1
00:00:00,120 --> 00:00:02,560
Speaker 1: Brian one, and I had alongside us the chairman CEO

2
00:00:02,840 --> 00:00:03,720
Speaker 1: of Bank for America.

3
00:00:03,760 --> 00:00:05,840
Speaker 2: Afternoon, Brian, it's great to be here. Thank you for

4
00:00:05,880 --> 00:00:06,920
Speaker 2: having me. Good to see you.

5
00:00:07,200 --> 00:00:09,680
Speaker 1: Let's talk about this economy and the consumer. You are

6
00:00:09,720 --> 00:00:12,480
Speaker 1: the number one small business lender in the country. You've

7
00:00:12,520 --> 00:00:14,720
Speaker 1: got a massive retail business. What do you see them

8
00:00:14,800 --> 00:00:17,599
Speaker 1: right now versus where we were, say, twelve months ago.

9
00:00:18,120 --> 00:00:21,600
Speaker 2: So we got sixty six million consumers and we track

10
00:00:21,680 --> 00:00:23,320
Speaker 2: every week sort of how they move money in and

11
00:00:23,360 --> 00:00:26,360
Speaker 2: outther accounts, the credit debit card, spending checks, written cash

12
00:00:26,400 --> 00:00:29,760
Speaker 2: on the atm xell payments and everything, and so over

13
00:00:29,760 --> 00:00:31,280
Speaker 2: the last twelve months, they've gone from a year of

14
00:00:31,360 --> 00:00:33,919
Speaker 2: year growth rate in the first part of twenty three

15
00:00:34,040 --> 00:00:36,479
Speaker 2: versus twenty two of ten percent down to year year

16
00:00:36,479 --> 00:00:39,000
Speaker 2: growth rate now four and a half five percent in December,

17
00:00:39,120 --> 00:00:42,120
Speaker 2: in the first part of January, pretty consistent since the Midsummer.

18
00:00:42,280 --> 00:00:44,199
Speaker 2: Now that's good news and bad news. The good news

19
00:00:44,320 --> 00:00:46,640
Speaker 2: is it's slowed down because it's more consistent where it

20
00:00:46,720 --> 00:00:49,800
Speaker 2: was sixteen seventeen eighteen, sort of low inflation, lower growth economy,

21
00:00:49,960 --> 00:00:52,479
Speaker 2: meaning the drag effect is starting to tame their behavior,

22
00:00:52,479 --> 00:00:55,360
Speaker 2: which helps feel inflation. The bad news is as they're

23
00:00:55,360 --> 00:00:57,880
Speaker 2: slowing down. You know, our core prediction by our research team,

24
00:00:57,880 --> 00:00:59,560
Speaker 2: which is the best in the world, is we go

25
00:00:59,600 --> 00:01:01,280
Speaker 2: from all to four and a half whatever it was

26
00:01:01,280 --> 00:01:03,400
Speaker 2: in the third quarter growth rate to a one percent

27
00:01:03,480 --> 00:01:06,360
Speaker 2: positive soft landing. That's still a quick slowdown.

28
00:01:06,640 --> 00:01:08,840
Speaker 1: Mike Gaben, who leaves that same on the economic side

29
00:01:08,840 --> 00:01:10,399
Speaker 1: of things, looking for that early rate cut from the

30
00:01:10,400 --> 00:01:13,560
Speaker 1: feeder reserve in say March, based on what you are seeing,

31
00:01:13,600 --> 00:01:15,880
Speaker 1: do you think that's necessary that the Fella reserve would

32
00:01:15,880 --> 00:01:17,320
Speaker 1: need to be doing that as early as March.

