on everyone’s mind

The third annual Inside ETFs conference got underway yesterday, but most attendees didn’t get into town until today. Now we’re in full swing.

I’ve been talking to people from the fund sponsor side as well as the market-making and plumbing people who facilitate millions of ETF trades each month. Here are the topics on everyone’s mind at the moment…

  1. The dollar is wrecking everything. Canada’s currency has plunged 40% vs the greenback, which is fairly unheard of. And that’s just a nearby case in point. All over the world, countries trying to maintain dollar pegs are watching their reserves go up in smoke.
  2. China hard landing is now consensus. Two years ago, consensus was that China had some debt and economic issues but would be okay. One year ago, the Shanghai Composite was signaling a degree of success in the handoff between infrastructure spending and consumer spending. Now everyone’s thinking we’re a few innings into a collapse. If the consensus wasn’t right before, why would it be right today?
  3. Oil is the key to the everything. Everyone needs it higher – governments, stock markets, industrial companies, producers, credit investors, etc.
  4. Late August was a sneak preview of what we can expect the next time there is a global panic overnight and the futures go limit-down. The market-makers seemed to have made money by restoring efficiency to the ETF market that morning, when bid-ask spreads blew out and prices were between 10 and 15% away from true net asset values. They are now split in their opinions about whether or not something similar will happen again – particularly in junk bond ETFs. There’s lots of talk about instances where there are simply no bids at all for the popular high-yield ETFs.
  5. Sentiment is terrible. No one in plain vanilla index ETFs made money last year for their clients. There are 2200 attendees registered for this conference, with the majority being financial advisors. It hasn’t been an easy time for the beta bet.

I’ll have more later. I’m heading down to hear what Jeff Gundlach has to say about the US economy. Watch for my CNBC hit at around 12:15 if you can.


This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Wealthcast Media, an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers

Please see disclosures here.

What's been said:

Discussions found on the web
  1. click here commented on Sep 14

    … [Trackback]

    […] Find More Info here to that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  2. sex commented on Sep 18

    … [Trackback]

    […] Info on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  3. bitcoin evolution reviews commented on Sep 19

    … [Trackback]

    […] Here you can find 33127 more Information on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  4. crown nissan commented on Sep 22

    … [Trackback]

    […] Find More on on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  5. rbc royal bank sign in commented on Nov 27

    … [Trackback]

    […] Info to that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  6. easyweb td online banking commented on Dec 14

    … [Trackback]

    […] Find More on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  7. 토토사이트 종류 commented on Dec 22

    … [Trackback]

    […] Read More Info here on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]

  8. rolex podr��bka commented on Jan 19

    … [Trackback]

    […] Find More on on that Topic: thereformedbroker.com/2016/01/25/on-everyones-mind/ […]