WEBVTT - Interviews from INSITE (Podcast) 0:00:00.840 --> 0:00:04.000 Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney alongside 0:00:04.040 --> 0:00:05.240 my co host Matt Miller. 0:00:05.640 --> 0:00:09.600 Every business day we bring you interviews from CEOs, market pros, 0:00:09.720 --> 0:00:13.600 and Bloomberg experts, along with essential market moving news. 0:00:14.160 --> 0:00:17.279 Find the Bloomberg Markets podcast called Apple Podcasts or wherever 0:00:17.360 --> 0:00:20.480 you listen to podcasts, and at Bloomberg dot com slash podcast. 0:00:21.079 --> 0:00:24.120 We are live from the World Center Maria in Orlando, 0:00:24.160 --> 0:00:28.120 Florida at the b NY Melon Pershing Insight Conference. Two 0:00:28.160 --> 0:00:31.600 thousand members of the financial advice community are gathered here 0:00:31.640 --> 0:00:36.080 for learning, inspiration, and networking. And we are joined right 0:00:36.080 --> 0:00:39.600 now by no Tosh, head of Partnerships and Revenue at 0:00:39.640 --> 0:00:42.120 Pershing X. Noan, thanks so much for joining us here. 0:00:42.120 --> 0:00:43.760 It's graef you down here in Orlando with you guys 0:00:44.040 --> 0:00:45.760 talk to us about Pershing X. What are you guys 0:00:45.800 --> 0:00:46.200 doing there? 0:00:46.360 --> 0:00:50.479 Absolutely thanks for having me. Pershing X is a startup 0:00:50.560 --> 0:00:53.360 within Pershing within b and Y Melon focused on working 0:00:53.360 --> 0:00:56.880 with our advisor community and helping them integrate the various 0:00:56.920 --> 0:00:58.480 technology platforms that they're using. 0:00:58.520 --> 0:00:58.840 Today. 0:00:59.480 --> 0:01:02.960 We're looking to deliver to them interoperability. We're looking to 0:01:03.280 --> 0:01:06.760 deliver to them a more seamless experience with their technology 0:01:06.760 --> 0:01:10.200 and essentially provide to them a level of efficiency that 0:01:10.280 --> 0:01:12.720 gives them time back with their clients so that they 0:01:12.720 --> 0:01:13.959 can help more people. 0:01:15.160 --> 0:01:17.360 Is this kind of a you know a sense, a 0:01:17.400 --> 0:01:20.759 little bit of a client servicing kind of effort here, 0:01:20.800 --> 0:01:24.160 because again, there's so many financial service folks kind of 0:01:24.240 --> 0:01:26.280 leaving the big brokerage firms going out on their own, 0:01:26.319 --> 0:01:29.080 the registired investment advisor business that seems to be a 0:01:29.160 --> 0:01:32.440 huge wave within retail financial services. That's where you guys 0:01:32.480 --> 0:01:33.720 kind of fit in to help those folks. 0:01:33.840 --> 0:01:35.959 So we certainly help those folks, and I would say 0:01:35.959 --> 0:01:39.200 we're a technology first platform. It's about delivering to them 0:01:39.280 --> 0:01:41.720 an end to end platform that can help them from 0:01:41.720 --> 0:01:45.400 everything from their prospecting all the way through account opening 0:01:45.400 --> 0:01:47.960 into their day in the life, everything that they're trying 0:01:47.960 --> 0:01:50.560 to do within technology platforms today, we have a stat 0:01:50.600 --> 0:01:53.320 that we've seen where you know, up to seventy five 0:01:53.320 --> 0:01:55.760 percent of their time is being spent on administrative work, 0:01:55.880 --> 0:01:59.320 on technology, on entering data in one platform, and you 0:01:59.360 --> 0:02:01.360 know what, having this wile their chair and go enter 0:02:01.840 --> 0:02:05.040 this very same data in the next platform. So we've 0:02:05.080 --> 0:02:10.239 seen an opportunity to deliver efficiency and to enable them 0:02:10.320 --> 0:02:13.040 to do that just once and that will give them 0:02:13.080 --> 0:02:14.880 more time to work with their clients, with their investors. 0:02:15.400 --> 0:02:19.160 Speaking of those platforms, talk to us about these partnerships 0:02:19.200 --> 0:02:21.080 that you're going to announce at Insight. 