Never miss an update

Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54




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
Closure: Lace Up
Features: Slip Resistant Brand: adidas
Color: Black Model: Adidas Galaxy 4
Product Line: adidas Galaxy Modified Item: No
Shoe Height: Low Top Upper Material: Synthetic
Pattern: Solid US Shoe Size (Men's): 10
Width: Medium (D, M) Style: Running Shoes
UPC: Does not apply
Never miss an update

Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54 - blurrypron.com

    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54
    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54
    NIKE MEN'S SIZE 10.5 STEFAN JANOSKI MAX MID SKATE SHOES 807507 004 GREY NEW $130Nike Training Men Reax Black and Green Tennis Shoes Size 11.5 USAdidas BZ0073 Men Campus casual shoes navy silver gold sneakersConverse One Star Leather OX Jute/Black/Parchment Size US 11 Men 153707C , Gola Men's Tourist Suede SneakerAND1 Men's Attack Low Basketball ShoeAsics Biku CV men's sneakers black/white athletic casual shoes NEWVans Classic Slip-On (Gum Bumper) True White Size US 10 Men's VN0A38F7Q8RAdidas Men's ADIZERO Tempo 9 Running Cross Training Shoes NEW SneakersMen's Adidas Questar CC - Grey Three/White/Core Black - Width: med - RunningNIKE SAMPLE COURT BOROUGH MID WINTER OUTDOOR SZ: MNS 9 (AA0547 001) , Nike Rosherun Men's Shoes Trainers New 511881 091 Size 13 , Mens Nike Lebron Soldier XI SFG 897646-101 White/Racer Blue Brand New Size , Vans (Style 112) PRO Gunmetal/Black Size US 13 Men's VN0A347XEZQ , Polo Ralph Lauren Vaughn mens shoes sneakers new wine leather plaid , Nike Metcon 2 Men’s Training Running Shoes 819899 560 Hyper Violet Size 8Nike Air Haurache Cargo Khaki/White/Black size 12 Olive GreenVANS SK8-HI (MIX CHECKER) BLACK WHITE SKATE SHOES SZ 11.5 MENS CANVAS SUEDE NIB , NIKE Free RN Reflective Running Shoes Mens AH9700 200 Ridger Rock SZ 12 NIBNike Free RN Men's Running Sneakers 831508 003 (NO BOX LID) , Converse Chuck Taylor CTAS 70 Ox Size 11 Mens 13 Womens Blue Slate Sneaker Shoe , Man/Woman Air Force One High security Environmentally friendly Elegant and solemn , MISMATCH Altra Torin 3.0 Size 9 M (D) Left & 9.5 M (D) Right Men's Shoes , Adidas Men Originals SAMBA MC Modern Classic Navy Shoe C77859 Size 14 , NIKE AIR FORCE 1 BLACK-HYPER PINK-WOLF GREY SZ 13 RARE ELEPHANT [488298-063]asics gel-lyte33 2 mens running trainers T317Q 1167 sneakers shoes , NEW NIKE AIR HUARACHE RUN ULTRA BR BREATHE MESH 833147 200 OLIVE GREEN 13 RareNike Duel Racer Men's Shoe 918228 602Adidas Alphabounce Team Kansas Jayhawks PE Sz 9.5-19 B42737
    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54 - blurrypron.com>Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54 - blurrypron.com
    Brand New Via Spiga Women's Nadia Ankle Boot - Black - Size US 8.5New Azzedine Alaia Women's Boots Grey 37 Suede Leather Zip Platform Heels Ankle , Lauren Ralph Lauren Sigrid Riding Boots 815, Black, 7 US / 37.5 EUMan's/Woman's Kensie Helina Peep Toe Sandals, Blush use New in stock CharacteristicsVersace 19.69 K880 VELOUR GHIACCIO LAM ORO Sandals Women's White AU , Skechers Street NEW Prima Little Bow white leather pink fashion trainers sz 3-8 , Gentlemen/Ladies Fly London Yalu Patent Leather Wedge Selling online shop Diversified new design , Lagerfeld Vintage 1990s Black Suede Pumps NWOT size 6Women's Shoes Antelope 405 Double Vel Wedge Sandals Metallic Grey Size 11YSL Saint Laurent Black Suede Platform Tribute 105 Sandals 39.5 , $110 Orthaheel Womens Yolanda Flip Flop Dress Sandal Shoes, Chocolate, US 11Melissa Espardena Sandal in Black & Cream Size 5 & 6 Available , Salmon-Crested Cockatoo Parrot Running Shoes For Men-Free Shipping , Puma Match Lo Snake 36304802 Casual Shoes Navy Blue Gold Medium (B,M) WomenParty Womens Leather Block Heel Lovely Lolita Bowknot Straps Evening Date Shoes , Adidas BB2284 Women ZX Flux ADV Running shoes black white SneakersVans Alomar Tweed Gray Men's 13 Skate Shoes Sneakers New GreyMen's/Women's Shoes Rovato-Larion Skechers Black Men 65419-BBK Special purchase low cost cheap price29 New Men's Nike Lebron XIV 14 Lows Basketball Shoes Prism Pink 878636-600 11Under Armour Shoes Mens Charged Rebel Running Shoes- Pick SZ/Color.Nike Kobe IX Elite Strategy Sequoia/Crimson Flyknit Basketball Shoes Men's Sz 10 , Nike Kyrie 2 "EYBL" - 647588 PROMO , Men's/Women's Toffeln Work Flex 05100 Charming design New products in 2018 Different styles , Steve Madden Mens Jaromir 2 Fashion Sneaker ShoeFRYE Henry Venetian Mens Boat ShoeD US- Choose SZ/Color.Men's Mephisto "Marlon” Dress Walking Shoes Black Leather 7.5 MG by GUESS Womens Oadie Teal 7.5 US Shoes , SUPERGA 2790 ACOTW LINEA UP AND DOWN Canvas Mens Womens Unisex TrainersAUTH LUXURY PRADA HIGH TOP SNEAKERS SHOES 3T5743 BLACK NEW US 8 , Skechers Women's Microburst One up Fashion Sneaker - Choose SZ/Color
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54 - 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.

    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54 - 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
    Adidas Men’s Galaxy 14093 4 Shoes Cloudfoam Running Training Shoes NEW Sz. 10 NEW CP8822 af51c54
    Athletic Shoes
    >
    ;