Never miss an update

Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9




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
Brand: Corral Boots
Style: Cowboy, Western Material: Leather
Never miss an update

Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9 - blurrypron.com

    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9
    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9
    GEORGIA Women's Blue Collar Waterproof Work Boot GB00159 NIB , Womens Black Mid Calf Leather Western Cowboy Boots Ankle Short SquareBORN Belindah Knee High Riding Boot Leather Cognac US 8/F07816 NEW , NEW Harley-Davidson Women's Balsa Riding Boot - Sandstone Style: D83855 , CONCORD-110 BIKER COMBAT FLOWER EMBROIDERY STUDDED KNEE HIGH WEDGE PLATFORM BOOT , Women's HUNTER Original Tall Matte Black Pull On Rain Boots NEWWomen's Black Cross Wings Inlay Red Sequins Leather Cowboy Boots Snip Toe , Merrell Women's Taiga Buckle Waterproof Opti-Warm Leather Snow Boots Black Sz.11Twisted X Women's SZ 9.5 M PINK Ez Rider WESTERN Work Boot Steel Toe - WEZS001 , Piero Leather Ankle Boots Size 8.5 Italian History Italy Stretch Side GussetsCircle G By Corral Ladies Square Toe Brown Bone Dragonfly Western Boots L5079 , Gentleman/Lady Sigerson Morrison SMSHELDON BLACK UNO CALF Reputation first Has a long reputation Famous storeNEW NIB $150 PREMIUM DESIGN Dr. Martens Sylvia LEATHER BOOTS CHOOSE SIZE , Womens Red Black Heart Sequins Leather Cowgirl Boots Pointed Toe , Harley-Davidson Women's Bonsallo 5-Inch Black Motorcycle Boots D83923$288 size 7 Ash Heroin Red Metallic Leather Heel Ankle Boots Womens Shoes , Privileged Bully Black Creeper Style Platform Goth Punk Knee Boot Bullet Strap 7New!! FRYE 90506 Western Brown Leather Slip On Bootie-Size 7.5 B- $318-(P45)Women's Black Flower Inlay Red Sequins Leather Cowboy Boots Snip ToeNEW MORGAN BLACK SUEDE LEAHTER SLOUCH HIGH HEEL BOOTS SIZE 8 , sz US 7.5 NEW PAUL GREEN BOOTS "Jada" Brown suede Water Resistant Ankle womensWomens Denim Blue Classic Western Casual Style Cowboy Boots Plain LeatherBogs Women's Classic Matte Tall Boot , Circle G by Corral Ladies Brown Cutout Shortie Boot Q5027 , KEEN WEDGE ZIP US 8.5 Woman's Ankle Boot Red , Women's Full Purple Flower Inlay Sequins Leather Cowboy Boots Snip ToeLaredo Ladies Scout Aztec Square Toe Western Boot 5647 , Mr/Ms Harley Davidson Chryse Boots Selling new Outstanding style , Women's Brown Flower Inlay Gold Sequins Leather Cowboy Boots Snip Toe
    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9 - blurrypron.com>Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9 - blurrypron.com
    SPORTY TALL FRYE MELISSA BUTTON RIDING BOOT SIZE 7.5 CHOCOLATE ANTIQUED LEATHER!Kamik Women's Evelyn 4 Dark Brown Boot , ZARA EMBROIDERED ANKLE BOOTS SHOES EURO 36Steve Madden Candle Harness Boots 052, Black, 8.5 USStuart Weitzman Womens Black Shoes 6.5 M , AUTH Tory Burch Women Reva Ballet Flat Shoes , Aerosoles Women's Out West Mule, Tan Leather, 5.5 M USMephisto Runoff Sport Shoes Women's Black Nubuck Suede Sz 6.5M MADE IN FRANCENEW Womens 6.5 Cole Haan Air Bria Huarache Brown Peep Toe Woven Leather Shoes , Goth Retro Womens Pointed Toe Buckle Strap Chunky Block Heels Ballet Roman Shoes , Gentleman/Lady Bijou De pied cherie Attractive and durable Order welcome A balance between toughness and hardnessYves Saint Laurent YSL Black Textured Leather Tribute Two Platform Pumps 39, 8.5 , JUDITH LEIBER METALLIC GOLD LEATHER JEWEL SLIDES SANDALS SHOES WOMEN'S 11 BSkechers Women's Go Step Lite-Swerve Walking Shoe - Choose SZ/ColorNIKE FLEX MENS STYLE / BLACK/WHITE MISSING ORIGINAL BOX , Reebok One Cushion 2.0 CityLite Mens Running Sneakers / Shoes - Blue , 27 New Nike Zoom Victory 3 Racing Spike Track Running Shoes 835997-413 SZ 5-12Used Authentic Nike Air Jordan 3 III From 2001 US Size 8 UK Sz 7 Oregon Ducks , adidas PW TENNIS HU "PHARRELL WILLIAMS" ba7828 ftwwht/ftwwht/green Size 11.5 , Nike Air Jordan Retro 1 OG Pine Green Size 11 DeadstockY-3 KUSARI SNEAKERS , BLACK , SIZES US 10 /BRAND NEW, FREE SHIPPINGAsolo Mens Fulton Hiking Boots A40018 Black (w/ Lime Green) Size 10.5 , Mr/Ms Hugo Boss sneakers shoes size 42 Strong heat and wear resistance Carefully selected materials Popular recommendationConverse Woolrich Chuck Taylor Street Hiker Sneaker Boot BLACK GREY Plaid 149385Mens Dress Formal Shoes Pointed Toe Casual Slip On Loafer British Style Business , Gentlemen/Ladies J Slides Women's Heather Sneaker elegant Modern and stylish fashion Pick up at the boutiquePUMA Women's Vikky Mid FP, Black Black, 6 M USNike WMNS Vapormax Flyknit 2 Rust Pink Rust Storm Tint 942843 600 Size 6-12Lucky Brand Women's Harleen Over-The-Knee Wide Calf Boot Size 7.5 M WIde CalfHalston Heritage Womens Sandra Pleated Open Toe Mid-Calf Boots Shoes BHFO 1749
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9 - 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.

    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9 - 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
    Circle G By By Corral Ladies Embroidered Western Circle Boots Brown Boots Turquoise L5239 003d9e9
    Boots
    >
    ;