0:02:21.760 --> 0:02:25.160 Absolutely, so a big part of my role is actually 0:02:25.440 --> 0:02:29.200 curation and curating the various technologies that exist out there 0:02:29.200 --> 0:02:33.560 in the ecosystem, finding the best and brightest emerging technologies, 0:02:33.600 --> 0:02:36.800 working with some of the big tech providers. Not everything 0:02:37.000 --> 0:02:39.440 needs to be or will be built in house, and 0:02:39.520 --> 0:02:42.200 so the partnerships are key part of the platform we're delivering. 0:02:42.400 --> 0:02:45.200 We have a fantastic partnership we announced late last year 0:02:45.240 --> 0:02:47.919 with a company called Conquest Planning. We're bringing them to 0:02:47.960 --> 0:02:51.960 the US market alongside us. They essentially are an emerging 0:02:52.840 --> 0:02:57.959 provider of financial planning that we found to be pretty 0:02:57.960 --> 0:03:00.160 elite in what they do, and so we're looking for 0:03:00.280 --> 0:03:04.240 partners like that who can really bolster the capabilities we 0:03:04.280 --> 0:03:08.640 have on the platform, but essentially drive value. The more 0:03:08.720 --> 0:03:10.560 value we can give to our clients, and being able 0:03:10.600 --> 0:03:12.320 to find these types of partners and put them in 0:03:12.360 --> 0:03:14.400 our client's hands, that's where we want to play a 0:03:14.440 --> 0:03:15.120 role of curation. 0:03:15.960 --> 0:03:18.400 So talk to us about kind of this is a 0:03:18.480 --> 0:03:21.960 role of technology. It seems like if I'm managing money 0:03:22.000 --> 0:03:25.520 for others, it's not just enough to be the smartest 0:03:25.520 --> 0:03:27.600 guy in the room. I have to have the technology 0:03:28.000 --> 0:03:29.840 to kind of service my clients, give them the type 0:03:29.840 --> 0:03:32.600 of service that they're used to with their Wells Fargo 0:03:32.639 --> 0:03:35.040 app or something like that. So I mean is that 0:03:35.040 --> 0:03:37.080 that's a big investment on the part of these folks. 0:03:37.160 --> 0:03:39.520 It is a big investment, and I think it's why 0:03:39.560 --> 0:03:43.320 we exist. We recognize that over time, what's ended up 0:03:43.360 --> 0:03:45.720 happening is technology made a promise that it was going 0:03:45.760 --> 0:03:48.680 to deliver efficiency and make lives easier for advisors. But 0:03:48.720 --> 0:03:51.080 what's ended up happening is a lot of point solutions 0:03:51.080 --> 0:03:53.280 that don't integrate, that don't speak to each other, has 0:03:53.320 --> 0:03:56.520 actually created a burden on advisors and created a whole 0:03:56.560 --> 0:04:00.880 other area that they need to learn. With Pershing X 0:04:00.920 --> 0:04:03.520 in the platform that we're launching in just four hours here, 0:04:03.920 --> 0:04:05.640 we think we can solve a big chunk of that 0:04:05.920 --> 0:04:10.520 through that integration and through that curation and give advisors back, 0:04:10.600 --> 0:04:12.200 you know, take a little bit of that burden off 0:04:12.200 --> 0:04:15.800 the advisor. Talk to us about your panel that you're 0:04:15.800 --> 0:04:19.640 hosting coming up later today. It takes a tech village. 0:04:19.720 --> 0:04:21.159 Is the types of tech village? What are you guys 0:04:21.160 --> 0:04:23.839 can be focusing on there? That's a lot of that. 0:04:23.880 --> 0:04:26.800 It's about collaboration, you know, And if we think about fintech, 0:04:26.839 --> 0:04:29.520 I think just a few years ago, the big story 0:04:29.760 --> 0:04:33.839 about fintech and banks was disruption and how FinTechs were 0:04:33.839 --> 0:04:37.000 disrupting what banks were trying to do. But I think 0:04:37.040 --> 0:04:39.480 we've come full circle on that. We are now at 0:04:39.480 --> 0:04:42.160 a point where it's not about disruption. It's about collaboration 0:04:42.680 --> 0:04:45.599 and how can banks and FinTechs work together to deliver 0:04:45.640 --> 0:04:47.760 that value to our shared clients. And a lot of 0:04:47.760 --> 0:04:50.160 that boils down to shared values. What are we all 0:04:50.200 --> 0:04:53.440 trying to do. We're trying to enable an ecosystem where 0:04:53.760 --> 0:04:57.680 technology serves that we do deliver on that promise of efficiency, 0:04:57.720 --> 0:05:00.520 where we're simplifying the lives for advisors, and ultimately that 0:05:00.560 --> 0:05:04.359 results in a market where more people can be helped 0:05:04.400 --> 0:05:05.479 by financial advisors. 