1 00:00:06,080 --> 00:00:09,320 Speaker 1: Welcome new trillions. I'm Joel Lebert and I'm Eric Belchers. 2 00:00:09,800 --> 00:00:15,120 Speaker 1: This week we have some news. You mean the internal news. Yeah, okay, 3 00:00:16,160 --> 00:00:18,799 Speaker 1: you got promoted. I got a job. You did. You 4 00:00:18,840 --> 00:00:21,840 Speaker 1: are now editor of Business Week. Yeah, Bloomberg business Week. 5 00:00:22,160 --> 00:00:24,520 Speaker 1: That's wild. I can't believe I'm sitting right across from you. 6 00:00:24,800 --> 00:00:27,360 Speaker 1: I'm so excited. No, it's great, and my life is 7 00:00:27,760 --> 00:00:30,319 Speaker 1: moving out a new velocity. Oh. I know you have 8 00:00:30,400 --> 00:00:32,680 Speaker 1: been a harder man to get ahold of. I've been 9 00:00:32,680 --> 00:00:35,840 Speaker 1: having to pron out the notes a little more often. Um, yeah, 10 00:00:35,640 --> 00:00:37,520 Speaker 1: you have to pick up you're a big wig. Okay, 11 00:00:37,600 --> 00:00:40,000 Speaker 1: well I appreciate that. I'm so excited that it's gonna 12 00:00:40,000 --> 00:00:41,760 Speaker 1: be great. So I have a new job, but you 13 00:00:41,800 --> 00:00:45,080 Speaker 1: have the same old job. Yeah, but I'm still tolerable. 14 00:00:46,159 --> 00:00:50,360 Speaker 1: So uh in this capacity in your old job. You 15 00:00:50,720 --> 00:00:54,280 Speaker 1: got to go to Florida recently for basically what is 16 00:00:54,560 --> 00:00:56,920 Speaker 1: the world's biggest trade show for E t f s 17 00:00:57,200 --> 00:00:59,360 Speaker 1: called Inside e t f S. Yes, this is the 18 00:00:59,400 --> 00:01:01,840 Speaker 1: one to go to. This is I refer to it 19 00:01:01,840 --> 00:01:03,560 Speaker 1: as the comic Con of E t f s. You 20 00:01:03,560 --> 00:01:07,240 Speaker 1: could argue it's a little Catalina wine mixer. It's the event. 21 00:01:07,400 --> 00:01:10,480 Speaker 1: It's really big. It's eleven years now. This year there 22 00:01:10,480 --> 00:01:14,000 Speaker 1: were twenty four hundred people. I've been going for seven years. 23 00:01:14,319 --> 00:01:16,320 Speaker 1: When it first started, there was only four hundred and 24 00:01:16,360 --> 00:01:19,280 Speaker 1: thirty eight people there, so huge bump up. There were 25 00:01:19,280 --> 00:01:21,920 Speaker 1: twenty five sponsors the first year. This year there were 26 00:01:21,920 --> 00:01:25,640 Speaker 1: a hundred and twenty sponsors and booths, right, so it's 27 00:01:25,640 --> 00:01:28,560 Speaker 1: just getting bigger. The whole hall is full of of booths. 28 00:01:28,600 --> 00:01:31,080 Speaker 1: And I remember when I first went seven years ago. 29 00:01:31,120 --> 00:01:33,000 Speaker 1: I remember seeing a guy with a fishing shirt and 30 00:01:33,080 --> 00:01:35,720 Speaker 1: short song like. Advisors would go there and just go 31 00:01:35,800 --> 00:01:37,720 Speaker 1: to a few panels and then go deep sea fishing 32 00:01:39,040 --> 00:01:43,520 Speaker 1: in Hollywood, Hollywood, Florida, and it was very casual. It's 33 00:01:43,560 --> 00:01:46,440 Speaker 1: gotten more corporate and there's bigger companies. You know, there's 34 00:01:46,880 --> 00:01:49,480 Speaker 1: big Wall Street firms, there's big By Side firms. Not 35 00:01:49,560 --> 00:01:51,840 Speaker 1: everybody's in a suit and tie. I mean, I went tieless, 36 00:01:51,880 --> 00:01:54,240 Speaker 1: but I definitely dressed up. But there's no more fishing 37 00:01:54,240 --> 00:01:56,680 Speaker 1: shirts and anything like that. But one thing I will 38 00:01:56,720 --> 00:01:58,960 Speaker 1: say is, you