Never miss an update

Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14




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
Brand: Nike
Width: Medium (B, M) US Shoe Size (Women's): 9
Color: Multi-Color Style: Tennis
UPC: Does not apply
Never miss an update

Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14 - blurrypron.com

    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14
    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14
    ADIDAS TUBULAR NOVA PRIMEKNIT PK MYSTERY RED BURGUNDY TRACE BROWN BB8406 SZ 13ADIDAS MARATHON TRAINER OG BB6803 vintage archive running courtz trainer gazelle , Nike Air Max LD Zero Fragment Hiroshi Fujiwara Black Grey 848624-002 Mens Sz 9.5Nike Air Huarache Drift BR White/Pure Platinum (AO1133 100) , Nike Air Max 1 Mens AR1249-002 Dark Grey Fierce Purple Running Shoes Size 9 , Nike Air Max - Gray with Slight Shimmer, 2015, Size: 9Shoes adidas Deerupt Runner Green Men B41771 , NEW Adidas Originals Pro Model Men's Black BY3173 NYC Size 7.5 RARE!!Gentleman/Lady WOMAN ADIDAS NMD_R1 AQ1102 Practical and economical buy Fair priceNIKE AIR MAX 1 PREMIUM 875844-404 WORK BLUE MOUNTAIN BLUE DS SIZE: 11.5 , NIKE Men's HypervenomX Proximo IC Soccer Cleats, Metallic Bronze / Black SIZE11Man/Woman New Balance Men's Ml1978bk Running Shoes Long-term reputation Comfortable touch Official website , Nike Men's Hypervenomx Proximo Ic Mtlc Rd Brnz/Blk/Blk/White/Grn Glw Indoor , Mizuno Wave Rider 20 Men's Running Shoes Blue , VASQUE LOST 40 US 10.5 Men's Winter Hiking Boot BlackNike Air Force 1 '07 AF1 Model Medium Grey Men's Size 10 , (072) 100% Authentic Nike Lebron 11 Miami Night Size 9 616175-330 , New Nike Zoom Fly SP Running Shoes London Rage Green AJ9282 103CONVERSE ROAD STAR OG 1984 WEAPON MAVERICK STARTECH ERX JORDAN 1 IV VTG 1985 , Reebok Instapump Fury LE SBTG Sz 8 Tan Brown NIB BD2902Man/Woman Adidas Ultra Boost 3.0 Size 13 Not so expensive Fine art Lightweight shoesNike Flyknit Max (Blue/multi color) Mens Us Size 10.5 (no box cover) Retail:220$ , Asics Gel-Lyte 1 Dojo Sneakers Men's Lifestyle Shoes Welcome to the Dojo , Nike Air Huarache Run F Russian Floral Size 13 Black University Red AO3153-001NIKE LUPINEK FLYKNIT "OREO" BLACK/WHITE SIZE MEN'S 9 [862505-001] , Adidas SM Dame 4 NBA Scarlet Red White Damian Lillard Basketball Shoe Multi SizeNike SB Koston One Aqua Paradise First Series Blue Box 7.5 Diamond Mint , Adidas Originals Men's Stan Smith Shoes 7.5 us S75023 LAST PAIRMen/Women jordan 12 size 10 Diverse new design In short supply Acknowledgement feedback
    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14 - blurrypron.com>Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14 - blurrypron.com
    Clarks Malia Charter Womens Boot- Choose SZ/Color. , FRYE Women's Harness 8R Boot Tan 8 M US , Man/Woman Sneaker Golden Goose excellent quality Clearance Fair price , Eastern Counties Leather Mens Sheepskin Lined Hard Sole Slippers (EL168) , Ana Lublin Shoes Woman Shoes Short Comfort casual trendy Black 73373 Cool BDX , Lucky Brand Women's Emmie Brindle Persian Leopard Flat 6 M , Imagine Vince Camuto Casele Mule - Women's Size 9.5 M, Black , SAS Whisper Womens Tripad Comfort Oxford Shoes Navy Blue Leather Sz 8M , Cape Clogs Women's Ovarian Butterfly Teal Heels , Ladies Cydwoq Vintage Brown Pebbled Heels Shoes Size 39.5 , Women’s VIA SPIGA ANIMAL PATTERN Open Toe Heels Shoes Size 9.5 (CON16) , Chic Women's Peep Toe Platform 6" Stilettos Mesh Floral Leopard Print SandalsSwedish Hasbeens swedish hasbeens Womens Lacy Platform Sandal- Pick SZ/Color. , Men's NAUTILUS Composite Toe Safety Shoes Size 13 (N2115) , Converse 153586C JP Signature Hi Blk/White Men's 10.5 - Women's 12 Mfg Ret $150Brand New Nike Max 1 PRM SP Men's Athletic Fashion Sneakers [616169 300] , Asics Gel-Kayano 24 Men's Running Shoes White/Blue Print 1011A019-100 , NEW! HOKA ONE ONE Clifton 5 Men's Running Shoes Caribbean Sea/Storm Blue c1 , DS Nike Zoom Kobe IV 4 All Star Size 10.5 Prelude FTB ASG MPLS Inline Del Sol V , Man/Woman Georgia GB00133 Mid Calf Boot fashion Sufficient supply Different styles and styles , Man/Woman USMC Belleville Boots Size 10.5 R Rich design Brand Different styles and stylesFormal Men Plaid Metal Pointy Toe Dress Oxford Wedding Strappy Clubwear Shoes , Adidas Boost Supernova ST BB3104 Women's US 8 Blue/White/Red , Skechers Women's Goldie - Rhinestone and Pearl Embellished Slip on Sneaker,New Balance Women's Fresh Foam Gobi Trail Shoes Pink with BlackNike Women's Air Foamposite One NEW AUTHENTIC Particle Beige AA3963-200 , Nike Air Jordan 13 Retro BG XIII Hyper Royal White AJ13 PE Kids Women 884129-117 , Women Winter Leopard Print High Heels Pointed Toe Zip Party Boot Plus Size 32-466 Colors Stilettos Stretchy Boots Womens Satin Over the Knee Thigh Boots Shoes , Pajar Women's GRIP HI Duck Snow BOOTS Black 30543BLK a5
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14 - 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.

    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14 - 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
    Womens Tennis Classic Ultra Black Prm QS (724977-100) White Black SZ 29932 12// Mens 10.5 (724977-100) 2964a14
    Athletic Shoes
    >
    ;