0:05:05.839 --> 0:05:09.280 You mentioned about partnering up with Conquest Planning. What other 0:05:09.440 --> 0:05:12.360 big tech providers do you plan to work with or 0:05:12.680 --> 0:05:14.880 hope to If you can give us any divulge some 0:05:14.920 --> 0:05:15.640 of that information. 0:05:16.320 --> 0:05:18.719 So another one I can share that we announced recently 0:05:18.720 --> 0:05:21.680 with Snowflake. That's a huge partnership for us where we're 0:05:21.680 --> 0:05:26.640 bringing the capabilities of cloud and data optimization to our clients. 0:05:26.960 --> 0:05:29.760 We have a handful of other ones, but I know 0:05:29.800 --> 0:05:31.359 I can't share them until tomorrow morning. 0:05:32.320 --> 0:05:36.200 I we'll report that tomorrow. Down here from or land out. 0:05:37.440 --> 0:05:40.880 You're listening to the team Can's are live program Bloomberg 0:05:40.920 --> 0:05:43.279 Markets weekdays at ten am Eastern. 0:05:42.960 --> 0:05:44.520 On Bloomberg dot com, the. 0:05:44.520 --> 0:05:47.640 iHeartRadio app and the Bloomberg Business app, or listen on 0:05:47.720 --> 0:05:49.840 demand wherever you get your podcasts. 0:05:52.279 --> 0:05:54.919 Joining us here at live is Tanya Bottoms. She's a 0:05:54.960 --> 0:05:58.159 managing director and senior managing counsel for BE and My Melon. 0:05:58.200 --> 0:06:00.640 We want to talk about diversity and inclusion. That is 0:06:00.680 --> 0:06:04.679 a challenge across society, across the economy, across corporate America, 0:06:04.720 --> 0:06:07.120 and certainly within the financial services industry. So Tony, thanks 0:06:07.120 --> 0:06:09.520 so much for joining us. Thanks for having me talk 0:06:09.560 --> 0:06:11.600 to us about you know, we're surrounded here by all 0:06:11.600 --> 0:06:14.839 types of financial services people. Talk to us about the 0:06:14.880 --> 0:06:18.479 financial services industry in terms of diversity inclusion. Where is 0:06:18.520 --> 0:06:22.400 the industry today versus ten years ago? And where does 0:06:22.440 --> 0:06:22.919 it need to go? 0:06:23.600 --> 0:06:26.240 I mean, look, I think what we really talk about 0:06:26.400 --> 0:06:31.360 is the opportunity in financial services. Even just looking around 0:06:31.520 --> 0:06:37.520 this conference, seeing all the different people and backgrounds, the 0:06:37.960 --> 0:06:43.719 opportunity within financial services to bring your individual perspective to your. 0:06:43.600 --> 0:06:45.279 Work is huge. 0:06:46.320 --> 0:06:51.240 Representation is definitely growing across the industry. We still have 0:06:51.640 --> 0:06:55.080 a lot of work to do, but the opportunity to 0:06:55.200 --> 0:07:01.119 show how diverse thought, diverse perspective, diverse experience can really 0:07:01.200 --> 0:07:07.359 positively impact how we bring services to the broader community. 0:07:08.600 --> 0:07:13.800 It creates a big opportunity for people to experience diverse perspectives, 0:07:14.640 --> 0:07:17.480 to work with someone who may not necessarily look like them, 0:07:17.600 --> 0:07:23.000 right through that collaboration push for positive community impact and 0:07:23.080 --> 0:07:23.720 business outcome. 0:07:23.720 --> 0:07:26.800 All Right, So if I walk into a financial services firm, 0:07:27.000 --> 0:07:31.080 you know, any town, USA, and there's forty advisors there, 0:07:31.560 --> 0:07:34.559 how many are going to be you know, maybe non 0:07:34.680 --> 0:07:37.640 Caucasian mail. Somebody's gonna look like me, a middle aged 0:07:37.840 --> 0:07:39.920 white guy. I mean, how diverse are we today? And 0:07:40.000 --> 0:07:43.080 kind of how much more has to be done? 0:07:43.120 --> 0:07:46.640 Do you think your representation question is the you know, 0:07:47.160 --> 0:07:54.280 is the seminal one and absolutely as the as the 0:07:54.280 --> 0:07:58.760 population of financial advisors is aging. 