Tom sits down with Andy McOrmond, Managing Director of WallachBeth, to discuss the ins-and-outs of ETF liquidity. The mini ‘flash crash’ in August has both SEC regulators and financial institutions looking more closely at ETFs and how to ensure investors are protected from structural flaws that result in ETFs being sold for a fraction of their net asset value. Financial advisors can protect their clients’ investments by practicing safe-trading techniques catered to the unique structure of ETFs.
Andy goes over the best practices for trading ETFs and how exactly the mistakes made by financial advisors and ETF traders in August can be avoided.
A little about Andy:
Andy is currently employed at WallachBeth Capital, LLC in the position of Managing Director of ETF Group. After graduating from University of Rhode Island with a BA in Communications (Class of ’95), Andy co-founded and operated a private enterprise that launched a branded spirits product within the food service industry. With that success in hand, Andy entered the securities industry in 1999. From 2002-2007 Andy was Managing Director of American Stock Exchange member firm Progressive Securities. In 2007, Andy acted as a General Partner of FM Brokerage LLC until joining WallachBeth Capital LLC in December 2008. With over a decade of experience in institutional ETF trading, Andy has become a sought after panelist speaker. His unique perspective on trading, best execution and finding liquidity has added value to conferences for NAAIM, FA Symposium and the 2010 Inside ETFs Conference. He has also been referenced in several publications including The Wall Street Journal, InsideETFs and SeekingAlpha. Andy holds FINRA Series 7, 63 and 55.