Never miss an update

Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8




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
EAN: Does not apply
Color: Brown MPN: 1228402
Size: 7 B(M) US Brand: Kork-Ease
Style: Brown UPC: Does not apply
US Shoe Size (Women's): 7 B(M) US
Never miss an update

Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8 - blurrypron.com

    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8
    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8
    FLY London Women's Yala Wedge Pump Black 37 EU/6.5-7 M USMan's/Woman's Ivanka Trump Women's Katiely Pump Attractive and durable Environmentally friendly high quality product , Roberto Cavalli Grey Silver Caged Suede Floral Platform Heel Sz39/9~RTL$1375 , Sofft - Womens - Berit Black 10 M USMen's/Women's NEW HOGAN WOMENS PUMP excellent quality online shop Don't worry when shoppingKenneth Cole New York Women's Eryn Low Heel Square Toe Dress Pump , Gentle Souls Women's Lisa Low Wedge Peep Toe Elastic Strap Pump , Man/Woman Sam Edelman Women's Junie Pump wholesale Sales Italy Current shape , Mr/Ms SCHUTZ Women's laurine Dress Sandal Promotion Fast delivery valueGentlemen/Ladies SCHUTZ Women's Saasha Lee Dress Sandal Clearance price a good reputation in the world Suitable for colorEl Naturalista Women's N5320 Pleasant Black/Aqua Pump - Choose SZ/ColorECCO Footwear Womens Touch 50 Buckle Dress Pump , Gentlemen/Ladies Cole Haan Women's Juliana Pump Excellent value excellent a lot of varieties , Men/Women Dansko Women's Vanda Ankle Bootie Complete specification a wide range of products Different styles and stylesPour La Victoire Women's Helena Mule - Choose SZ/ColorGianvito Rossi Pink Patent Leather Sling Back Almond Toe Pumps 37/7RTL$725 , Imagine Vince Camuto Vince Camuto Women's Im-Ossie Dress PumpMr/Ms Nina Women's Rumina Dress Pump Year-end special promotions Selected materials Suitable for color , Imagine Vince Camuto Women's Im-OVA Dress PumpImagine Vince Camuto Women's Olivier Dress PumpPour La Victoire Women's Daria Mule - Choose SZ/Color , Man/Woman ECCO Women's Rhodes Dress Pump Outstanding features First batch of customers comfortable , Pour La Victoire Women's Zandra Mule - Choose SZ/ColorMan/Woman Ted Baker Women's Kawaap Pump Special purchase online shop Explosive good goods , Mr/Ms Naturalizer Women's Whitney Dress Pump Outstanding features Trendy Known for its beautiful qualityMen's/Women's Paul Green Womens Sienna Heel Cheap Carefully selected materials Famous storeGentleman/Lady SCHUTZ Women's Miranda Heeled Sandal Various styles luxurious Beautiful and charming , Schutz Women's Kelebek Pump - Choose SZ/Color , Irregular Choice Hazel Corntree Women's Toadstool And Fairy Heel Court Shoes New ,
    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8 - blurrypron.com>Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8 - blurrypron.com
    Frye Melissa Button Dark Brown Leather Tall Riding Boots Size 7.5 M , Jil Sander Black Leather Knee-high Boots Back Zips Sz 38/ 8 Italy Sold Out! Rare , Geox J Attack, Men s Low-Top Sneakers, Black Black , 7 EU , The Flexx Womens/Ladies Overstep Elastic Shoes (FS3132)La Redoute Collections Womens High Heeled Leather BroguesAUTHENTIC CHRISTIAN LOUBOUTIN DECOLLETE POINTED TOE PUMPS BLACK GRADE A USED -AT , New Womens FitFlop Pink Uberknit Slip On Textile ShoesArche 39M Green Nubuck Suede Leather Strappy Wedge Heels France Open ToeNEW Saucony Type A running shoes racing flats women's 9 US ViziPro coral citron , DC COLE LITE BLUE WHITE MEN SHOES SIZE 10.5, 12 & 13 , MEN'S SIZE 10 NIKE ZOOM TRAIN COMMAND BOOTCAMP / GYM SHOES NWB 922478 606Asics Gel-Lyte Speed 'Scratch and Sniff' Burgundy Red H5S2L-2523 , DR. MARTENS 8053 ORIGINAL LOW NAPA BLACK R11849001 MENS US SIZESJordan Fly '89 Men's Midnight Navy/Midnight Navy/Pure Platinum 40267401HQ50U-8861 Asics x Bape Gel-Kayano Trainer Camo Mid Brown Size 11 (4140)Pre-owned SNS x Adidas Consortium Ultra Boost 1.0 Tee Time Size 6.5 AF5756 , Sandro Moscoloni Brown Monk Straps, Butt Seam Sz 11 , Corral Men's Rattle Snake Narrow Square Toe Western Boots Natural A3487NEW! Quoddy Telos Chukka Boot Brown Leather 11 USA $375 UNLINED Black sole , Vans SK8-Hi 138 Decon Men's Shoes Black/White/Checker VN0A3MV1-R34 , ROCKPORT A13001 APRON TOE MEN'S BLACK WATERPROOF OXFORD Sz 9.5 WIDE(W)NEW NIKE Air Max Sasha Women's Size 9 Sneakers Rose Pink 916783 602Nike Air Force 1 07 Mid Seasonal Women's Pink Melon Metallic Gold 818596 800 New , Shoes Skechers Valeries 12138 bkw Womens Black Running Sneakers Casual FashionNIKE AIR HUARACHE RUN SUNSET GOLD DART WHITE WOMEN SNEAKER 634835 701 Sz 901 Womens Ankle Boots Cross Strappy Pointy Toe Winter Autumn Party Shoes Chic , Womens Fur Lined Warm Winter Snow Ankle Boots Shoes Booties Hidden Wedge Heels , Womens Stiletto High Heels Zip Knee High Boots Patent Leather Buckle Skiny Shoes , Hi-Tec Kono Espresso I Waterproof Brown - Womens - Size 9 B , NEW BORN B.O.C CAPRERA BROWN MID ANKLE BOOTS WOMENS 7 GENUINE LEATHER Z20141
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8 - 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.

    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8 - 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
    Kork-Ease - Womens 29967 - - Nero Brown 7 B(M) B(M) US 7f91cd8
    Heels
    >
    ;