0:08:00.800 --> 0:08:03.200 There will be some shift in that representation. 0:08:03.480 --> 0:08:09.520 Financial advisors are actively looking to diversify their practices because 0:08:09.560 --> 0:08:12.520 they want to be able to serve the communities in 0:08:12.560 --> 0:08:18.000 which they live and reside. To your point, yes, the 0:08:18.080 --> 0:08:23.040 numbers are still overwhelmingly non diverse, but there is a 0:08:23.080 --> 0:08:29.480 lot of effort and actual intention, not just thought, around 0:08:29.520 --> 0:08:30.760 how we're actually going. 0:08:30.760 --> 0:08:31.960 To change those numbers. 0:08:32.440 --> 0:08:38.640 So it's bringing financial services into schools so that students, 0:08:38.880 --> 0:08:42.360 even at some of the most young ages, understand what 0:08:42.520 --> 0:08:45.640 they could do in a field like this and seeing people. 0:08:45.320 --> 0:08:47.160 Who look like them. 0:08:47.360 --> 0:08:51.319 How we're bringing financial services to the community, whether that's 0:08:51.440 --> 0:08:56.560 through pro bono financial work or through other mentoring and 0:08:56.720 --> 0:09:00.760 sponsorship programs where we're you know, bringing the depth and 0:09:00.800 --> 0:09:04.960 breath of financial services to life. So we have a 0:09:05.000 --> 0:09:09.080 lot of ground to cover, but I'm optimistic about where 0:09:09.120 --> 0:09:09.600 we'll end. 0:09:10.559 --> 0:09:14.280 When you talk about representation growing in the financial industry, 0:09:14.360 --> 0:09:17.640 what specific corners do you see improvement right now? 0:09:18.880 --> 0:09:23.640 So I think we've definitely seen the improvement from a 0:09:23.679 --> 0:09:31.800 gender perspective, where the representation of genders has definitely grown, 0:09:32.120 --> 0:09:36.240 and you've seen more of a balance. I think we 0:09:36.280 --> 0:09:42.640 still have opportunity with regard to our LBGTQ population as 0:09:42.679 --> 0:09:47.280 well as you know with our ethnic representations. 0:09:48.720 --> 0:09:50.320 Seeing senior. 0:09:51.480 --> 0:09:59.439 Women, men who are from those various ethnic groups, from 0:09:59.440 --> 0:10:04.040 those various identities, having more visibility, more senior leadership roles 0:10:05.320 --> 0:10:08.800 is something that will have to have a lot of 0:10:08.880 --> 0:10:12.240 more action and attention around in order to see those 0:10:12.320 --> 0:10:13.079 numbers go up. 0:10:13.920 --> 0:10:16.000 Are there certain you know, I'm just wondering, are there 0:10:16.000 --> 0:10:18.200 certain parts of the financial services industry that are doing 0:10:18.240 --> 0:10:21.840 better than others, maybe some consumer facing versus back office 0:10:22.280 --> 0:10:24.000 have you? Are there certain areas that are doing better 0:10:24.000 --> 0:10:24.640 than others? 0:10:24.880 --> 0:10:31.480 So historically I think more of the operational focused areas 0:10:32.080 --> 0:10:39.440 have represented more diverse numbers. What we have seen though, 0:10:39.520 --> 0:10:47.280 is as those numbers climb in increased responsibility or more seniority, 0:10:47.679 --> 0:10:51.320 then you start to see some of that balance than out. 0:10:52.080 --> 0:10:57.760 So definitely looking internally where the talent is already there, 0:10:58.559 --> 0:11:02.880 and looking for ways to create additional career paths and 0:11:03.520 --> 0:11:05.840 how to take the experience that they've had in one 0:11:05.880 --> 0:11:09.560 area and where are those transferable skills applicable in another 0:11:09.600 --> 0:11:11.319 part of the financial services world. 0:11:11.760 --> 0:11:14.120 When you talk about the management positions, what do you 0:11:14.160 --> 0:11:16.400 think has been typically the issues that have stood in 0:11:16.400 --> 0:11:20.400 the way, whether it's females or the LGBTQ community from 0:11:20.400 --> 0:11:23.080 trying to get more towards those promotions that you were 0:11:23.160 --> 0:11:23.800 talking about. 