Showing 1 - 4 of 4
Persistent link: https://www.econbiz.de/10011286157
The design of leveraged and inverse exchange-traded funds (ETFs) has raised concerns that they may exacerbate volatility in financial markets by mechanically rebalancing their portfolios in the same direction as contemporaneous returns. We show theoretically, however, that capital flows can...
Persistent link: https://www.econbiz.de/10012972678
Persistent link: https://www.econbiz.de/10012001770
Leveraged and inverse exchange-traded funds (ETFs) have been heavily criticized for exacerbating volatility in financial markets because it is thought that they mechanically rebalance their portfolios in the same direction as contemporaneous returns. We argue that these criticisms are likely...
Persistent link: https://www.econbiz.de/10013031118