Never miss an update

Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593




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
MPN: Does not apply
Material: Leather Shoe Type: Casual
Occasion: Casual Style: Loafers & Slip Ons
Brand: FUJIAN
Never miss an update

Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593 - blurrypron.com

    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593
    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593
    BZ284 BRIMARTS shoes blue textile nabuk men slip onAK950 BOTTICELLI LIMITED shoes brown suede men elegantNEW MENS JULIUS MARLOW CLOUT FORMAL SUEDE DRESS CASUAL LEATHER DARK KHAKI SHOESAH460 ROBERTO DELLA CROCE shoes gray suede men moccasins , Democrata Harry Mens Leather Cushioned Dress Shoes Made In Brazil , Delicious Junction Argent Tan Leather Casual ShoesMen's Shoes Business RICHMOND 6234 Washed Dark Brown Vintage Extreme Elegant NewBZ652 RUE 51 shoes blue leather men moccasinsDemocrata Ringo Mens Leather Cushioned Dress Shoes Made In BrazilAH592 RUE 51 shoes blue suede men elegant , AK578 BRIMARTS shoes blue buff leather suede men moccasinsDemocrata Evan Mens Leather Cushioned Dress Shoes Made In Brazil , Roma classic shoes loafers elegant man leather brown shoes 44 45 47AG16 GIULIO MONTANO shoes black shiny leather men moccasinsDemocrata Theo Mens Leather Cushioned Dress Shoes Made In BrazilBZ826 CALPIERRE shoes gray leather men moccasinsMen Handmade Brown and Navy Black Suede Wing tip two tone formal Leather shoes , BZ711 CALPIERRE shoes black leather men moccasins , AH599 MARECHIARO 1962 shoes gray suede men moccasinsBZ283 BRIMARTS shoes blue leather men slip onAH54 ROSSINI shoes white leather men moccasinsBZ36 DI MELLA shoes brown leather men elegantBZ426 BASE LONDON shoes brown leather men elegant , BZ707 CALPIERRE shoes brown leather men moccasins , BY451 ALEXANDER shoes brown shiny leather men elegantAH50 ROSSINI shoes brown suede men moccasins , Carmina Inca Single Monk Dark Brown CalfChatham Burmuda Ii G2 Mens Navy Brown Nubuck & Leather Boat Shoes , AD02 ROBERTO BOTTICELLI NEWS shoes gray suede men elegant ,
    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593 - blurrypron.com>Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593 - blurrypron.com
    Pleaser 7" Heel side Zip Women Boots Blk Faux Leather/Blk-Slv Multi RSZARA NEW AW18 LEATHER BIKER BOOTIE BLACK METAL DETAILS ALL SIZES REF. 5157/301 , New Tory Burch Black Brenda Suede & Lycra Wedge Heel Ankle Bootie Shoes sz 10 , Man/Woman David Tate Women's Best Boot High quality and low overhead Let our goods go to the world Sales online storeMen/Women AUTHENTIC MANITOBAH *WATERPROOF* SNOWY OWL MUKLUK High quality and low overhead Price reduction Known for its excellent quality , ASICS MAN SPORTS SNEAKER SHOES H705N 9090 - H705N 0101 GEL-KAYANO TRAINER KNIT , New Mens Reebok ROYAL DASHONIC GREY / WHITE / RED DV5118 US 7 - 10 TAKSE AUWomen Casual Flat Leopard Pointed Toe Outdoor Breathable Slip On Loafers ShoesKennel & Schmenger UK Size 3 AU Size 5.5 US Size 5.5 NEW Original Women Boots , Jessica Simpson Women's Mackson Ballet Flat Moet 6 M US , ECCO WOMEN'S TOUCH BALLERINA SLIP-ON FLAT SHOEWomens Ralph Lauren LRL Shoes Keeton Brown Leather Croc Pattern Flat Size 6.5B , Womens MERRELL "OAK" brown suede flats sz. 7 (37.5) $80LANVIN 40 Black Patent Leather Gladiator Platforms Heels US 9.5 NEW , PREOWNED SCHUTZ NADIA OPEN TOE HEELS BEIGE SIZE 6 1/2 ! PAES , New Roger Vivier Patent Spuntata GIGI Dark Brown Silver Buckle Peep Shoes 40 9.5 , Adidas Duramo 7 M [AQ6498] Men Running Shoes Black/White , NEW MENS NIKE SZ10 METCON DSX FLYKNIT 2 (924423 001) "OREO" OLYMPIC LIFTINGMens Nike Vapor Untouchable 2 Football Cleats Size 11.5 Blue Red White RAREDS 2005 Nike Blazer SB Supreme Red sz 10 offwhite the ten CDG fragment dunk , VINTAGE TEXAS USA 2 TONE LEATHER BROWN COWBOY WESTERN BOOTS 9 EE RODEO SNIP TOE , Hi-Tec Raider Mid Waterproof Mens Multisport FootwearMen's 10 A Twisted X blue /brown Roper style Western cowboy bootsLeather Retro Mens Flats Bowtie Loafers Slip on Belgian Dress Pumps Shoes Ch2018Hoka One One Womens Valor LTR Leather Walking Shoes Black Size 5.5 USNaot Women's Taranga Black Madras Leather/Metallic Road Leather Walking ShoesEnzo Angiolini New Womens Handler Black Heel Boots 9.5 M Shoes , Womens Over The Knee High Boots Stiletto Slouch Pointy Toe Leather Side Zip New , NEW! NIB! KELSI DAGGER Black Baby Calf Leather BRASILIA Ankle Boots Sz 8.5 $150 , Josef Seibel Britney 50 Ankle Strap Bootie Anthracite Leather, Womens Size 11/41 ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593 - 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.

    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593 - 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
    Summer Breathable Genuine Leather Formal Men's Casual Formal Shoes On Slip Shoes On Driving 40c4593
    Dress Shoes
    >
    ;