0:11:24.920 --> 0:11:28.120 You know, I think there's a there's a lot of 0:11:28.760 --> 0:11:33.840 research around this. One of the challenges that we all 0:11:33.920 --> 0:11:41.520 face is you you know, everyone has a natural affinity 0:11:41.880 --> 0:11:47.120 to work with, engage with, get to know people who 0:11:47.160 --> 0:11:52.960 are more like them. So creating the opportunities for engagement, 0:11:53.160 --> 0:11:58.160 creating the opportunities for you know, senior leaders to get 0:11:58.200 --> 0:12:04.600 to know the diverse LBGTQ or gender diverse talent in 0:12:04.640 --> 0:12:09.040 their organizations, more of those opportunities are are being created. 0:12:10.000 --> 0:12:12.640 So how about is just as important, but. 0:12:12.720 --> 0:12:18.240 Also understanding and knowing those pathways to leadership is equally important. 0:12:18.720 --> 0:12:22.600 I've done a lot of college campus recruiting for investment 0:12:22.640 --> 0:12:24.640 banking firms over my career, and you go down there 0:12:24.679 --> 0:12:27.920 and you make your pitch and for if going to 0:12:27.960 --> 0:12:32.120 a historically black or university or college, what's the success 0:12:32.160 --> 0:12:35.160 rate that a financial services firm has. I mean, they 0:12:35.200 --> 0:12:37.199 are they having successes that where some of the kids 0:12:37.280 --> 0:12:38.960 want to go into financial services. 0:12:39.440 --> 0:12:44.560 Yes, you know, and I know you mentioned HBCUs, but 0:12:45.520 --> 0:12:50.880 it's true of college campuses right across the country. Having 0:12:50.960 --> 0:12:56.760 the high school and college students understand the different careers 0:12:56.800 --> 0:12:59.160 that you can have in financial services. 0:13:00.200 --> 0:13:02.440 Has to be eye opening. My background is that I'm 0:13:02.480 --> 0:13:02.920 a lawyer. 0:13:04.120 --> 0:13:06.400 When I was in law school, I would never have 0:13:07.000 --> 0:13:10.320 described to you the job that I have today in 0:13:10.360 --> 0:13:15.800 financial services. So having college students and high school students 0:13:15.800 --> 0:13:20.200 and others actually see people doing the things that they 0:13:20.200 --> 0:13:24.120 could potentially do will create, I think one a lot 0:13:24.160 --> 0:13:26.760 of that interest and take away a lot of that 0:13:26.840 --> 0:13:32.679 mystique around how do you get into these financial services firms? 0:13:32.720 --> 0:13:33.679 What can you do if you. 0:13:33.640 --> 0:13:36.920 Don't necessarily just want to be a financial advisor? 0:13:37.040 --> 0:13:37.199 Right? 0:13:37.320 --> 0:13:39.360 Exactly? All right, Tanya, thank you so much for joining us. 0:13:39.760 --> 0:13:43.480 Tanya Bottoms, she's a managing director and senior managing counsel 0:13:43.720 --> 0:13:46.920 for BNYML and talking about diversity inclusion. It is a 0:13:46.960 --> 0:13:50.680 key issue across corporate American, including the financial services industry, 0:13:50.679 --> 0:13:53.000 and it is front and center here at the Insight conference. 0:13:53.000 --> 0:13:55.800 We appreciate getting some comments from Tanya. They're looking at 0:13:55.840 --> 0:13:58.160 the market chare I mean, there's so much you're. 0:13:58.000 --> 0:14:01.360 Listening to the tape catch are alive Graham Bloomberg Markets 0:14:01.440 --> 0:14:04.800 weekdays at ten am Eastern on Bloomberg Radio, the tune 0:14:04.880 --> 0:14:06.679 in app, Bloomberg dot Com. 0:14:06.400 --> 0:14:07.840 And the Bloomberg Business App. 0:14:07.880 --> 0:14:10.679 You can also listen live on Amazon Alexa from our 0:14:10.720 --> 0:14:14.319 flagship New York station, Just say Alexa Play Bloomberg. 0:14:14.360 --> 0:14:15.359 Eleven thirty. 0:14:17.440 --> 0:14:20.520 We are live from the World Center Marion in Orlando, Florida, 0:14:20.560 --> 0:14:23.720 at the B and Y Melon Pershing Insight Conference. Two 0:14:23.760 --> 0:14:28.400 thousand members of the financial advice community gather here for learning, inspiration, 0:14:28.640 --> 0:14:32.200 and networking. I want to talk about alternative investing. I mean, 0:14:32.240 --> 0:14:35.040 it's a big thing for institutional investors, not so much 0:14:35.160 --> 0:14:38.640 for independent retail investors. Our next guest wants to change that. 0:14:38.680 --> 0:14:42.240 Matt Brown. He's a founder and CEO of CASE. Matt 0:14:42.240 --> 0:14:44.280 Dix so much for joining us here at the conference. 