33
00:01:17,360 --> 00:01:19,200
Speaker 2: Well, you've seen the marketplay out here a pretty good

34
00:01:19,200 --> 00:01:21,880
Speaker 2: swing on that debate. But then it's great. Our core

35
00:01:21,880 --> 00:01:24,679
Speaker 2: team has four cuts and four cuts twenty four and

36
00:01:24,720 --> 00:01:27,200
Speaker 2: twenty five, and so if you sort of sort that through,

37
00:01:27,520 --> 00:01:29,399
Speaker 2: people would interpret that. But that is actually higher for

38
00:01:29,440 --> 00:01:31,920
Speaker 2: longer because you came off of twenty five basis points

39
00:01:31,920 --> 00:01:33,199
Speaker 2: and if you end up at three and a half

40
00:01:34,400 --> 00:01:37,280
Speaker 2: next year, eight quarters away from now, so I think

41
00:01:37,680 --> 00:01:39,640
Speaker 2: the team might get the team they're basically they're saying

42
00:01:39,680 --> 00:01:41,120
Speaker 2: they're gonna have to start cutting because they have a

43
00:01:41,160 --> 00:01:43,360
Speaker 2: space to cut in the economy can keep growing. And

44
00:01:43,400 --> 00:01:44,560
Speaker 2: the last thing you want to do is tip this

45
00:01:44,600 --> 00:01:47,600
Speaker 2: thing over. And so the consumer spending good shape, their

46
00:01:47,600 --> 00:01:50,120
Speaker 2: credits in pretty good shape. The credit statistics, everybody's all

47
00:01:50,120 --> 00:01:53,160
Speaker 2: it's normalizing. It's normalizing nineteen and eighteen. Those are like

48
00:01:53,200 --> 00:01:56,080
Speaker 2: fifty year good records in our company. It's not normalizing

49
00:01:56,120 --> 00:02:00,200
Speaker 2: to stress, it's normalized in the the base case. Think

50
00:02:00,240 --> 00:02:03,200
Speaker 2: about that they've got access to credit. Inflation hurts, especially

51
00:02:03,320 --> 00:02:06,280
Speaker 2: meetia income. That's tough on people. That's what you read about.

52
00:02:06,560 --> 00:02:07,720
Speaker 2: But at the end of the day, they've got to

53
00:02:07,760 --> 00:02:10,040
Speaker 2: set up so they have to start cutting less the

54
00:02:10,120 --> 00:02:12,440
Speaker 2: drag gets too strong, and the housing market's got to

55
00:02:12,440 --> 00:02:15,520
Speaker 2: get a little more moop to it. You've got to

56
00:02:15,520 --> 00:02:17,200
Speaker 2: get a little car purchases up. You got get these

57
00:02:17,200 --> 00:02:18,639
Speaker 2: things that kind of keep the connery roll on.

58
00:02:19,000 --> 00:02:21,520
Speaker 3: Just on the housing point, how much do rates have

59
00:02:21,560 --> 00:02:23,880
Speaker 3: to drop before you really see the mortgage market come back.

60
00:02:24,120 --> 00:02:26,160
Speaker 2: Well, I think there'll be two parts of that equation.

61
00:02:27,440 --> 00:02:29,440
Speaker 2: If you've got to all all the people and the

62
00:02:29,480 --> 00:02:31,960
Speaker 2: consumers say, if you get a six handle consistently, even

63
00:02:32,200 --> 00:02:34,200
Speaker 2: you know, I five's low sixes, then people sort of

64
00:02:34,200 --> 00:02:37,919
Speaker 2: get just need time too. And so when I got

65
00:02:37,919 --> 00:02:39,240
Speaker 2: my first mortgage eight and a half. I thought I

66
00:02:39,240 --> 00:02:41,640
Speaker 2: had a deal. You know, I first went into business

67
00:02:42,000 --> 00:02:44,640
Speaker 2: in the primary was twenty three and so, but I

68
00:02:44,720 --> 00:02:47,120
Speaker 2: was everybody's used to that. People aren't used to. So

69
00:02:47,200 --> 00:02:48,880
Speaker 2: it's going to just take time for them to think

70
00:02:48,919 --> 00:02:51,200
Speaker 2: about it differently and get used to. The pricing's got

71
00:02:51,200 --> 00:02:54,520
Speaker 2: to flatten out and adjust their wayes have to come up.

