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Dave Nadig
3:15
in this case, individual investors are ruled out - this is just for institutions.  This lets them get around 99% of the SEC to get the product "alive."
With the hope this then opens the door another crack on taking those shares to an exchange to actually trade as an ETF.  They have language about converting the share class to the ETF if they get approval.
3:16
I'll be honest, the whole thing makes me sigh a little bit.  I mean, I get it -- if its a chance for them to get some institutional money in the trust, they gotta do what they gotta do.
But it muddies the waters on this, and I worry bitcoin folks are misreading this as some kind of approval, when in fact, it's just an end-around.
3:17
that doesnt generate anything particularly new.  THere are quite a few institutional only crypto pools out there as hedge funds and so on.
Anonymous
3:17
How can you find out who owns an ETF, not what it owns?
Dave Nadig
3:17
Great question.  The short answer is you really can't.
3:18
ETFs, like shares of Apple, or anything else on an exchange, aren't tracked by some big brother in the sky.
The closest you can get is through filings made by certain kinds of asset managers called "13f" filings.
3:19
Mutual Fund companies, for instance, have to file a blanket 13F that says "yes, we, fidelity, have 100,000 shares of XLF" or whatnot.  Those shares are in other funds, and then, of course, you have no idea who owns those funds.
More importantly however, individual investors and most insititutions DONT have any 13f requirements, so you get a very thin picture of a handful of holders, and thats it.
So I'm always very cautious about reading too much into things.
3:20
There are some semi-free services (whalewisdom.com comes to mind) that can give you some lagged insight
and there are very expensive services that try and clean up and augment 13fs with other filings (sometimes from their own trading activities).
3:21
but I'd be cautious of using them for much more than interests sake.
Alyssa DeChambeau
3:21
Hi Dave, what would you say are the pros and cons of investing in growth ETFs?
Dave Nadig
3:21
I'd say the biggest problem is that defining what "growth" even means is a very very tricky thing to do.
3:22
You'll note that on our fund pages (etf.com/spy or whatnot) you wont see "growth" as one of the major factor breakdowns in the MSCI FaCS methodology.
Every "Growth" index will of course have a methodology to define what it means, but often, I think its really conflating other more interesting factors.
3:23
So, for example: if you want companies that grow dividends over time? there are ETFs for that.  You want technical momentum growth? There are etfs for that.  you want earnings quality? Etc. etc..
So I think "growth" is a tough bucket and one I kinda wish would go away.
Most academic literature ignores it in favor of being more specific.
Harvester
3:24
Can I tax-loss harvest by selling SPY and buy VOO or would the IRS have a problem with this?
Dave Nadig
3:24
AH, welcome to the very very gray world of tax lost harvesting.
The question is "what could you defend in a proceeding" and I think you'd lose swapping SPY for VOO.
3:25
Almost every place you look for tax advice, you'll find some sort of disclaimer that sticking to the same index would put you in wash sale trouble.
the smarter move is to get the same factor exposures, through a slightly different approach. So could you get away with RSP?  Probably!  Because while it's the same 500 stocks, the pattern of returns will be substantially different.
3:26
Could you get away with a Russell 1000? Sure!  Thats 500 whole different stocks!@
So I think you need to be a bit more clever than that.  And of course, nobody in their right mind will give you a legal guarantee of what the IRS might or might not do if they audit you.
3:27
(Insert my regular boring advice about using an actual CPA for advice on these kinds of questions, which I am most definitively not!)
Ill bundle up these two:
Joe Fallon
3:27
Are gold miner ETFs finally re-emerging into the spotlight?
Dana
3:27
Hello Dave. Are silver ETFs outshining gold ETFs right now?
Dave Nadig
3:27
So I put all of this in the "safety play" category.
3:28
All of these -- the miners, gold, silver, defensive stocks, utilities -- have been out of favor for so long that in the rush back in, you're seeing occasional pops and anomalies as investors figure out where they want to be positioned.
3:29
The miners, in particular, live int he "not gold, but not just equities" space in a lot of peoples heads.
3:30
And so as we've seen some run back to safety, they've just had an amazing year -- because they've gotten some equity tailwind, and some gold tailwind.
3:31
As for things like the SLV/GLD ratio (or any other ___/GLD ratio) I'd be cautious of that, because I feel like a lot of investors feel like they SHOULD always have some relationship
but really, there's not a ton of overlap - there's no CAUSAL reason that a rise in gold means silver should be higher, other than there's somewhat similar investment behaviors associated with the two (both being precious metals).
But they also have very unique supply/demand concerns of their own
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