0:14:44.560 --> 0:14:47.080 Talk to us about what you guys do at CASE. 0:14:47.360 --> 0:14:49.000 Paul, thanks so much for having me on the show. 0:14:49.880 --> 0:14:53.080 But this is a very exciting time for financial advisors 0:14:53.120 --> 0:14:56.000 to be able to get access really at the level 0:14:56.000 --> 0:15:00.520 of institutions to alternative investments. And when we say alternative investments, 0:15:00.560 --> 0:15:05.280 we're really talking about institutional quality, private equity, private credit, 0:15:05.600 --> 0:15:09.600 hedge fund strategies, real estate strategies, the things that and 0:15:09.680 --> 0:15:13.960 strategy that the institutions have been putting capital behind for decades 0:15:14.240 --> 0:15:18.000 that have largely been off limits for financial advisors and 0:15:18.080 --> 0:15:21.960 their clients. And what our platform does as a technology company, 0:15:22.280 --> 0:15:25.280 we actually have a marketplace platform where financial advisors for 0:15:25.320 --> 0:15:29.600 the first time can come onto the platform, look at strategies, 0:15:29.760 --> 0:15:32.880 understand those strategies, and invest in those strategies on behalf 0:15:32.920 --> 0:15:33.560 of their clients. 0:15:33.720 --> 0:15:37.200 Can they get financial advisors, regiro investment advisors. Can they 0:15:37.200 --> 0:15:40.760 get access to or is access provided by a KKR 0:15:41.240 --> 0:15:43.880 car level? I mean, are any of their funds open 0:15:43.960 --> 0:15:45.080 to retailers? 0:15:45.840 --> 0:15:46.720 Now? All of them are? 0:15:46.880 --> 0:15:50.080 Oh, you've just hit upon probably one of the biggest 0:15:50.120 --> 0:15:53.400 trends in alternative asset management. From the perspective of the 0:15:53.400 --> 0:15:56.800 asset manager. You're seeing all the firms you just mentioned, 0:15:56.840 --> 0:16:00.040 the Blackstones, the Apollos, the Carlisles, the kkrs and so 0:16:00.080 --> 0:16:03.680 many others that are not those daily household names making 0:16:03.720 --> 0:16:07.320 sure that wealth management becomes a priority for growing their 0:16:07.320 --> 0:16:10.200 asset base and diversifying their asset base. And this is 0:16:10.240 --> 0:16:13.760 actually a good thing because what's happening is they've always 0:16:13.960 --> 0:16:16.720 thought about wealth as a source of capital of growth, 0:16:16.920 --> 0:16:18.760 but they never really focused on it to the point 0:16:18.800 --> 0:16:22.760 where they would necessarily create unique investment vehicles or really 0:16:22.800 --> 0:16:26.680 cater specifically to that market. Well, that game's over, and 0:16:26.720 --> 0:16:29.520 it's over because there are trillions of dollars about to 0:16:29.560 --> 0:16:32.640 come into that market for them, and they want to 0:16:32.640 --> 0:16:33.520 be able to capture that. 0:16:34.160 --> 0:16:38.320 Matt, this is Jess flitting in for an area doing well. 0:16:38.360 --> 0:16:41.000 I wanted to ask you about this rise of the 0:16:41.040 --> 0:16:45.280 modern three dimensional portfolio. Talk to us about what that is, holloworks. 0:16:45.920 --> 0:16:48.560 Sure, well, I think we all know the traditional sixty 0:16:48.680 --> 0:16:51.480 forty portfolio. That term has been around quite a long time, 0:16:52.400 --> 0:16:55.760 but it was never one that was adopted by institutional investors. 