Never miss an update

Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750




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: Latigo
Color: Black Style: Pascal
Heel Height: Flat (0 to 1/2 in.) Model: Pascal
Material: leather MPN: Does Not Apply
Calf Width: Normal Width: Medium (B, M)
Never miss an update

Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750 - blurrypron.com

    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750
    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750
    A2 by Aerosoles Women's Invitation Boot Taupe 8.5 W US , AHNU MONTARA III BLACK WATER-PROOF LEATHER HIKING BOOTS, US 11/ ~NIB , Corral Vintage Distressed Brown Leather Heart Wing Snip Toe Boots Women's 7 M , Jeffrey Campbell Brown Irridescent Metallic Snakeskin Winifred Knee High Boots 7 , Ahnu Montara III Boot Event Chocolate Chip - Women's , Propet Women's Tatum Ankle Bootie Black 8.5 W US , Women Leather Ankle Cowboy Boots Vintage Retro Buckle Low Block Heels Punk SHoes , Fergie Women's Towson Boot Wicker 9 M US , ZARA NEW FW19 HIGH-HEEL LEATHER BOOTS BURGUNDY 6018/301 , Zigi Girl Z-Jo Stud Boots Sz 8.5 NWOB , Man/Woman Ladies Ariat Boots Size 7.5 The color is very eye-catching Win the praise of customers Elegant and stable packaging , NEW MADEWELL ET SEZANE FRONT TIE BOOTS B7156, BLACK $315Man/Woman Latigo Pascal Women's Boots Navy Ideal gift for all occasions luxurious TRUE , Vince Camuto Womens Keliana Black Over-The-Knee Boots 6.5 Medium (B,M) BHFO 0205Nine West Women's Kellan Fabric Winter Boot Black Suede 7.5 M US , Softwalk Hanover Womens Comfort Ankle Boot 8.5 Dark Brown Lush Leather Side ZipStuart Weitzman Black Pony Hair Stiletto Heel Pointed Toe Ankle Boots UK6 U8.5 , CORSO COMO Cognac Brown Equestrian Knee High Leather Tall Riding Boots Size 7Roxy Women's Ortiz Ankle Bootie - Choose SZ/Color , Lanvin Womens Patent Leather Mid Calf Boots Size 35.5 Black High Heels ItalyAstral Tr1 Trek Water Shoe - Women's Deep Water Navy 9.5Women's Ralph Lauren "Hadara" Booties Leather Size 8.5 BlackNew Ralph Lauren Lauren Vanida Suede Knee-High Boot Black Size 6.5 $395Bogs Womens Black Cozy Durable Insulated Waterproof Tall High Rubber Boots , Steve Madden Women's Troopa 2.0 Combat Boot Black Leather 9.5 M USTory Burch Hilary Suede Shearling Bootie 8.5 M Havana Tan Gold Logo Shoe Boot , FRYE Dark Brown Pippa Chelsea Boots US Women's Size 6 NIBMan/Woman Tory Burch Bergen Chukka Bootie White Quality products Carefully selected materials Reliable reputation , Astral Tr1 Trek Water Shoe - Women's Deep Water Navy 7.5
    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750 - blurrypron.com>Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750 - blurrypron.com
    ASICS WOMENS GEL CRAZE TR 4 BLACK WHITE RUNNING SHOES **FREE POST AUSTRALIA , New Balance Women's Rushv3 Running-Shoes - Choose SZ/color , BHLDN 8 IVORY SATIN BOW KITTEN HEEL LEATHER SLIP ON LIA SOLD OUT BRIDAL $100 EUC , BOUTIQUE 9 Ladies Mirabelle Pump, Wine Red/ Gold, Suede, 6.5M, MSRP $130 , New in Box Marc Fisher Night Cap Pumps in Neutral, Size 9.5 , Via Spiga Size 8.5 Black Snake Heels New Womens Shoes , Pleaser 7" silver glitter open toe ankle boots , TORY BURCH EVELYN women PUMPS (8.5, PORT) , NEW Jimmy Choo London Sling backs size 38Aldo Womens Nandra Leather Open Toe Special Occasion Strappy SandalsWomens Summer Mules Med Real Leather kitten Heels Slippers Shoes Pointed Toe New , L’Artiste by Spring Step Women's Emese Ankle Bootie, Black, 35 EU/5 M US , Nike SB Blazer Low in Thunder Blue/Gum Med Brown - Men's 8 - 11 NWT 864347-400Nike Dunk CMFT WB Black Dark Grey Lt Bone Sz 9 NIB 805995-001 , DS Nike Air Jordan I 1 Retro High HOF HALL OF FAME 12adidas Alphabounce AMS Men's Black/Utility Black/White BW0428Nike Air Jordan Retro 3 136064-007 Black Sport Blue Wolf Grey Cement SZ 10.5NEW Nike Air Max Big Swoosh Shoes The Glove Black White 832759-001 Mens Size 13Cole Haan Air “Colton” Black Leather Wingtip Men Oxfords #C10028 US 13 MKenneth Cole Men's Brown Leather Loafer Bicycle Toe Dress Casual Shoes Size 12M , Peter Huber Men's Shoes Classic White Buck OxfordCole Haan Zerogrand Wingtip Suede Oxford Brown Ivory Mens Size 11Nike Air Max Sequent 2 Black/Metallic Hematite/Dark Grey/Wolf Grey 52465010Women's Under Armour HOVR Phantom NC Running Shoe White/Tin , Altra Womens Lone Peak Mid Neoshell 3.0 Shoes A2653MID-1 Brown/Light Blue 7.5New - Women's Guess Galle Light Gray Fabric Over the Knee Boots Size 8.5 , Womens BCBGeneration DETROIT black suede tall block heel boots sz. 11 $180 , Vintage Knee High Boot Women Rivet Strap Suede Military Flats Knight Shoes , Hunter Original Gloss Moss Green Womens Rain BootsVintage 2017 Spring New Womens Leather Suede British Ankle Boots Riding Shoes
    Will ETFs cause the next market crash?
    ETF Watch - Jun 29, 2017
    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750 - 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.

    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750 - 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
    Men's/Women's Latigo the Pascal of crowd Women's Boots Black Wear resistant International choice King of the crowd 3fca750
    Boots
    >
    ;