Never miss an update

MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2




Never miss an update

MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2 - blurrypron.com

    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2
    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2
    Man/Woman Roberto Dana Sandal Leather Selling high quality Modern and elegant , MORI ITALY PLATFORM HIGH HEEL PUMPS SCHUHE SHOES PYTHON LEATHER BEIGE NUDE 41Gentleman/Lady Ballerina Repetto Cendrillon Suede durability Trendy classic styleMan/Woman Sandal Stuart Weitzamn Carmina sell Price reduction List of explosions , MORI MADE IN ITALY SLIP ON FLATS SCHUHE SHOES BALLERINA LEATHER WHITE BIANCO 43Gentleman/Lady Sandal Suede Chie Mihara Modern technology Elegant and sturdy packaging Breathable shoes , Men/Women Moccasin Lemarè Bicoloured Excellent craft stable quality Fashion dynamic , MORI MADE ITALY FLATS SCHUHE SHOES BALLERINA PONY SUEDE LEATHER GREEN VERDE 44Leather Floral Stitch Boot, Size 8, Cowboy boot, Leather boots, Floral PatternGentlemen/Ladies Oxford Shoes Hogan Rubber Sole Strong heat and wear resistance Impeccable Tide shoes list , Man/Woman Fabi Sandal Guarantee quality and quantity Elegant and sturdy packaging Different goods , MORI MADE ITALY FLATS SCHUHE SHOES BALLERINA KROCO SUEDE LEATHER GREY GRIGIO 43 , Man's/Woman's Court Shoes L' L'autre Chose Fashion pattern Clearance Selling new products , Man's/Woman's Ankle Boot Giuseppe Zanotti Velvet elegant fashionable Beautiful and charmingGUESS Women's Pumps Highheels Stilettos Strappy Pumps Platform CreamGentleman/Lady Decolleté Giuseppe Zanotti Exquisite (middle) workmanship special function Speed ​​refundMan's/Woman's Sandal Chie Mihara Breara Complete specification range The highest quality material Known for its beautiful quality , MORI MADE IN ITALY POINTY HIGH HEELS PUMPS DECOLTE SCHUHE LEATHER GREEN VERDE 42 , MORI MADE IN ITALY SLIP ON FLATS SCHUHE SHOES BALLERINA LEATHER NERO BLACK 41Man/Woman Le Silla Court Shoes Suede durable Order welcome Recommended today , Igi&Co shoes 88575 EB womens black patent leather heels Made in Italy comfortMORI MADE IN ITALY NEW FLATS SCHUHE SHOES BALLERINA REAL LEATHER BLACK NERO 45Gentlemen/Ladies Court Shoes Kate High security Excellent performance Amoy , MORI ITALY PLATFORM HIGH HEEL PUMPS SCHUHE SHOES SUEDE LEATHER BLACK NERO 40 , Gentlemen/Ladies Stuart Weitzman Sandal New market Clearance Acknowledgement feedback , MORI MADE ITALY FLATS SCHUHE SHOES BALLERINA KROCO SUEDE LEATHER WHITE BIANCO 41 , MORI ITALY PLATFORM HIGH HEEL PUMPS SCHUHE SHOES SUEDE LEATHER GREY GRIGIO 41GUESS Women's Pumps Highheels Stilettos CoralVINCENZO CATS italy shoes court women's sandals liu heel jo ceremony leather
    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2 - blurrypron.com>MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2 - blurrypron.com
    Free People X Farylrobin great falls boots gray/blue suede SZ 7-NEWADIDAS LUCAS PREMIERE PK BLACK / BLACK NEW SKATEBOARD SHOES AUST BB8550 , Merrell Men's Radius Mid Waterproof Hiking Boots--11USMan/Woman PINUP-02 Black White Beautiful color Stylish and fun German Outlets , ORTHOFEET Chelsea Croc Slip On Loafers Orthotic Women Sz 9.5NEW BC FOOTWEAR PINK SUEDE LEATHER SLIDES SHOES FUR 9MGIORGIO ARMANI Shoes 925619 Blue 36 1/2Jessica Simpson Silea 6.5 M Nude Blush Pink Party Dress Sandals Suede Ruffle New , Pleaser DELIGHT-609-5G Platforms Exotic Dancing Hot Pink Sexy Glitter High Heels , nike free SB mens trainers 704936 016 sneakers shoes , Nike Air Safari QS Black/Black-Monarch AO3295 001 , Man/Woman Air Jordan Toro 4 Size 5.5 Crazy price Quality First cheaperNike Air Max 1 Premium Beach Camo Men SZ 7.5 - 13 Ship Now , Klogs Boca Closed Back Unisex Comfort Clogs Enamel Blue - 12 NarrowCasual Mens Rivet Spike Pointy Toe Loafer Oxford Business Formal Dress Shoes , TUK BLACK WAX CANVAS VLK SNEAKER CREEPER A9363. , NWB RALPH LAUREN CHOCALATE EDRIC ll LOAFER SZ 7D , The North Face Ultra 109 GTX Women's Steeple Grey/Balsam Blue Women's Shoe 10M , Asics GT 2000 v 5 Women's Running Shoes Size US 9 M (B) Silver T757NWomen's Skechers - Go Walk 4 - Exceed - Black/White - New!!HOKA ONE ONE SPEED EVO RIO SPIKES RUNNING SHOES, WOMEN US 8.5 / /3 ~NEW , Nike WMNS Air Max Plus QS Pure Platinum Marina Blue 887092-002 Women's 6 NEW2Star Gold IT Shoes Women's 40 High-Top BlackNike Women's Huarache Premium ID Black/Black sz 9 [777331-997]MAISON MARTIN MARGIELA sequin sneakers slip-on sequined trainers shoes 35.5 NEW , Mephisto 'Yael' Sneakers Black Suede Nubuck Leather Print 8.5 * CLASSIC! , Lalo 2BU002UCM GRINDER Women's Urban Lalo Cam Training Crossfit Gym Shoes , Revere Women's Miami Strappy Sandal Champagne Leather , Montana West BST- 037 - Studs & Stars Boots - Lt. Brn - size 9 New W/ TagWomen’s Lucchese 1883 Western Cowboy Boots Black Genuine Lizard Skin 7 B ,
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2 - 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.

    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2 - 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
    MORI ITALY 39 PLATFORM HIGH HEEL SCHUHE PUMPS HEEL SCHUHE SHOES PYTHON LEATHER GREEN VERDE 39 cf0eaa2
    Heels
    >
    ;