0:16:55.760 --> 0:16:58.240 There is always that what we're now calling the modern 0:16:58.280 --> 0:17:01.920 three dimensional portfolio, where it's maybe more of a fifty 0:17:02.440 --> 0:17:07.480 thirty twenty and twenty being alternative investments. Now institutions have 0:17:07.680 --> 0:17:10.800 all closer to forty or fifty percent, But we're saying 0:17:10.800 --> 0:17:14.600 to the RIA or to the advisor on behalf of 0:17:14.640 --> 0:17:17.280 their client, let's just try to get those allocations up 0:17:17.280 --> 0:17:20.560 to ten percent, fifteen and twenty percent, and that really 0:17:20.560 --> 0:17:23.640 gives a more well balanced portfolio that stands a much 0:17:23.640 --> 0:17:27.040 better chance in uncertain markets like we're in right now 0:17:27.280 --> 0:17:28.679 to perform for the long term. 0:17:28.760 --> 0:17:31.600 And when you're talking about uncertain markets, how does this 0:17:31.760 --> 0:17:34.520 play into Obviously everybody's looking ahead to next week with 0:17:34.560 --> 0:17:37.920 the Federal Reserve decision, expecting a potential pause but maybe 0:17:37.960 --> 0:17:41.000 a skip rather we could see potential another hike in July. 0:17:41.160 --> 0:17:43.359 How does that affect when you're trying to obviously have 0:17:43.440 --> 0:17:45.280 these allocations in these portfolios. 0:17:45.800 --> 0:17:49.879 Well, uncertainty overall, whether it's rising or unknown levels of 0:17:49.920 --> 0:17:55.919 interest rates, or global macro uncertainty or election uncertainty. You know, 0:17:55.960 --> 0:17:58.320 you can kind of laundry list out the things that 0:17:58.359 --> 0:18:02.080 are giving and financial advisors of anxiety right now about 0:18:02.200 --> 0:18:06.280 making sure that their portfolios are performing. But a different 0:18:06.320 --> 0:18:10.000 alternative investment strategies, whether there are private equity or venture 0:18:10.320 --> 0:18:13.440 investing or private credit investing, they all have a home 0:18:13.480 --> 0:18:16.280 and a portfolio based on different market cycles, and they 0:18:16.320 --> 0:18:19.960 have that impact of dampening volatility and getting access to 0:18:20.200 --> 0:18:22.800 certain types of investments that are not made available in 0:18:22.840 --> 0:18:24.119 the traditional public market. 0:18:24.640 --> 0:18:28.800 So your typical registered investment advisor, to the extent they 0:18:28.840 --> 0:18:31.479 have been reluctant to put their clients into alternatives, has 0:18:31.520 --> 0:18:34.240 it been a I don't necessarily understand the asset class 0:18:34.440 --> 0:18:37.960 or B. It's just not easy to do. The technology 0:18:38.000 --> 0:18:39.159 is not there, It's not easy for me to do 0:18:39.240 --> 0:18:41.000 as opposed to just pushing a button and buying a stock. 0:18:41.400 --> 0:18:45.560 Short answer, yes, okay to both and several other things. 0:18:45.960 --> 0:18:48.199 The entire alternative. 0:18:47.520 --> 0:18:52.760 Investment process, from education to execution to management of a 0:18:52.760 --> 0:18:56.400 portfolio once you own alternatives has really only been designed 0:18:56.440 --> 0:18:59.920 for large institutional investors. What CASE has done is it's 0:19:00.119 --> 0:19:03.040 use technology to break down all the pain points along 0:19:03.080 --> 0:19:06.440 the way to make alternative investing as easy to invest 0:19:06.480 --> 0:19:09.639 in as say a mutual fund or ETFs. Now, that 0:19:09.680 --> 0:19:12.520 doesn't address the biggest issue though, what it is. Survey 0:19:12.600 --> 0:19:16.760 with recently with Mercer, large global consulting firm, and it's 0:19:16.920 --> 0:19:20.679 nine out of ten financial advisors find that it's a 0:19:20.760 --> 0:19:24.560 lack of education and understanding of strategies that really prevents 0:19:24.600 --> 0:19:27.040 them from putting money or more capital to work in alts. 0:19:27.359 --> 0:19:30.719 So that's why CASE is really, you know, invested in 0:19:30.760 --> 0:19:36.080 and will continue to invest in modern ways of delivering content, 0:19:36.520 --> 0:19:40.800 strategy information, implementation information to financial advisors. 0:19:41.160 --> 0:19:44.119 Now, what are you hearing from clients specifically when it 0:19:44.160 --> 0:19:46.159 comes to what they're looking for when it comes to 0:19:46.280 --> 0:19:48.160 alternative investments. 