Never miss an update

Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752




Item specifics

Condition:
New with tags: A brand-new, unused, and unworn item in the original packaging (such as the original box or bag) ... Read moreabout the condition
Brand: IGICO
EAN: Does not apply UPC: Does not apply
Never miss an update

Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752 - blurrypron.com

    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752
    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752
    Shoes Skechers Burst Very Daring Memory Foam Slip On 12735 BBK Black WomanLotto Leggenda Impressions Flowers W T4613 Womens Shoes Multicolour Sneakers. , Shoes Lotto Iris AMF W S4535 Woman Running Vintage Black Memory Foam CasualShoes Le Coq Sportif LCS R 1400 Flowers 1511139 Womens Blue Running Casual , AUTHENTIC JIMMY CHOO TOKYO SUEDE X PATENT HIGH TOP SNEAKERS TAUPE GR B USED -HP , Shoes Converse All Star CT Hi 552744c woman White Lipstick Limited Edition , Gentlemen/Ladies Guess Woman Sneakers Gisela White New market excellent Elegant and robust menu , Shoes Converse All Star Canvas 547196c sneakers casual Women's Dark GreyShoes Skechers Synergy Moonlight Madness 12099 CCPK Woman Charcoal Pink , Shoes Fashion Fit Style Chic Sneakers 12703 wht Woman White Memory Foam , Shoes Nike Isola di capri 916784 100 white woman Padding Running Mode , CONVERSE CHAUSSURE HI FUR SINT - BLK - 40 (888754887685) , Asics Gel Netburner Super 6 Womens Netball Shoe (B) (0143) | SAVE $$$ , Shoes Skechers Originals 82 - Wanderwool 681 GRY Woman Memory Foam Grey High , Vans Skate Shoes Sk8-Hi Black Mono Suede + Canvas D5IBKA , Shoe's Converse All Star CT As Hi Tri Zip Burnished Suede 544845C Lucky-Stone woSAUCONY SHADOW ORIGINAL women's shoes sneakers leather suede canvas casualShoes Skechers Burst - Ellipse Running 12437 BBLP Woman Black Pink BlueShoes Asics Gel Lyte V GS c541n 2401 woman running ChiliShoes IgieCo 1148500 Woman Nappa leather soft white mode sneakersCONVERSE CHAUSSURE HI FUR SINT - BLK - 36 (888754887616) , Shoes Puma AMP XT 191125 02 Woman Running Sport Mode White Peacoat Flexible , Adidas Shoes Originals Tubular Defiant W s75250 Unisex white Mesh Sneaker Sport , Shoes Lotto Leggenda Autograph S8816 Mens Womens Sneakers White Red VintageScape Nike Tanjun Racer 921669 301 khaki Man Running Mode Sneakers Fashion , CONVERSE CHAUSSURE HI FUR SINT - BLK - 41 (888754887692) , Shoes Puma 367639 02 Vikky Ribbon Jr Woman Orchid White Mode Bow StyleShoes Geox Ophira d621ca 00714 c4192 Womens Denim Navy Casual Fashion Sneakers , Shoes Skechers Mementos - Angel Face Foam Snow Bootie 34341 CCL Woman Charcoal
    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752 - blurrypron.com>Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752 - blurrypron.com
    Man's/Woman's Fergalicious Women's Liza Boot Complete specification Moderate cost Breathable shoesCOLEHAAN KNEE HIGH SHEARLING SUEDE WEDGE BOOT DARK BROWN SIZE 10.5SEXY Womens Platform High Heel Stilettos Shoes Zipper Solid Heels Ankle BootsLatest Colour Asics Gel Netburner Professional 13 Womens Netball Shoe (B) (3940) , Ten Points Ankle Boot Women Pandora 126008 Brown Cognac 319 , Womens Block Heels Slipper Close Toe Embroidery Summer Round Toe Vintage ShoesGIANNI VERSACE SHOES EVENING PUMPS BLACK SILK BLACK CRYSTALS SIZE 37 1/2 8 1/2Shï by Journeys Womens too kamikaze Fabric Peep Toe, Black/multi, Size 5.5K. Jacques for J.Crew Metallic Eres Sandals 38 7.5-8 Gold Leather Flats , Gentleman/Lady Naot Quito Leather Sandal Best-selling worldwide The latest technology uniqueNew Balance Men's 680v3 Running Shoes Navy(Outer Space) /Red M680LB3 a , Nike New England Patriots Free Trainer V7 Ltd Edition Shoes AA1948-404 Size 14La Sportiva Men's Bushido - Ocean / Sulphur - 42.5(CQ2399) ADIDAS MENS NMD R2 "COOL GREY" *NEW* , Nike Lunartempo 2 [818097-804] Men Running Shoes Hyper Orange/Black , DS Nike Air Max 90 Premium Black Total Orange Halloween Size 9.5 333888-004***** , Fila 1VT13040 Mens Original Tennis Fashion Sneaker- Choose SZ/Color. , VANS DISNEY SK8 HI 29cm from japan (2437Muck Boot ACM-000 Arctic Commuter All Purpose Mid Winter Boots Black. Size 13M , TONY LAMA MENS 3r COWBOY BOOTS, SZ.8.5D,rr4001,brown and black stitched design , A BATHING APE adidas 18SS DAME 4 BAPE AP 9974 sneaker GREEN US 10.5Stylish Womens horse hair Cute Leopard High-top Pull On ANkle Boots Flat Shoes , Teva Terra Fi 4 Madang Olive Webbing Mens Sport Sandals Size 12M , Converse Hi-Top Women's Shoes Velvet Chuck Taylor All Star High-Top Sneaker TealBalance Women's Nergize V1 FuelCore Sneaker,MAGNET,7.5 D US[bargain] Brooks Net Intercept Womens Netball Shoes (B) (338) | RRP $160 , Gentleman/Lady STRUM ADDICT Shoes 821202 Grey 23.5cm Crazy price New in stock A balance between toughness and hardnessNIKE AIR MAX 1 ULTRA LOTC QS "TOKYO CITY" LYON BLUE SIZE WOMEN'S 6 [747105-401] , MIA Women's Riya Ankle Boot, White, 7.5 M USADORE-1018G 7" GLITTER UPPER CLASSIC SEXY POLE DANCE PLATFORM ANKLE BOOT
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752 - 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.

    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752 - 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
    Man's/Woman's IGICO the DUI Man's/Woman's 16817 T. Environmentally MOOR durable Environmentally friendly leading the fashion f856752
    Athletic Shoes
    >
    ;