Never miss an update

Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c

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
Stylenumber: 880555-007
Style: Running, Cross Training Color: Wolf Grey/White/Racer Blue
Width: Medium (D, M) Brand: Nike
US Shoe Size (Men's): 9 Gender: Mens
UPC: 675911118160
Never miss an update

Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c -

    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c
    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c
    Nike Air Jordan 3 Retro “Wolf Grey” Style 136064-004 Size 9Nike Kyrie 4 Year of the Monkey Mens 943806-011 Anthracite Grey Shoes Size 8.5 , Nike Free RN 2017 880839-601 Men's Sizes US 6 ~ 15 / Brand New in Box!!!NIKE LUNAR MAGISTA II FK CROSS TRAINERS BLACK BLACK ANTHRACITE WHITE 852614 001JORDAN GALAXY MEN SIZE 10.5 NEW BLACK & WHITE RARE AUTHENTIC STYLISH , Nike KD 8 Kevin Durant Men’s Basketball Shoes 749375-020 SZ 11 , New Balance Women's W1080V7 Running Shoe, Ozone Blue Glow/Lime Glow, 6 B US , Nike Air Zoom Pegasus 34 Mens 880555-007 Grey Racer Blue Running Shoes Size 10.5 , Nike KD V 5 ASG Area 72 Size 10.5 Kevin Durant All Star Game 583111-300Jordan Pro Strong Mens 407285-013 Wolf Grey White Basketball Shoes Size 10Nike Lebron Soldier XII Mens AO2609-300 Olive Canvas Basketball Shoes Size 13Carmelo Anthony Melo 13 XIII Jordan Size 11 Athletic Medium , Nike KD 8 Kevin Durant Men’s Basketball Shoes 749375-033 SZ 10 , New Balance Men's 1080V7 Running-Shoes, White/Energy Lime, 9.5 D USNike Free RN 2017 880839-600 Men's Sizes US 6 ~ 12 / Brand New in Box!!! , NEW nike flyknit racer Pink Volt 526628-607 Sz7.5 Men Sizing , ADIDAS D ROSE 5 BOOST C75593 MEN SIZE 10.5 BASKETBALL NEW RARE , Nike Kyrie 4 Mens Pitch Blue 943806-403 Dark Blue Basketball Shoes Size 12.5Jordan Pro Strong Mens 407285-013 Wolf Grey White Basketball Shoes Size 8.5Asics Men's Shoes Sneakers - H704YL | Whiteblack | Fall Winter 18/19Nike Air Max 90 Ultra Essential Mens 819474-011 Dark Grey Running Shoes Size 6.5Nike Air Max 1 Premium Just Do It Mens 875844-008 Black Orange Shoes Size 8 , Jordan Melo M11 Mens 716227-013 Black Blue Citrus Basketball Shoes Size 8Jordan Pro Strong Mens 407285-125 Sail Racer Blue Pink Basketball Shoes Size 11Nike Jordan Super fly 4 JCRD Men’s Basketball Shoes 812870-101 SZ 11Nike Air Max Sequent 3 Premium Mens AR0253-400 Blue Cream Running Shoes Size 8AIR JORDAN 7 RETRO "BARCELONA NIGHTS" 2015 - ITEM NUMBER 4730-1AIR JORDAN 10 RETRO 30TH "LADY LIBERTY" 705178-045 Size 12 , NIKE AIR MAX UPTEMPO FUSE 360 COOL GREY RED Size 8.0 NEW RETAIL $175 AUTHENTIC
    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c ->Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c -
    Man's/Woman's Camel Leather Riding Boot Reputation first Modern design Excellent function , ALDO Women's Rosaldee Ankle Bootie, Cognac, 8 B USFly London Mes 2 Womens Brown Green Wedge Mid Calf Zip Up Boots SizeSkechers BOBS Women's B-Loved - Speed Read Flat, - Choose SZ/ColorWomen's Salvatore Ferragamo Masons Leather Loafers Shoes 7.5 Punch Orange NIB , Womens Party Sexy Stiletto Luxury Summer Fashion Sandals Dress Court Shoes SizeVASQUE Hiking Shoes Womens 9 1/2 in Suede Nylon Taupe Tan , Asics H63LQ Gel Lyte III 3 Men's Red Running Shoes Size 9.5Vans x Marvel Avengers SK8-Hi Deadpool Black VN0A38GEUBJ New W/Box DS Mens SZ 9NIKE AIR ZOOM TALARIA '16 USA OLYMPICS WHITE-METALLIC GOLD SZ 9 [844695-174]Skechers Go Walk 4 [54680CCLM] Men Walking Shoes Charcoal/LimeMen's/Women's Cole Haan Mens Shoes superior real Good qualityNIKE AIR FORCE 1 ULTRA FLYKNIT LIGHT MID PALM GREEN BLACK WHITE SZ 10 NEW NIB , MEN'S NIKE KOBE IX (9) iD ELECTRIC PEACH/BLACK 688501-991 SIZE 11 US , Nike Zoom Fly Mercurial Off White Black (Size 6) , JD J.D. Fisk Men's 10 Black Leather Wing Tip Phinney Combat Ankle BootJohnston & Murphy Men's Shoes Brown Ainsworth Penny Loafers 20-7796 Sz 8.5 M , Gentlemen/Ladies asics onitsuka tiger Kobe,Japan New Listing Stylish and charming Suitable for colorOxford Wing Tip Shoes, Dress Formal Brown White Shoes, Men Office Leather Shoes , Adidas Originals ZX FLUX - Women's B24385 Black/White NWT NIB , $160 SUPERGA 2095 TWDW Silver Designer High Top Sneakers Womens 8.5 Mens 7 , Nike Women's Air Max Tailwind 8 Running Shoes Blue White 805942-403 Size 11 NWOBAdidas AQ4981 EquipmentWomen US 7.5 Gray Running Shoe- Choose SZ/Color.Fila Womens Memory Perpetual Ft Running Shoe- Pick SZ/Color.Adidas Flb_runner W Womens CQ1969 TRASCA,White,TRASCA Womens Size 9HOGAN REBEL WOMEN'S SHOES HIGH TOP LEATHER TRAINERS SNEAKERS R182 BLUE 38CWomens Stilettos Heels Platform Rhinestone Over Knee High Boot Casual Shoes clor , Naturalizer Women's Falza Taupe Tan Leather Ankle Boot Round Toe Size 9 WidePaul Green Harness Chain Women's Shoes Black Suede Ankle Boots Sz 6 M,Mountainsmith Women's Tour WSD Lumbar Pack Mint Size OSFA
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c -

    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.

    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c -

    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
    Nike Air Air Zoom Nike Pegasus 34 Mens 880555-007 Grey Racer mogochinese-29970 Blue Running Shoes Size 9 abe450c
    Athletic Shoes