0:19:49.119 --> 0:19:52.760 Well, our client, and that's a good point distinction. Our 0:19:52.800 --> 0:19:55.960 client is the financial advisor, and then they have clients, 0:19:55.960 --> 0:19:59.480 which are the individual investors. So what we're hearing generally 0:19:59.480 --> 0:20:02.280 bubble up through the financial advisor is that they want 0:20:02.320 --> 0:20:04.840 strategies right now that will one give them access to 0:20:05.600 --> 0:20:08.720 huge growth opportunities that are not readily available in the 0:20:08.720 --> 0:20:09.479 public markets. 0:20:09.480 --> 0:20:10.679 So that would be private equity. 0:20:11.080 --> 0:20:14.159 So much of our growth economy is in private equity 0:20:14.240 --> 0:20:16.440 or private markets, So that's number one. 0:20:16.440 --> 0:20:19.080 They want to participate in the growth of America. 0:20:19.440 --> 0:20:22.160 And if they're not investing in private markets or private equity, 0:20:22.040 --> 0:20:26.160 they're not getting a large swath of that opportunity too. 0:20:26.240 --> 0:20:30.600 They really want to see income oriented strategies like private 0:20:30.640 --> 0:20:33.600 credit have an impact on their portfolio and more and 0:20:33.640 --> 0:20:36.399 more so we're seeing now as a platform again, just 0:20:36.400 --> 0:20:38.720 to kind of take a half step back, as a platform, 0:20:38.760 --> 0:20:41.359 we don't tell advisors where to put money. We just 0:20:41.480 --> 0:20:44.840 observe where money goes. So we're seeing trends in data. 0:20:45.280 --> 0:20:48.000 More and more capital we're seeing now flowing into what 0:20:48.400 --> 0:20:52.639 would be traditionally called macro trading strategies, Asset managers that 0:20:52.720 --> 0:20:56.080 have real flexibility to look at different opportunities and volatility 0:20:56.119 --> 0:20:57.800 globally and make bets. 0:20:58.520 --> 0:21:00.480 Matt just met the thirty seconds left. What's a question 0:21:00.560 --> 0:21:03.760 you're getting most often here on the floor from your customers. 0:21:04.119 --> 0:21:06.639 You know, it's back to how do I get started? 0:21:06.720 --> 0:21:06.880 Yea? 0:21:07.080 --> 0:21:09.600 You know, there is, of course a large community of 0:21:09.640 --> 0:21:13.159 financial advisors that are fluent in alternative investments, but the 0:21:13.280 --> 0:21:16.640 vast majority are just getting started. And so we always say, 0:21:17.000 --> 0:21:20.280 you know, sign up for Case, have the tools that 0:21:20.320 --> 0:21:22.879 we can deliver and arm you to be competitive in 0:21:22.880 --> 0:21:26.440 building your client's portfolios, and we can begin to walk 0:21:26.480 --> 0:21:27.639 you through those beginning steps. 0:21:27.800 --> 0:21:30.080 All right, great stuff, Really appreciate it, Matt Brown, He's 0:21:30.119 --> 0:21:32.480 a founder and CEO of CASE. 0:21:34.080 --> 0:21:35.240 You're listening to the team. 0:21:35.600 --> 0:21:39.000 Can's our live program Bloomberg Markets weekdays at ten am 0:21:39.040 --> 0:21:42.399 Eastern on Bloomberg dot Com, the iHeartRadio app, and the 0:21:42.440 --> 0:21:45.480 Bloomberg Business App, or listen on demand wherever you get 0:21:45.520 --> 0:21:46.320 your podcasts. 0:21:48.960 --> 0:21:51.560 Right now, let's head back. We are back here down 0:21:51.600 --> 0:21:53.600 in Orlando. We're live from the World Center Marion in 0:21:53.720 --> 0:21:57.600 Orlando at the BNY melon Pershing Insight Conference. Two thousand 0:21:57.640 --> 0:22:00.879 members of the financial advice community. You're gathering here for learning, 0:22:00.960 --> 0:22:04.680 inspiration and a lot of networking, and they network very well. 0:22:04.720 --> 0:22:07.280 I can tell you that. Joining us here right next 0:22:07.280 --> 0:22:09.440 to me is Stephanie Pearce. He's the CEO at Dreyfus 0:22:09.480 --> 0:22:11.960 Melon and Exchange Trade of funds at B and Y Mellon. 0:22:12.240 --> 0:22:15.560 WHOA wow, there's a lot going on that you do, Stephanie, 0:22:15.600 --> 0:22:17.880 talk to us about kind of what your what's your 0:22:17.880 --> 0:22:20.479 focus here at this insight conference today? What do you 0:22:20.640 --> 0:22:21.920