72
00:02:55,240 --> 00:02:58,240
Speaker 2: But the good news is, you know, most Americans have

73
00:02:58,240 --> 00:03:00,400
Speaker 2: a fixed rate mortgage, which in an invert sort of

74
00:03:00,800 --> 00:03:03,239
Speaker 2: a is an asset right now and to have against

75
00:03:03,240 --> 00:03:05,000
Speaker 2: the market. And so it's going to be slow in

76
00:03:05,000 --> 00:03:06,520
Speaker 2: the first part of next year. It should start picking

77
00:03:06,600 --> 00:03:07,920
Speaker 2: up as people get more and more used to this.

78
00:03:08,040 --> 00:03:10,360
Speaker 2: And frankly, there's just a turn of in a housing

79
00:03:10,400 --> 00:03:14,600
Speaker 2: because people get divorced, get sick, you die, move to

80
00:03:14,639 --> 00:03:18,040
Speaker 2: bigger house. Those are very plasive things. But the rallities,

81
00:03:18,080 --> 00:03:22,600
Speaker 2: that's what happens die, So there's always an activity. It's

82
00:03:22,600 --> 00:03:25,400
Speaker 2: just that the refinance activities were mortgage driven. But that's

83
00:03:25,560 --> 00:03:28,200
Speaker 2: that's done for a while. But the purchase activity will

84
00:03:28,200 --> 00:03:30,560
Speaker 2: pick up because people have kids in one houses and

85
00:03:30,560 --> 00:03:30,920
Speaker 2: things like that.

86
00:03:30,960 --> 00:03:32,840
Speaker 3: I'm curious, you know, in your in your earnings call

87
00:03:33,160 --> 00:03:37,120
Speaker 3: you express some cautiousness around your outlook. Other CEOs of

88
00:03:37,200 --> 00:03:39,640
Speaker 3: certain financial firms have been less so, particularly at this

89
00:03:39,720 --> 00:03:42,080
Speaker 3: depic speeding. You talk about hiring, talking about the incredible

90
00:03:42,080 --> 00:03:45,360
Speaker 3: boom and m and a IPOs, everything coming back. How

91
00:03:45,360 --> 00:03:46,280
Speaker 3: do you explain the difference.

92
00:03:46,920 --> 00:03:50,240
Speaker 2: Well, we're cautious because economy is slowing down and that's

93
00:03:50,280 --> 00:03:51,920
Speaker 2: just how you have to manage expenses. You know, we

94
00:03:52,280 --> 00:03:55,280
Speaker 2: have a big enterprise. We over the course last year

95
00:03:55,280 --> 00:03:57,400
Speaker 2: probably went down four or five thousand headcount. We still

96
00:03:57,480 --> 00:04:00,640
Speaker 2: hired fifteen thousand people last year, so we are always

97
00:04:00,680 --> 00:04:03,000
Speaker 2: hired people hire one thousand to fifteen hundred people a month,

98
00:04:03,480 --> 00:04:05,320
Speaker 2: and with a turnover rate which has actually gone down

99
00:04:05,360 --> 00:04:07,440
Speaker 2: to six percent now probably the lowest we've ever had

100
00:04:07,440 --> 00:04:09,440
Speaker 2: and reasonably normal times in the company's history that we

101
00:04:09,480 --> 00:04:11,320
Speaker 2: can find you don't have to hire as many as

102
00:04:11,320 --> 00:04:14,040
Speaker 2: you did in the Great resignation. So we look three

103
00:04:14,080 --> 00:04:15,640
Speaker 2: years out for headcount. We plan into it, but it's

104
00:04:15,640 --> 00:04:17,040
Speaker 2: how you keep the expense. At the end of day.

105
00:04:17,160 --> 00:04:21,279
Speaker 2: Our expense phase sixty three billion, thirty eight forty billion

106
00:04:21,520 --> 00:04:25,280
Speaker 2: is people and so it's all about managing people and

107
00:04:25,279 --> 00:04:29,360
Speaker 2: then using AI and technology and applied technologies take work

108
00:04:29,400 --> 00:04:32,320
Speaker 2: away and migrate people to other places we need to work.

