You are viewing the chat in desktop mode. Click here to switch to mobile view.
X
ETF.com Live Chat!
powered byJotCast
Dave Nadig
3:00
Good afternoon!
Welcome back to ETF.com Live! after a holiday break.  Hope everyone had a good one.
As always, you can enter in your questions in the box below, and I'll get to as many as I can in the next half hour or so.
3:01
We'll post a transcript up at the end, in case you miss something.
With that, let's get rolling.
Sam D.
3:01
Is Jim Roger’s prediction last May that a huge bear market was coming the only one of significance that’s come true in recent years?
Dave Nadig
3:01
OK, well, snark aside.  Jim did go on a bit of a "bear tour" starting at the beginning of last year.
3:02
I think his predictions started in December 2017 actually, we had an interview with him where he reiterated it.
So, I haven't been big on the bear camp really, but I have to say the kind of notes we're getting today: Airlines, Autos, Apple... they give me a bit of pause.
3:03
So putting aside whether Jim has a track record or not: I do think there's some cause for concern that the "engine of growth" as it were, is pretty anemic right now.
It's reasonable for folks to be thinking defensively, but mostly, my reaction to times like this is to think about value.
3:04
Which is part of why we just had the second biggest year for ETF flows in history: 315 Billion.
and a LOT of that went into equities.
SM
3:04
In a surprising turn of events, Jack Bogle has come out against passive indexing firms in recent days, implying that Blackrock, Vanguard and StateStreet hold too much power. What is your take on the issue?
Dave Nadig
3:04
We do get this pretty frequently.  I have obviously huge respect for Mr. Bogle.  He's essentially invented a huge chunk of the industry where I've made a career.
3:05
But, in this case, I always come back to the "prove theres a problem" point.
The argument that big indexers have no incentive to be thoughtful about governance just baffles me.
If I HAVE to hold Apple stock, because it's in the index, won't I make better decisions about those votes, than if I could just dump it because I didn't like a quarter?
3:06
And if you look at what the big guys are doing, they're being pretty provocative in how they're approaching governance.
State Street voting against board slates, Larry Fink taking out full page ads to talk about governance ...
i think the industry is leading here, not on its heels.  So I just disagree with him on this one.
Guest
3:06
I know you don’t own any ETFs, to be neutral; do you own any mutual funds?
Dave Nadig
3:07
Fair question.  I do own mutual funds, largely Schwab, Vanguard and Fidelity index funds, depending on which account a given bucket is in.
While I'm obviously an "ETF guy" at heart, the reality is a good, low-cost index mutual fund is an incredible tool as well.
Jake Matthews
3:07
Is it too late to vote for our favorite ETFs of 2018/
Dave Nadig
3:08
ALMOST but not.  Until the end of today (we can call it midnight) you can still submit things here:
3:09
then, next week, we clean all the submissions up, and they go through a nominating committee to get down to 4-5 entries per category.  Then the voting committee makes their selections, and we announce the winners on March 28th at a dinner in New York.
I'm going to have to play interpreter on this one:
melinda
3:09
method for tracking correlation or lack of same between
Dave Nadig
3:10
I THINK what your looking for is a correlation tool to look at different assets/etfs.
There are a few online, but the one I've been playing with lately is from Koyfin:
3:11
While I'm lucky enough to have both Bloomberg and Factset at my fingertips, I get that most folks don't, so I'm all about accessible (and free!) tools on the internet.
I hadn't heard of Koyfin till a few weeks ago, but I've been playing around with it and I like it a lot.
Dayna Freitag
3:11
Why do some think ETFs are dangerous in illiquid markets? What’s the logic?
Dave Nadig
3:12
Well, the argument is that something like (to pick a regular poster child) HYG, the iShares junk bond ETF, trades a ton, but the underlying bonds don't.
So if "everyone wants out" then the ETF will sell at a big discount, and "disconnect" from the price of the junk bonds (which might not trade).
This is actually true -- if "everyone wants out" then the price will indeed go down quickly -- thats how markets work.
Load More Messages
Connecting…