Royal Astroblaze Black White Men Casual Slip On Shoes Sneakers DV3701NIKE Men's Air Max Infuriate Low Basketball Shoe , Adidas Performance Men's Mat Wizard.3 Wrestling Shoes - Choose SZ/ColorJordan XV SE Promo UNC Colors North Carolina Mens Basketball Shoes Sz 7.5 , Mens Casual Riding Combat Boots Round Toe Outdoor Military Side Zip Black 4.5-11 , Polo Ralph Lauren Ranger Newport Navy Suede Leather Strap Boots Men's Size 15D , Steve Madden Men's Neves Oxford - Choose SZ/Color , In-N-Out Burger New California Dreaming Canvas Slip-On Skater Shoes , Sandal Hiking Man MERRELL Telluride Strap Summer Outdoor MarketNew Under Armour 1298675 100 SpeedForm Black Women's Running Shoes 8 USNike Womens Revolution 4 Wide 9.5 New!!! Gray / PinkWMNS DUNK SKY HIGH SKINNY WHITE-MED GREY-SUNBURST "LEOPARD" SZ 8.5 [429984-102] , ASICS Running Shoes LADY GEL-KAYANO 24 Wide TJG759 Smoky Dark Blue US10(26.5cm)WOMEN'S NIKE AIR MAX 90 ULTRA 2.0 FLYKNIT MULTICOLOR [881109-001] US WOMEN SZ 7AUTHENTIC HERMES Women's Leather Sneakers Shoes EURO SIZE 40.5 MADE ON ITALYLadies Square Toe Faux Patent Leather Ankle Boots Block Heels Shoes Stage Date , Womens Ankle Boots Shoes Pointy Toe Mid Block Chunky Hollow Block Heels ZipperWomens Leather Round Toe Glitter Shiny Zip Knee High Boots Oxfords Winter ShoesStyle by Charles David 7M Women's Vince Fashion Boot BurgundyAustralia Luxe Collective Brown Shearling Boots New Size 5 ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d -

    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.

    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d -

    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
    Mens Party Sequins Embroidery Floral Slip On Slip Loafers Party Sequins Casual Shoes Nightclub New 54f0f7d
    Casual Shoes