109
00:04:32,360 --> 00:04:36,680
Speaker 2: And so are we hiring commercial bankers absolutely, financial advisors absolutely,

110
00:04:37,360 --> 00:04:39,680
Speaker 2: middle market investment bankers will probably double that staff for

111
00:04:39,720 --> 00:04:42,200
Speaker 2: the next couple of years. Will be hiring salespeople in

112
00:04:42,200 --> 00:04:43,920
Speaker 2: the branches, yes, But at the same time, the service

113
00:04:44,240 --> 00:04:46,880
Speaker 2: side of that keeps going more digitized and automated even

114
00:04:46,920 --> 00:04:50,080
Speaker 2: deep and we had a billion two digital reactions and

115
00:04:50,080 --> 00:04:54,279
Speaker 2: consumer last quarter. Just think about that. And you still

116
00:04:54,320 --> 00:04:56,239
Speaker 2: have a lot that isn't so you can you always

117
00:04:56,240 --> 00:04:58,680
Speaker 2: get an event for that. So it's a balance. Core

118
00:04:58,720 --> 00:05:00,920
Speaker 2: economy we think is solid. Most people think I'm optimistic.

119
00:05:00,920 --> 00:05:02,839
Speaker 2: I'm just giving the facts of whether our talent team

120
00:05:02,880 --> 00:05:04,880
Speaker 2: tells us. But you know, at the end of the day,

121
00:05:04,880 --> 00:05:07,800
Speaker 2: you have to manage expenses because it's any flattens out

122
00:05:07,839 --> 00:05:11,480
Speaker 2: and then starts growing that rising income that's sixty percent

123
00:05:11,520 --> 00:05:12,000
Speaker 2: of revenue.

124
00:05:12,040 --> 00:05:13,480
Speaker 1: So you've got to make sure the expenses are in

125
00:05:13,520 --> 00:05:16,680
Speaker 1: line with the next question, Basil's three end game. It

126
00:05:16,680 --> 00:05:19,960
Speaker 1: sounds like a bad movie. Let's talk about it. Given

127
00:05:20,000 --> 00:05:23,719
Speaker 1: what's proposed, do you think it will go through as proposed?

128
00:05:23,839 --> 00:05:25,320
Speaker 2: And let's start with what's proposed.

129
00:05:25,360 --> 00:05:27,920
Speaker 1: What are the conversations what do they sound like between

130
00:05:27,960 --> 00:05:29,680
Speaker 1: you and regulates to the moment, I.

131
00:05:29,640 --> 00:05:32,240
Speaker 2: Think there's an openness. You don't have to really take

132
00:05:32,279 --> 00:05:33,720
Speaker 2: what I say, just listen to the people who are

133
00:05:33,720 --> 00:05:35,800
Speaker 2: going to actually have the vote. That people actually have

134
00:05:35,800 --> 00:05:39,120
Speaker 2: to prove it in the difference of opinion, which which

135
00:05:39,160 --> 00:05:40,960
Speaker 2: is a bit unusual. Honestly, I've been doing this stuff

136
00:05:41,000 --> 00:05:44,960
Speaker 2: around forty years and I've never seen the Board itself

137
00:05:45,040 --> 00:05:48,279
Speaker 2: have out in the open divergence of opinion. And that's

138
00:05:48,320 --> 00:05:52,719
Speaker 2: because what it affects is so penetrative across the society

139
00:05:52,880 --> 00:05:56,760
Speaker 2: small business lending, you know, mortgages, tax credit, equity deals,

140
00:05:56,800 --> 00:05:58,920
Speaker 2: training things. So a lot of what you heard after

141
00:05:58,920 --> 00:06:00,800
Speaker 2: the financial crisis really had about ten or twelve of

142
00:06:00,880 --> 00:06:04,160
Speaker 2: us that you know, we're making adjustments that. And then

143
00:06:04,160 --> 00:06:06,520
Speaker 2: another group came behind this goes deep and saying that's

144
00:06:06,520 --> 00:06:08,279
Speaker 2: what you hear more noise, and of course they're going

145
00:06:08,400 --> 00:06:11,400
Speaker 2: to their Congress team people, they're going to the regulations

146
00:06:11,400 --> 00:06:12,840
Speaker 2: and say, wait a second, is this what you want