know, it's interesting you look at the 39 00:01:59,000 --> 00:02:02,440 Speaker 1: E T F industry. All told, ETFs make about seven 40 00:02:02,520 --> 00:02:05,680 Speaker 1: billion in revenue every year. So you know, when I 41 00:02:05,800 --> 00:02:08,600 Speaker 1: first went that. I remember my colleague and Data going 42 00:02:08,639 --> 00:02:10,639 Speaker 1: to the Salt Conference, which is the hedge fun one. 43 00:02:11,040 --> 00:02:14,440 Speaker 1: They got like Joe Biden, Mike Tyson, Jeb Bush, cigar 44 00:02:14,600 --> 00:02:17,240 Speaker 1: and vodka parties. This I went there, there was an 45 00:02:17,240 --> 00:02:20,000 Speaker 1: ice cream social in a YouTube cover band. Because there's 46 00:02:20,040 --> 00:02:23,040 Speaker 1: just less money, right, I do think there has been 47 00:02:23,040 --> 00:02:25,280 Speaker 1: a little more money into the industry and a little 48 00:02:25,320 --> 00:02:28,079 Speaker 1: more marketing dollars in because this year they had Serena Williams, 49 00:02:28,680 --> 00:02:32,880 Speaker 1: um they had a general McCrystal. Celebrities like real, real people, 50 00:02:33,400 --> 00:02:35,919 Speaker 1: really celebrity. When you go there, do people feel like 51 00:02:35,919 --> 00:02:38,960 Speaker 1: you're a celebrity? D list? Yeah, I'm probably D list 52 00:02:39,480 --> 00:02:46,760 Speaker 1: of like, yeah, I'm not sure, all right. This week 53 00:02:46,840 --> 00:02:49,800 Speaker 1: on Trillions, Eric takes a field trip to the comic 54 00:02:49,840 --> 00:02:54,000 Speaker 1: Con of E T S. So you read a recorder 55 00:02:54,080 --> 00:02:55,520 Speaker 1: when you went to inside et F and you ask 56 00:02:55,560 --> 00:02:58,200 Speaker 1: some questions of people there, which we're gonna get to. 57 00:02:58,440 --> 00:03:00,280 Speaker 1: But before we get into that, just tell me a 58 00:03:00,280 --> 00:03:02,960 Speaker 1: little bit more about what this place is. Sure, it's 59 00:03:03,000 --> 00:03:05,960 Speaker 1: the Diplomat Hotel in Florida. You go down there, it's 60 00:03:06,000 --> 00:03:09,200 Speaker 1: Sunday morning. They started like noon on Sunday. A lot 61 00:03:09,240 --> 00:03:12,840 Speaker 1: of people don't. Yeah, and they end on Wednesday, so 62 00:03:12,960 --> 00:03:15,320 Speaker 1: it's a it's a couple of days. And like I said, 63 00:03:16,200 --> 00:03:19,000 Speaker 1: people the majority seem to be issuers, but you have 64 00:03:19,160 --> 00:03:21,400 Speaker 1: also a lot of advisors, right, So the issuers want 65 00:03:21,400 --> 00:03:23,840 Speaker 1: to talk to the advisors. Then the service providers want 66 00:03:23,840 --> 00:03:25,679 Speaker 1: to talk to the issuers. So everybody's sort of trying 67 00:03:25,720 --> 00:03:27,320 Speaker 1: to do business there at the same time. It's a 68 00:03:27,320 --> 00:03:29,919 Speaker 1: little incestual. You see the same it is. It's a 69 00:03:29,919 --> 00:03:33,560 Speaker 1: big cozy hot tub or jacuzzi in my case. Uh, 70 00:03:34,200 --> 00:03:37,600 Speaker 1: what was the mood this year? I thought it was happy. Um, 71 00:03:37,880 --> 00:03:40,600 Speaker 1: there was a four hundred and sixty seven billion dollars 72 00:03:40,640 --> 00:03:43,760 Speaker 1: that came into et F last year. That's more then 73 00:03:43,800 --> 00:03:46,160 Speaker 1: they had an assets total when the thing started eleven 74 00:03:46,240 --> 00:03:49,640 Speaker 1: years ago, so we're talking big boy numbers. Everybody's happy. 