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Dave Nadig
3:00
Good afternoon!  Welcome to ETF.com Live!
As always, you can type your questions in the box below, and I'll try and get to as many as I can in the next 30 minutes or so, or until my hands fall off.
We'll have a transcript up at the end of the day, in case you miss something, and if I'm super motivated, a short video going into more detail on something.
3:01
But with that lets get rolling.
Obligatory Bob
3:01
Tunes?
Dave Nadig
3:01
This week's soundtrack has been CVRCHES, despite being too hard to type:
RiskyMan
3:01
Thoughts on Innovator's filing of the Total Buffer ETF? This sounds pretty good when markets get as volatile as we have had lately.  I guess it depends on what the cap is, though?
Dave Nadig
3:02
Long time readers here will know I'm a big fan of funds that use all the tools in the box to deliver unique patterns of returns, and this one's no different.
As you say, the question will be what the cap is, however, I have to say, if it's as clean as it looks in the filings, almost any cap over bond yields should be seen as at least worth investigating.
3:03
The challenge, of course, is that these funds (which are just an extension of the existing flex-options based Innovator buffered funds) have a THREE YEAR reset window
It goes without saying that three years is a long time.  It's like a generation in market-time.
But, for certain use cases (say, money you know you've got locked up till college bills are due) I think its going to be really attractive.
3:04
So, like you, I'll wait to see what the final outcome is, but I think it's pretty darn cool.
Now if we could get all these funds at like 0.30% ....
Tony
3:04
Are "growth" and "value" opposite sides of the same metaphorical coin?  Does owning a S&P 500 Growth ETF and a S&P 500 Value ETF add up to owning a traditional S&P 500 index ETF?
Dave Nadig
3:04
A surprisingly tricky question to answer!
3:05
Each set of pairs (and pretty much everyone offers G/V as pairs) uses it's own unique methodology
3:06
So for example the Invesco series (RPG/RPV) is a so called "pure" set of funds.
What they mean by that is you get the 1/3 of the SP500 that is the most "growthy" in RPG and the 1/3 thats the most "valuey" in RPV
The "not really either" group in the middle is simply not owned by the two funds.
3:07
So my advice is to always stay in-country, that is, stay with the same issuer, if you're tryign to implement any kind of rotation strategy.
Whether its sector rotation, country rotation, or in this case factor rotation, don't cross the streams, because methodology differences can really trip you up.
3:08
(Shameless plug: on all the ETF pages you can now see the MSCI factor box (FaCS) which will give you some hard metrics about things like "valueyness" when your comparing funds)
great question.
Asa
3:08
Hello Dave, The SEC intimates that in October it will take up (yet again) its decision on bitcoin ETFs. Since they’ve postponed this so often, do you really think they’ll issue a ruling then, or will be it postponed again?
Dave Nadig
3:08
Well, a delay isn't a no.
3:09
I mean, thats sort of axiomatic, but the SEC could have either sat on it (not said a word, which is a kind of pocket veto) or they could have said "nah, go fix these things."
instead they said "let's keep talking."
So I actually see that as a positive.
3:10
But I've lost track of which Bar Bets I've made on approval dates (and honestly, I'm always wrong, I got Precidian's non transparent approval right, but wrong by FOUR YEARS).
I suspect, however, that the conversations are moving forward, and I still thing SOMEONE gets approved.  At this point, probably not this year, but maybe Q1?  I suspect October is a press.
Jemma
3:10
Do you think the introduction of nontransparent ETFs will vastly grow the ETF industry?
Dave Nadig
3:11
Vast is a big word.
THere's no question that it has the potential to be a very big deal.
But I've heard quite strident arguments from both sides.  I've talked to folks who swear there are billions and billions of pent up institutional demand for NTA ETF strategies
And I hear a lot of "prove it."
3:12
The structure is good.  It will work.  The question is ENTIRELY about demand.  And that demand is unfortunately not all that knowable.
My hope is that we get a few high profile wins out of the gate, and that kind of cracks open investor sentiment.
Because IF you believe in a particular active strategy, the ETF structure is almost assuredly going to be a better mousetrap for you than whatever existing traditional fund your in.
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