Never miss an update

Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581




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
Style: Athletic
Brand: Nike MPN: AA1620200
US Shoe Size (Men's): 4-18
Never miss an update

Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581 - blurrypron.com

    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581
    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581
    Supra Malli Mens Camouflage Textile & Suede Trainers , Ted Baker Quana Mens Light Grey White Leather TrainersMizuno Wave Inspire 14 Mens Running Shoes (D) (09) **FREE AUS DELIVERY** , Asics Volley Elite FF MT [B700N-600] Men Volleyball Shoes Samba/SilverNike Air Zoom Structure 21 Dark Sky Blue Crimson Men Running Shoes 904695-406Asics Tartherzeal 5 [TJR288-3801] Men Running Shoes Lapis/WhiteReebok DMX Series 1600 Black Grey White Gum Men Casual Shoes Sneakers CN7737 , Brand New | Brooks Adrenaline GTS 18 Mens Running Shoes (D) (026) , ASICS GEL-Netburner Ballistic MT Men's Badminton Volleyball Shoes B508Y-4923ADIDAS MENS COPA SNEAKER BLACK WHITE SHOES **ALL SIZES BEST SELLERMizuno Wave Creation 19 Black Blue Men Running Shoes Sneaker Trainer J1GC1701-05Nike Air Max2 CB 94 Low Basketball Mens Barkley Shoes Black Carbon 917752-003 , Nike Metcon 3 [852928-002] Men Training Shoes Black/Black , MENS ADIDAS PREDATOR INSTINCT SOFT GROUND MEN'S FOOTBALL BOOTS STUDS SHOES , Mizuno Wave Emperor Lightweight Training Running Black/Black/Yellow J1GA167689 , Nike Air Jordan Future [656503-623] Basketball XI Infrared 23/WhiteAsics Tartherzeal 6 [T820N-001] Men Running Shoes Black/PhantomBrooks Adrenaline Walker 3 Mens Leather Running Walking ShoesAsics Tartherzeal 6-Wide [TJR292-401] Men Running Shoes Deep Aqua/Jungle , Nike Air Vapormax Black Sepia Stone Green Men Running Shoes Sneakers AH9046-005 , BROOKS ADRENALINE GTS 16 MENS RUNNING SHOE (D) (477) *GREAT SUPPORT!* NEW! , Nike Air Zoom Vomero 13 Black White Anthracite Men Running Shoes 922908-001 , Nike EXP-X14 Black Dark Grey Men Running Training Shoes Sneakers AO1554-004Asics Tiger GEL-Lyte III NS [H715N-9601] Classic Running No Stitch Grey/White , Mizuno Wave Enigma 6 Lightweight Running Shoes Dark Grey/Silver/Blue J1GC161104 , Brooks Ravenna 7 Mens Runner (D) (448) + Free Delivery Australia WideAsics GEL-Nimbus 20 [T800N-002] Men Running Shoes Black/Red AlertMan/Woman Adidas-x Spezial Indoor Comp SPZL B41820 Best-selling worldwide Beautiful British temperament , **Authentic** Asics Gel Cumulus 19 Mens Running Shoes (D) (4990) ,
    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581 - blurrypron.com>Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581 - blurrypron.com
    Ladies Mid Calf Thgh Boots Real Leather Kitten Mid Heel 9cm Autumn Shoes 34-39Amblers Steel FS115 Dealer Boot / Ladies Boots / Dealers Safety (FS809) , Cat Giles, Mens Open Toe Sandals, Black Black, 6 EU , Women's Rieker Red Combination Leather Slip On Ankle BootsNew Prada Womens Shoes Ballet Flats Size 39 Espadrilles Calzature Donna MultiLauren Ralph Lauren Nyla Womens Black Patent Leather Open Toe Heels size 8 , Stylish Women Pointy Toe Floral Low Block Heel Lolita Sweet OL Pumps Date ShoesDonald J Pliner Leta Shooties Black Leather Square Toe Boots Sz 6 NEW $228Womens DV DOLCE VITA 226910 tan brown strappy platform sz. 7 , Christian Louboutin Beige/Brown Python Peep Toe Platform Pumps/Shoes Size 39 , Jack Rogers Blue White Jelly Sandals Womens Sz 7 Plastic Palm Beach ShoesAdidas ZX 8000 Boost Blue/Black-Orange B24954 Men's SZ 10nike SB paul rodriguez 9 R/R mens trainers 749564 006 sneakers shoesNike Kobe 5 V Ink Purple House Of Hoops NYC PE player display sz 14 , Nike 806771 Mens Air Max 2016 Running Athletic Low Top Shoes SneakersNorth Face Mens Ultra 109 Gore-Tex Hiking Shoe CD00 Zinc Grey/Pompeian Red Sz 9 , Asics Gel Kayano 24 Mens Running Sport Shoes 4E Extra Wide WidthNEW Wolverine Men Boots Montague Chelsea Style #W40205 Shoes 9.5 / 43.5 , Stetson Men's Huachinango Fish Cowboy Boot - Square Toe - 12-020-8838-3604 BLEUC Allen Edmonds "Pomona" Men's Size 11 B Handsome Brown Leather Tassel LoafersMerlutti Red Velvet With Skull Smoking Men's FlatsEastland Mens Adventure Mlb Phillies Loafer, Blue, 9.5 D US , EB Womens Olive Canvas Hitop Athletic Sneakers Size-7Saucony Kinvara 8 Running Shoes Women Size 9 New , Nike Air Vapormax Flyknit Women’s W Heritage E 922914-002 Cool Grey White Sz 7.5 , Nike Court Flare Women's Sz 10 Serena Williams Grey Black Tennis Shoe 810964-003 , BY877 ALBANO shoes black shiny leather women sneakers , Ruco Line Women's Shoes Sneakers | Gold | Fall Winter 18/19 , 1.State Leban Cutout Bootie - Biege - Sz 6.5 M , Man/Woman Pikolinos ankle boots feature discount Comfortable and natural ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581 - 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.

    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581 - 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
    Nike Free RN CMTR Taupe/Guava 2018 [AA1620-200] Ice Men Running Nike Shoes Diffused Taupe/Guava Ice d06d581
    Athletic Shoes
    >
    ;