75 00:03:50,080 --> 00:03:53,880 Speaker 1: I think there's some concern that just the market has 76 00:03:54,000 --> 00:03:56,760 Speaker 1: just been going up too long, but that isn't They 77 00:03:56,880 --> 00:03:59,520 Speaker 1: still are fired up about the et F structure having 78 00:03:59,560 --> 00:04:02,600 Speaker 1: the winning end out there. And as this event is 79 00:04:02,680 --> 00:04:06,160 Speaker 1: kind of snowballed, how has it changed? Like I said, 80 00:04:06,200 --> 00:04:09,320 Speaker 1: it's gotten more formal. You see bigger companies, bigger exhibits 81 00:04:09,840 --> 00:04:13,600 Speaker 1: this year, Oppenheimer had this huge It was really effective. 82 00:04:13,640 --> 00:04:17,240 Speaker 1: But they did a multi factor equalizer, like a life 83 00:04:17,279 --> 00:04:20,479 Speaker 1: size stereo equalizer. And if you it turned to the market, 84 00:04:20,520 --> 00:04:21,920 Speaker 1: you think that's going to be there, like say let's 85 00:04:21,920 --> 00:04:25,520 Speaker 1: say a down market or an upmarket or raising rates, 86 00:04:25,960 --> 00:04:28,920 Speaker 1: and then the factor levels would change from value to 87 00:04:29,000 --> 00:04:32,440 Speaker 1: grow to a momentum to size and it would sort 88 00:04:32,480 --> 00:04:34,160 Speaker 1: of tell you where to tell your portfolio. So it 89 00:04:34,240 --> 00:04:38,000 Speaker 1: was a multi factor equalizer life size. Then Deutsche Bank 90 00:04:38,080 --> 00:04:40,440 Speaker 1: had an ice cream truck. It's always good to give 91 00:04:40,480 --> 00:04:42,680 Speaker 1: up fore ice cream. That worked. Everybody was like, I 92 00:04:42,760 --> 00:04:44,440 Speaker 1: love the ice cream, and the ice cream truck was 93 00:04:44,480 --> 00:04:48,080 Speaker 1: supposed to symbolize how h y LB a hio bondy 94 00:04:48,160 --> 00:04:52,640 Speaker 1: TF is plain vanilla. Now back to food. I mean, 95 00:04:53,080 --> 00:04:55,200 Speaker 1: I'm so easy and I do remember five years ago 96 00:04:55,640 --> 00:04:59,240 Speaker 1: the big debate and controversial thing was smart beta. People 97 00:04:59,600 --> 00:05:03,320 Speaker 1: to turn and piss people off the concept. People were 98 00:05:03,360 --> 00:05:06,320 Speaker 1: pro and anti and every panel matter what was about 99 00:05:06,320 --> 00:05:09,040 Speaker 1: somebody to bring up smart beta. Now smart beta is 100 00:05:09,080 --> 00:05:12,760 Speaker 1: completely accepted. That's just like was in its lane. Bitcoin 101 00:05:12,920 --> 00:05:15,239 Speaker 1: was the thing and cryptocurrencies that made it into every panel. 102 00:05:15,279 --> 00:05:18,120 Speaker 1: So I was wondering about the themes totally heard about, right, 103 00:05:18,160 --> 00:05:22,240 Speaker 1: and crypto is all over huh yep, cryptocurrencies. Another big 104 00:05:22,320 --> 00:05:25,520 Speaker 1: thing was this the hedge fund industry and how ETFs 105 00:05:25,560 --> 00:05:27,800 Speaker 1: are yet to sort of like knock out or give 106 00:05:27,839 --> 00:05:29,840 Speaker 1: a good punt to the hedge fund world. And people 107 00:05:29,880 --> 00:05:32,920 Speaker 1: think that liquid aults and hedge funds are the next 108 00:05:33,000 --> 00:05:36,240 Speaker 1: place where e t s will make cause some damage 109 00:05:36,279 --> 00:05:39,520 Speaker 1: because hedge funds are have maintained their three trillion as 110 00:05:39,560 --> 00:05:41,720 Speaker 1: whereas active mutual funds are feeling the pain of et 111 00:05:41,960 --> 00:05:45,840 Speaker 1: s more so. Between that that big dial and the 112 00:05:45,920 --> 00:05:48,880 Speaker 1: ice cream truck, what was the coolest thing you saw? 113 00:05:49,400 --> 00:05:52,440 Speaker 1: Quincy