ETF innovation or madness?
In this episode of Rabbithole, Dave Nadig is joined by Bloomberg’s Eric Balchunas for a candid and wide-ranging conversation on the explosion of new ETFs—some useful, some ridiculous, and some outright dangerous. They debate where the line should be drawn between investor freedom and regulatory responsibility, why the current ETF boom feels different, and whether the rise of private markets and derivatives in ETFs is creating cracks in the financial system. From yield-maxing “hot sauce” products to private equity in public wrappers, this is a no-holds-barred look at where the ETF industry is heading.
🔍 Topics Discussed:
Why not all ETF buyers are your mom—and why that matters
The ETF rating philosophy: truth in labeling over moral judgment
ESG ETFs and the dangers of overpromising
The rise of “YieldMax” style products and their behavioral appeal
Are leveraged and options-based ETFs pushing the ecosystem too far?
ETF structure vs. mutual funds during liquidity crises
When ETFs outgrow their underlying markets (and what that breaks)
The problem with private equity ETFs and mark-to-myth pricing
Buffers, derivatives, and the new face of retail-friendly structured products
Eric’s crypto ETF thoughts, hopes for a uranium spot ETF, and more