147
00:06:12,880 --> 00:06:15,440
Speaker 2: to do? And so I think that means there's going

148
00:06:15,520 --> 00:06:18,000
Speaker 2: to be debate around changing and probably change, but we'll

149
00:06:18,040 --> 00:06:20,919
Speaker 2: see a play out and even you know, even the

150
00:06:20,960 --> 00:06:23,360
Speaker 2: FED itself has said that, do they have to change it? Yes,

151
00:06:23,360 --> 00:06:25,320
Speaker 2: because I don't think it's the right balance. And that's

152
00:06:25,360 --> 00:06:29,080
Speaker 2: why the comment letters flooded in Tuesday or whatever. It

153
00:06:29,160 --> 00:06:31,560
Speaker 2: was all over the place. And you know, we've made

154
00:06:31,560 --> 00:06:33,920
Speaker 2: the points clear. Twenty percent increase our capital doesn't seem

155
00:06:33,960 --> 00:06:36,920
Speaker 2: to make sense given where we are now. We have

156
00:06:37,040 --> 00:06:39,640
Speaker 2: one hundred and ninety five billion dollars of regulatory capital.

157
00:06:41,160 --> 00:06:43,479
Speaker 2: After you do this calculation, we need one hundred ninety

158
00:06:43,520 --> 00:06:46,040
Speaker 2: five billion dollars for Reggie capital. All sounds easy except

159
00:06:46,040 --> 00:06:47,760
Speaker 2: for the thirty billion dollars that was access right now.

160
00:06:47,839 --> 00:06:48,920
Speaker 2: You ought to be able to go out and make

161
00:06:48,920 --> 00:06:50,840
Speaker 2: loans when they do something that's like five or six

162
00:06:50,920 --> 00:06:53,479
Speaker 2: hundred billion dollars a lenning capacity to just got taken

163
00:06:53,520 --> 00:06:55,719
Speaker 2: away overnight. If this goes through it that we don't.

164
00:06:55,760 --> 00:06:57,039
Speaker 2: We're not sure that's right judgment right now.

165
00:06:57,040 --> 00:06:58,720
Speaker 1: There is this story that's going around at the moment,

166
00:06:58,720 --> 00:07:00,800
Speaker 1: and i'd love your perspective on it. On the asset

167
00:07:00,800 --> 00:07:03,880
Speaker 1: management side of things, they talk about de banking, They

168
00:07:03,920 --> 00:07:06,040
Speaker 1: talk about a lot of this activity shifting to private

169
00:07:06,080 --> 00:07:07,960
Speaker 1: credit markets. Can you give me your perspective on that?

170
00:07:07,960 --> 00:07:11,000
Speaker 1: How do you think that would really work out in practice.

171
00:07:10,480 --> 00:07:13,520
Speaker 2: So if you take a long arc, it's done. What

172
00:07:13,560 --> 00:07:15,400
Speaker 2: we're talking about now is the sort of private lending

173
00:07:15,400 --> 00:07:17,640
Speaker 2: at the edge, which is sort of upper middle market

174
00:07:17,720 --> 00:07:19,480
Speaker 2: leverage lending and things. But if you think about the

175
00:07:19,480 --> 00:07:22,200
Speaker 2: mortgage market, you think about the homemaking market is still

176
00:07:22,240 --> 00:07:24,600
Speaker 2: the banks because of difficulty of revolvers. The credit card

177
00:07:24,600 --> 00:07:27,400
Speaker 2: market is with the big banks, but it's actually we

178
00:07:27,680 --> 00:07:29,640
Speaker 2: took it through a non bank capacity US for the MBNA,

179
00:07:29,720 --> 00:07:32,160
Speaker 2: for example, and brought it back, so we own it,

180
00:07:32,200 --> 00:07:34,320
Speaker 2: but it was built in a different context when it

181
00:07:34,360 --> 00:07:38,040
Speaker 2: took you go to anything but a small business lending,

182
00:07:38,080 --> 00:07:42,040
Speaker 2: core middle market lending, auto lending. Almost every class is

183
00:07:42,120 --> 00:07:45,920
Speaker 2: half outside the banking system today. That is not the

