FYI: I have to admit it’s exhausting debunking the regular stream of caustic mythology around ETFs. There’s a bull market in hyperbole headlines around ETFs, and it’s been going on since the 1990s.
The latest volley in this endless game comes from yesterday’s Wall Street Journal, in an article titled: “In a Down Market, ETFs Could Make Things Even Worse.” The article is a survey of an academic papers that’s been circulating (and being debunked) since 2017, called “ETF Short Interest and Failures-to-Deliver: Naked Short-Selling or Operational Shorting?” by a collection of authors from Villanova and Darden, which you can find here.
Regards,
Ted
https://www.etf.com/sections/blog/tilting-etf-windmills?nopaging=1
