Never miss an update

Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c

Item specifics

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
Product Style: Byron Mid
Material: Suede Lining: Textile
Brand: Fred Perry Gender: Mens
MPN: B7400-102 Style: Chukka Boots
Colour: Black Main Colour: Black
Fastening: Lace-up Sole: Rubber
Never miss an update

Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c -

    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c
    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c
    New Steel Blue Mens Work Boots Argyle Zip Black Steel Toe Bump Cap 332152 , Men Embroidery Dragon metal Toe Side Zipper Club party Wedding Leather Shoes CZ8Hot Sale Mens Chelsea Boots Ankle Boots Suede Leather High Top Pointy Toe ShoesMENS DR MARTENS BLACK SAFETY WORK STEEL TOE CAP ICON 7B10 BOOTS SIZE , New Croft Grant Brown Mens Shoes Dress Boots Ankle , Roamers Mens Real Suede Classic Desert Boots (DF116) , Puma Work Boots 630347 'Tanami', Composite Toe Safety, Elastic Sided, Metal Free , Thorogood 804-4035 VGS-300 ASR Static Dissipative Composite Toe Safety Shoes , Mens leather elastic side boots Slatters shoes Arizona , Element Turph Breen Mens Tan Gum Suede Chukka Boots , Slatters Rialto Mens Comfortable Leather Dress BootsNew Julius Marlow Prompt Mens Shoes Dress Boots Long , Grafters Mens Original Coated Leather Retro Monkey Boots (DF108)Mens Suede Leather Shoes Handmade Jodhpurs High Ankle Mens Chelsea Leather Boots , New Florsheim Gorton Mens Shoes Boots Ankle , New Dr Marten Cabrillo 2 Eye Desert Boot Gaucho Mens Shoes Casual Boots Ankle , Men's British real Leather High Top Pointed Toe Buckle Ankle Boots Dress Shoes , Fashion Ankle Boots Zipper Mens Pointy toe Slip on Patent Leather Club shoes Ch8Mongrel 916040 Work Boots. Non Safety Elastic Sided Wheat Suede. Brand New , New Steel Blue Mens Work Boots Hobart Wheat Steel Toe Pull On AU Size 312101 , AU Mens outwear Army Tactical Hiking Camo Hunting Warm Winter Boots outdoorJohnscliffe Mens Canyon Leather Superlight Hiking Boots (DF552)Mens Casual ankle short Boots suede Buckle outdoor shoes zipper British plus szAU Mens Real Suede Leather Western Pull on Low Heel Ankle Boots Boots ElasticDafna Scout ( Palladium ) - Black Israeli Commando Canvas boots , Mens Punk Zip Pointy Toe Ankle Boots Leather Cuban Mid Heel Shoes Rivet Boots # , Mens Western Cowboy Suede Round Toe Pull On Dress Ankle Boots Combat Boots Shoes , Puma Nevada Mid S3 SRC Composite Toe & Midsole Brown Safety Waterproof Boots , New Men's real leather Ankle boots Formal shoes Side Zip OM7071 ,
    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c ->Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c -
    Lico Womens Colour Low-Top Sneakers, Blue MarineTuerkis, 8 UK , Skechers Sergeants Verdict Ankle Winter Boots in Dark Brown, Black & Wheat 4442 , Gentlemen/Ladies LADIES SHOES/FOOTWEAR -Sundowner Chapy boot black Various styles Year-end sale Immediate deliveryPieces Pskatie Leather Espadrillos Cameo Rose, Womens Espadrille, Pink Cameo RLuxury Women's Europe Velvet Square Toe Slippers Mules Sandals Block Heels ShoesMarc Jacobs Womens Black Pumps Sz 9.5 Suede Leather Peep Toe Heels Shoes , Manolo Blahnik Women's Pointed Toe Heels Suede Black Slip-on Bow Size 41Saint Laurent Paris YSL Tribute 105 Rose Clair Pink Platform Sandals 39 9 , NIB PRADA Silk Bow Pointy Toe Pump 65 Heel Shoe Burgundy Goat Suede Leather 39-9 , Christian Louboutin Gunmetal Metallic Leather Sandals SZ 38 Sale , Vaneli Karmina Black Eprint Women’s Sandals Size 9.5 With BoxSkechers Street Los Angeles Zebra Fashion Sneakers Leather Women's Sz 7.5 NEWRoxy Women's Viera Sandal Flat - Choose SZ/ColorSaucony Running Shoes Omni 10 Progrid Mens Size 9Men's/Women's nike presto fly se Various goods Environmentally friendly Sales online store , Nike Air Foamposite One 314996-602 Rust Pink Black Men Size 11.5MERRELL MENS SHOES JUNGLE AYERS MOC CANTEEN SIZE 10.5 , Mens Shoes Sz 8.5M Florsheim Imperial VGC Camel Italy FREE Shipping Loafers , Ted Baker Men's Casbo Leather/Textile Derby Brogues - Tan/MultiStacy Adams Men's Garrick Wing Tip Black Tumbled Leather Dress Shoe 24995-007Nike Benassi Duo Ultra Slide Women's Racer Pink/Black/Sunset Glow 19717602 , New Balance Women's 1260v7 Running Shoe - Choose SZ/Color , Skechers Women's YOU Inspire Slip-on Shoe - Choose SZ/colorMarc Fisher Abela Studded Ankle Boots 862, Dark Blue, 7.5 USNew Dansko Womens Lola Black Booties Size 6Womens The North Face Thermoball Button Up Fleece Outdoor Walking Boots USwomen's back zip transparent square toe ankle boots kitten heel pantent leatherWomens Stiletto High Heel Knee High Boots Patent Leather Zip Party Shoes Plus SZVINTAGE GOTHIC WOMEN'S Mid Calf Boots Military Buckles REAL LEATHER MOTOR RIDINGOvation Women's Sport Rider II Paddock Boot - 469395-BRN
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c -

    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.

    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c -

    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.


    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
    Fred Perry Byron Byron Mid Mens Chukka Boots Fred Black New mogochinese-29641 Shoes 255b32c