184
00:07:45,960 --> 00:07:48,680
Speaker 2: worst thing because that means capital gets leveraged different ways

185
00:07:48,680 --> 00:07:50,600
Speaker 2: and the market speaks and drives it. And that's what

186
00:07:50,680 --> 00:07:52,760
Speaker 2: Europe doesn't have, is that kind of deep capital markets

187
00:07:52,760 --> 00:07:55,320
Speaker 2: allow them to get the capacity. It's good for fees

188
00:07:55,360 --> 00:07:57,880
Speaker 2: and investment bank in capital markets, it's not a great

189
00:07:57,880 --> 00:08:01,960
Speaker 2: thing when a company is under stress. The question of

190
00:08:02,040 --> 00:08:05,960
Speaker 2: a three hundred million dollar company in a private loan

191
00:08:06,000 --> 00:08:09,240
Speaker 2: fund where you don't have a workout attitude, you have

192
00:08:09,280 --> 00:08:11,600
Speaker 2: a trading attitude towards it, which is not right or wrong,

193
00:08:11,640 --> 00:08:13,920
Speaker 2: it's just a different attitude. That'll be an interesting question

194
00:08:13,920 --> 00:08:16,680
Speaker 2: of how that river rates an economy. But that's it's

195
00:08:16,760 --> 00:08:18,720
Speaker 2: largely out there. And we're talking at the margin about

196
00:08:18,840 --> 00:08:21,200
Speaker 2: these private loan funds, which is really a very narrow category.

197
00:08:21,520 --> 00:08:23,360
Speaker 3: Are you thinking about getting into private credit?

198
00:08:24,520 --> 00:08:26,760
Speaker 2: We are. We have five hundred million dollars of commercial loans,

199
00:08:26,800 --> 00:08:29,880
Speaker 2: a trillion dollars of commitments. They're all private credit loans.

200
00:08:29,960 --> 00:08:33,400
Speaker 2: We don't do hobby leverage transactions. It's hard for us.

201
00:08:33,520 --> 00:08:35,240
Speaker 3: Can you compete with the apology of the world, that's right.

202
00:08:35,280 --> 00:08:37,480
Speaker 2: I think we competed with them yesterday. I think we

203
00:08:37,800 --> 00:08:39,680
Speaker 2: and tomorrow. So I think we'll be find.

204
00:08:39,720 --> 00:08:41,840
Speaker 3: Going forward though, is it's going to be a part

205
00:08:41,880 --> 00:08:44,800
Speaker 3: of your revenue, especially as you are concerned about some

206
00:08:44,840 --> 00:08:47,080
Speaker 3: of the risks that are buildings. You said you seem

207
00:08:47,160 --> 00:08:49,199
Speaker 3: to hint that there's some risk building that's just sort

208
00:08:49,200 --> 00:08:51,400
Speaker 3: of out of the purview of regulators if it's just

209
00:08:51,400 --> 00:08:52,240
Speaker 3: shifting elsewhere.

210
00:08:52,760 --> 00:08:55,480
Speaker 2: And so the f SoC was conceptualized to deal with this, right,

211
00:08:55,760 --> 00:08:59,280
Speaker 2: and you can't it really, it's hard for it to

212
00:08:59,280 --> 00:09:02,520
Speaker 2: really deal with it because it's in what you think

213
00:09:02,600 --> 00:09:04,960
Speaker 2: net asset value funds, i e. The asset value is

214
00:09:04,960 --> 00:09:07,840
Speaker 2: not dependent on dollar deposits. So it's a little bit like, Okay,

215
00:09:07,880 --> 00:09:09,280
Speaker 2: a bunch of people lost some money. So if you

216
00:09:09,280 --> 00:09:11,920
Speaker 2: look at what happened in a financial crisis for leverage

217
00:09:11,920 --> 00:09:14,840
Speaker 2: funds and apply that to bank balance sheet like ours,

218
00:09:14,880 --> 00:09:17,000
Speaker 2: we'd a lost a half a trillion dollars to give

219
00:09:17,000 --> 00:09:20,240
Speaker 2: you a sense. It was a wipeout. It just got

