Never miss an update

ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379




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
Binding: Apparel
Publisher: ECCO Department: womens
UPC: Does not apply Label: ECCO
Style: Does not apply Manufacturer: ECCO
Brand: ECCO Model: 284503
Size Type: Regular ProductGroup: Shoes
US Shoe Size (Women's): Does not apply
Never miss an update

ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379 - blurrypron.com

    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379
    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379
    Limited Edition Paolo Lantorno Black leather boots size 38 , FORNARINA Brown Leather Knee High Heels Equestrian Riding Boots US 7.5MCLARKS Women's Maypearl Oasis Engineer Boot - Choose SZ/color , CLARKS Women's Fianna Still Slip-on Loafer - Choose SZ/color , Sam Edelman Women's Landis Loafer Flat - Choose SZ/colorBoot Johnston & Murphy Lizzie Gray Kid SuedeECCO Women's Biom Fjuel Tie Sneaker Walking Shoe - Choose SZ/color , ECCO Women's Exceed Low Fashion Sneaker - Choose SZ/colorEMU VALERY LO PURPLE SHEEPSKIN BOOT WITH BUTTONS WTR RESISTANT SIZE 10 REG $180Corral Boots Leather Lizard Inlay Brown Blue Vintage Cowgirl SIZE 8 M , New Balance Women's Fresh Foam Gobi Neutral Trail - Choose SZ/colorECCO Women's Classic Hybrid Iii Golf Shoe - Choose SZ/color , New LAUREN RALPH LAUREN Micah Black riding women's boots sz US 6.5Rockport Womens Christy Leather Round Toe Knee High Fashion BootsGrinders Dallas Ladies Black Cowboy Western Mid Calf Toe Leather Classic Boots , Man's/Woman's Boot Nine West Sadiah Black Fabric Diverse new design Modern and stylish fashion Pick up at the boutiqueLaura Vita Ernault 02 Womens Violet Leather Ankle Boots , Dr.Martens Newton BTS Temperley Womens Mens Combat Unisex Boots , Gentleman/Lady Corral Camel Bootie Elegant appearance New style Fashion dynamic , ASICS Women's Gel-Quantum 360 cm Running Shoe - Choose SZ/color , Franco Sarto Jelly Brown Leather Short Moto Boots Womens Size 10 M NIB AuthenticROCKPORT EVA STUD BOOT TALL, BLACK LEATHER SIZES 7 MSRP $200 , Women's Custom Leather Dance Black Fringe High Heels Boots Kitty Paws ShoesECCO Women's Women's Shape 35 Studded Dress Sandal - Choose SZ/colorJoie Womens Yvettia Closed Toe Ankle Fashion BootsColumbia Women's Minx Shorty Omni-Heat Wool Snow B - Choose SZ/colorMen's/Women's Boot Isola Tavora Mogano Suede New market The highest quality material Different styles and styles$325 NIB POUR LA VICTOIRE 10 9.5 40 Fallon ankle leather platform wedges boots , New Balance Women's WX857V1 Training Shoe-W - Choose SZ/color ,
    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379 - blurrypron.com>ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379 - blurrypron.com
    DVF DIANE VON FURSTENBERG BLACK PURPLE SUEDE PLATFORM ANKLE BOOTIES womens 8.5 , New Asics Gt-1000 Mens Running Sport Shoes (Standard D Width) , Nike Flex Experience RN 5 PREM Running Mens Shoes Black Volt 844587-002Lamb Wool House Shoes - simsy Ladies House Shoes Slippers Slippers SlippersMan's/Woman's Redfoot Folding Shoes - Disney Black Outstanding features Wholesale trade Strong heat and heat resistanceOxypas Medical Footwear STUDIM RED lightweight nonslip Antistatic, Shock-Absorb , Fly London Woman Yaz Wedge Sz US 10-10.5 Brown Leather Wedge Platform Shoe , Aperlai Paris Exotic Skin Platform Super High Chunky Heel Pumps 38 , Womens Vagabond Tia Cut Out Leather Fashion Lightweight Beach Sandals US 5.5-10Donald J Pliner Black Leather Platform Wedge Heel Sandal Shoe Women's Size 9 MCustom Comfortable Nylon Canvas Womens Boots Calvin And Hobbes Girl Martin Boots , Nike Zoom Maxcat 4 Sprint Track Field Spikes Blue 549150-413 13 Men's , Nike x Gyakusou Lunarepic Flyknit Shield Sz 11.5 100% Authentic 859891 300 $200 , Mr/Ms Nike Sb Cali High The color is very eye-catching Won highly appreciated and widely trusted at home and abroad British temperamentNike Vapor Speed Ohio State Buckeyes Turf Trainer Shoes Red SZ ( 924776-601 ) , NIB APL Athletic Propulsion Labs TechLoom Phantom M Red Sneakers Sz 9.5 $165 , Nike Air Jordan 1 Retro High Decon, Deconstructed, 867338 100, White, Size 10 , Mens Suede Round Toe Pull On Ankle Boots Unisex Casual Winter Fur Lining Shoes , Rocky Men's Original Ride Bridal Work Boot , MR BS GENTLEMEN'S BOUTIQUE FOR ALDO Black Cap Toe Oxfords SHOE SIZE 11 EUC , TRETORN, size 9us - 8eu , new, sample , Rhythm Footwear Men's Shoes 206557 WhitexMulticolor 8 , Big Size Men Hand Stitching Breathable Honeycomb Mesh Loafers Flats , Mens Punk Spiker Rivets Studded Loafers Slip On Casual Metal Shoes Stylish Suede , Men/Women Lacoste Men's Giron 118 1 Sneaker Beautiful design The highest quality material Very practical , Puma Pointy Creesper Patent Gray Women Walking Shoes 6 , Gel Resolution 7 Women's Shoe Blue/Pink Size 8.5Women's Z-COIL "Freedom 2000" Pain Relief leather shoes US Size 9Durango Women's DRD0202 Western Boot, Dark Brown Marble, 7 M USNew Women Mid-Calf Boots Hollow Chic Sandal Shoe Peep Toe Mesh Gladiator Buckle
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379 - 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.

    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379 - 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
    ECCO Women's Flat Sense Light Women's Ballerina Flat Ballet - Choose Choose SZ/color 29aa379
    Boots
    >
    ;