'And if history is any guide, these bubbles last a lot longer than investors can fathom .. it's very hard calling a top when there is still plenty of liquidity driving risk assets higher.'<blockquote>'When Goldman talks, investors listen. Alright, let me begin by stating there is a giant passive 'beta' bubble going on driven by the increasing popularity of exchange-traded funds (ETFs) and digital (aka robo) advisors. I've written all about it in my comment on the
$3 (now $4) trillion dollar shift in investing.
Jack Bogle has revolutionalized the investment world for the better but in the process of doing so he may have created a monster that will sow the seeds of the next major financial crisis. This may be the Mother of all beta bubbles but it's very hard for people to realize it until the crisis hits and the dust settles.
And if history is any guide, these bubbles last a lot longer than investors can fathom .. it's very hard calling a top when there is still plenty of liquidity driving risk assets higher.'
- Leo Kolivakis,
Are ETFs Driving The Market Higher?, June 27, 2017</blockquote>
Context<blockquote>
Citizens Will Soon Turn their Rage Towards Central Bankers, June 22, 2017
'..Loose financial conditions and record debt issuance..''..China's Credit growth is on track to surpass $3.5 Trillion in 2017.'</blockquote>