220
00:09:20,280 --> 00:09:22,040
Speaker 2: spread through the system. So that's why it's not an

221
00:09:22,160 --> 00:09:25,959
Speaker 2: entirely bad thing to have that that shock absorber. It

222
00:09:26,000 --> 00:09:27,880
Speaker 2: goes in all our foreign k's and all our you know,

223
00:09:28,240 --> 00:09:30,240
Speaker 2: pageon funds and all that stuff. Not good, but just

224
00:09:30,280 --> 00:09:32,480
Speaker 2: spread so widely people don't feel it. It's not dollar

225
00:09:32,559 --> 00:09:34,240
Speaker 2: dependent lock that I got to get a dollar back

226
00:09:34,280 --> 00:09:36,880
Speaker 2: to the depositors. So there's some good things about this.

227
00:09:37,920 --> 00:09:40,440
Speaker 2: These things have and flow and come and go and stuff.

228
00:09:40,480 --> 00:09:43,199
Speaker 2: But you know, a lot of its stuff that we

229
00:09:43,240 --> 00:09:45,040
Speaker 2: wouldn't do, and the stuff that we look at that

230
00:09:45,080 --> 00:09:47,839
Speaker 2: we might do more of. You know, we can easily

231
00:09:47,840 --> 00:09:50,400
Speaker 2: accommodate with you know, a couple of billion dollars allocation

232
00:09:50,520 --> 00:09:54,000
Speaker 2: to certain types of industries a little more seven more,

233
00:09:54,120 --> 00:09:57,200
Speaker 2: you know, barely pass credits versus you know, fully passed credit.

234
00:09:57,360 --> 00:09:59,440
Speaker 2: We can do it and be competitive, but it's really

235
00:09:59,559 --> 00:10:02,240
Speaker 2: the margin fun a question. You know how it works out.

236
00:10:02,240 --> 00:10:04,400
Speaker 1: At Davos this week, if you have an American accent,

237
00:10:04,400 --> 00:10:06,680
Speaker 1: you'll be asked about the American election, the prospects of

238
00:10:06,679 --> 00:10:08,559
Speaker 1: Donald Trump coming back. I won't go there. I will

239
00:10:08,600 --> 00:10:09,840
Speaker 1: ask you this though, and you'll be used to this

240
00:10:09,920 --> 00:10:12,080
Speaker 1: on Wall Street. If you're a successful banker on Wall Street,

241
00:10:12,120 --> 00:10:14,520
Speaker 1: you guest asked this question in five years time or

242
00:10:14,520 --> 00:10:16,679
Speaker 1: will it be? Secretary Monihan? Is that how this is

243
00:10:16,720 --> 00:10:17,319
Speaker 1: going to work out.

244
00:10:18,480 --> 00:10:20,520
Speaker 2: I've got a big job, and I have a fun job.

245
00:10:20,520 --> 00:10:22,600
Speaker 2: More importantly, and I got a lot of years ahead.

246
00:10:22,600 --> 00:10:25,120
Speaker 2: It doesn't sound like fun down in Washington. I'll let

247
00:10:25,200 --> 00:10:27,560
Speaker 2: you be the judge of that. But you know, I think,

248
00:10:27,640 --> 00:10:32,240
Speaker 2: in the end of the day, good the I do

249
00:10:32,320 --> 00:10:33,880
Speaker 2: what I do, I love doing it. We have a

250
00:10:33,920 --> 00:10:37,240
Speaker 2: great company. It's fun to do. But you know, the

251
00:10:37,320 --> 00:10:39,560
Speaker 2: end of the day, we need good people servant washing.

252
00:10:39,679 --> 00:10:41,120
Speaker 2: It may not be me, but we need good people

253
00:10:41,120 --> 00:10:41,480
Speaker 2: to serving. No.

254
00:10:41,640 --> 00:10:43,559
Speaker 1: We've enjoyed catching up with you, sir. Thanks for beingming

255
00:10:43,600 --> 00:10:47,199
Speaker 1: to think. Brian Monahan, the chairman and CEO of Bank

256
00:10:47,280 --> 00:10:47,640
Speaker 1: for America,