Debating the Age-Old Question: Do ETFs Aid or Hinder Liquidity?

The video discusses the role of ETFs in market crashes, starting with the 1987 crash. It explains how ETFs can stabilize markets by providing liquidity and reducing the need for individual stock trades. The concept of smart beta is introduced as a way to avoid overexposure to overvalued companies. The video also touches on the future of ETFs and business strategies related to their development.

What were the main market problems observed during the crash of 1987?

How do circuit breakers function in the context of market trading?

What is the significance of ETFs in stabilizing markets during crashes?

What are the potential pitfalls of buying and holding the market through index funds or ETFs?

What is smart beta and how does it aim to address the issues of traditional market investing?