Never miss an update

PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588

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: PUMA
Material: Canvas Style: Fashion Sneakers
Style Number: 358463-01 US Shoe Size (Men's): Various
Never miss an update

PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588 -

    PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588
    PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588
    Men's Merrell ColdPack Ice+ Moc Waterproof Slip On Shoe Brown J49821Roman Mens Shoes Slip On Pumps Real Genuine Leather Buttton Nightclub Sandals szMen's Shoes Sneakers LOTTO Leggenda S5821TokyoTarga Blu Silver Black New , Mt. Emey Men's 9704 Walking Shoe , High-end Genuine Leather Men Vintage Formal Wedding Casual Oxfords Shoes SizeMen’s rag & bone RB1 Low sneakers color Pink US Size 9.5Men's Sneakers Slip On Shoes CHANGE! ZipperM Hexagon Ardesia Shock IndemoniaNew Euro Mens Suede Leather Pointy Toe Chelsea Ankle Boot Casual High Top Shoes , Classic Britain Men Real Leather Bow Formal Casual Wedding Shoes Oxford Size , Hot Sale Mens Real Leather Buckle Decor Slip On Loafers Mules Formal Dress ShoesVintage Mens Leather Buckle High Top mid Calf Boots low heel shoes Buckle Strap , mens stylish hollow out match color summer sandals shoes oxfords round toes mesh , New Onitsuka Tiger Mexico66 slip-on TH3K0N Freeshipping!! , Cole Haan Mens 9.5 Original Grand Shortwing Oxfords Woodbury/Ivory NIB MSRP $150Mens stylish studded low heel Leather dress formal wedding shoes party Black New , New Mens High Top British Leather Pointed Toe zip Chelsea Ankle Boot Casual Shoe , Men/Women Drew Men's Walker II High quality and low overhead Settlement Price Diversified new design , Men Genuine Leather Slip On Embroidery Loafers Mules Formal Dress ShoesVlado Footwear Shoes Vince Fashion Men Black NewAUTH TODS LEATHER SLIP ON LOAFERS LIGHT BROWN PREOWNED MENS MOCCASINS CASUAL 10 , Ted Baker Hosei Oxfords-Men's size 7 TanMagnanni High Top Mid Brown Fashion Sneakers size 11 US (20675-2) Made in Spain!Cole Haan Original Grand os Woodbury Leather Men’s Sz 9 $150Vintage Mens Real Leather Slip On Driving Moccasin Loafers Deck Shoes Oxfords Sz , Men's Dansko Professional Clogs Black Oiled Leather , Mens Round Toe Europe Transparent Slip On Shoes Loafers Casual Board Shoes wi , New Caterpillar Cat Propane Mens Steel Toe Safety BootsHot Luxury Mens Gold Pearl Loafer Moccasins Velvet Slip On Wedding Vogue Shoes , Man/Woman Drew Men's Navigator II for you to choose delicate Elegant and stable packaging ,
    PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588 ->PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588 -
    MERRELL TREMBLANT PULL ON POLAR WATERPROOF Boots Women's 9Pajar Womens Adrianna Boot, Black, 38 EU/7-7.5 M US , Tory Burch Teresa Brown riding boot zipper leather 8 logo gold tall worn once , Ladies Spot On Ankle Boots The Style -F5R0886 , Bare Traps Womens lainey Suede Almond Toe Ankle Cold Weather BootsAsics GEL-Quantum 360 Shift [T7E7N-9006] Women Running Shoes Black/Flash CoralNew Balance WR996HR D Wide Black White Women Running Shoes Sneakers WR996HRD , Men's/Women's Kenzo Leather Jewel-embellished Oxfords Black Platforms Exquisite (middle) workmanship Online export store King of the crowdRockport Womens Garden Court Buckled Slide 8(B)- Pick SZ/Color. , CLOUDSTEPPERS CLARKS Caddell Petal Wedge Sandals Women Sz 8.5, 9 NEW Black $95SCHUTZ Women's Karlan Wedge Sandal - Choose SZ/Color , WMNS REEBOK PLUS RUNNER WOVEN WHITE SKULL GREY BS8379 DEADSTOCK BRAND NEWNike SB Zoom Stefan Janoski Squadron Blue Silver White Sz 11 333824-407 , Men's Skechers Elite Flex Slip-On Casual Shoes Black/Black 52649 BBK$180 NEW NIKE AIR MAX Sz 12.5 FLYWIRE NEON FULL AIR FOOTBED Runnin Sneaker ShoesAdidas X NBHD Stan Smith size 8, brand new in box , NIKE KYRIE 2 EASTER Size 14 White Purple Jade 819583-105 Mens Basketball Shoes , Men's Nike Vapor Street Flyknit White Wolf Grey Shoes -Size 7.5 -AQ1763 100 -NewMen/Women Air Jordan Retro 3 True Blue Fine workmanship Known for its good quality businessNew NIKE AIR MAX GRIFFEY FURY FUSE WHITE-BLUE-CYBER SZ 10.5 ModelNike Men's Air Max 270 Black Purple Yellow Running Shoes Men's 11 AH8050 006Alden Shoes Leather Black high-end Size US10D Calfskin Vintage Men's Y08A , HUGO BOSS Size 42/9 Mens Black Leather British Flag Emboss Multi Stitch Trainers , Hush Puppies Mens Glitch Parkview OxfordW US- Pick SZ/Color. , Mark Nason Los Angeles Men's Bayshore Loafer - Choose SZ/ColorMBT 400149-22 Fitness Tone-up Health Walking Shoes Womans SZ 10.5 EUCNike Women's 10.5 Flex Supreme TR 5 Athletic Training Running Shoes Black White , NIKE AIR MAX 2017(not 2018) Men's Running Trainers Shoes Sneakers Movement , Womens genuine Leather Triple Nubuck Leather-Trimmed Mesh Sneakers Street StyleNike WMNS Air Max 2017 womens running run shoes 849560-103 Sz 8-9-9.5
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588 -

    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 Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588 -

    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
    PUMA Canvas Leonine Men's Basket Mid Men's x HOH Leonine Round Toe Canvas Sneaker 8d6a588
    Casual Shoes