Jones? Yeah, I know that was fun. I mean, look, 114 00:05:52,480 --> 00:05:54,480 Speaker 1: I grew up with thriller, so this was a This 115 00:05:54,600 --> 00:05:56,120 Speaker 1: is a pretty big He's sitting at the booth. It's 116 00:05:56,160 --> 00:05:59,240 Speaker 1: almost like the booths are getting more and more like 117 00:05:59,320 --> 00:06:01,880 Speaker 1: having to have something like really attractive there. You know, 118 00:06:01,960 --> 00:06:04,080 Speaker 1: you have all these like giveaways, which, by the way, 119 00:06:04,160 --> 00:06:07,000 Speaker 1: I brought you a something from there that I think, 120 00:06:07,320 --> 00:06:10,200 Speaker 1: yeah from Quincy, not from Quincy, but something from the 121 00:06:10,240 --> 00:06:13,360 Speaker 1: event that is swag that I feel like you're ready 122 00:06:13,400 --> 00:06:18,760 Speaker 1: for it is a pin the e T f nerd 123 00:06:19,040 --> 00:06:21,600 Speaker 1: oh Man. I'm literally gonna put this on my lapel 124 00:06:21,960 --> 00:06:26,600 Speaker 1: right now. I feel like I'm part of the tribe. Now, 125 00:06:27,600 --> 00:06:29,440 Speaker 1: even though if I showed up at this thing, they'd 126 00:06:29,480 --> 00:06:32,120 Speaker 1: be like, get this guy out of here. They'd be like, 127 00:06:32,240 --> 00:06:34,440 Speaker 1: who's eating all the ice cream? Yeah, he's just eating 128 00:06:34,440 --> 00:06:36,080 Speaker 1: ice cream? Who is this guy? You're not an E. T. 129 00:06:36,200 --> 00:06:39,400 Speaker 1: F nerd? You're an ice cream eater? No? No, look man, 130 00:06:39,480 --> 00:06:42,400 Speaker 1: you're This is a it's a big tent. And I think, 131 00:06:42,560 --> 00:06:45,239 Speaker 1: uh that I like the idea of E. T. F. Nerd. Listen, 132 00:06:45,600 --> 00:06:48,040 Speaker 1: this conference really has his finger on the pulse of 133 00:06:48,120 --> 00:06:51,200 Speaker 1: the new investing in Wall Street, which is more nerdish, 134 00:06:51,400 --> 00:06:54,800 Speaker 1: more data driven, more diverse. This is not the Bud 135 00:06:54,960 --> 00:06:56,920 Speaker 1: Fox Wall Street that you see at this conference. This 136 00:06:57,080 --> 00:07:00,520 Speaker 1: is much more people all working together. You know, there's 137 00:07:00,600 --> 00:07:02,160 Speaker 1: I guess a little element that when when you have 138 00:07:02,960 --> 00:07:04,880 Speaker 1: some of the bigger firms involved. But you know, it's 139 00:07:05,000 --> 00:07:07,240 Speaker 1: very pleasant. That's why I like it. And I think 140 00:07:07,279 --> 00:07:10,120 Speaker 1: that the nerd word fits well to the tone of 141 00:07:10,200 --> 00:07:11,440 Speaker 1: some of the people who are in it. I'll take 142 00:07:11,480 --> 00:07:14,720 Speaker 1: it happily. Welcome to the nerd club. So so you 143 00:07:14,840 --> 00:07:16,760 Speaker 1: better with quorder. You've got to talk to a couple 144 00:07:16,800 --> 00:07:19,840 Speaker 1: of different people who do various different things in the industry. 145 00:07:20,080 --> 00:07:22,120 Speaker 1: Who's the first one you want to talk about? UM, 146 00:07:22,160 --> 00:07:24,360 Speaker 1: let's start with West Gray. West was there with the 147 00:07:24,440 --> 00:07:28,120 Speaker 1: two of his colleagues, and West is a He's interesting 148 00:07:28,200 --> 00:07:30,680 Speaker 1: because he's not he's a PhD. He's a guy who 149 00:07:30,800 --> 00:07:32,880 Speaker 1: used to run family office money, like the kind of 150 00:07:32,920 --> 00:07:36,240 Speaker 1: guy only an institution would hire. But he launches some 151 00:07:36,360 --> 00:07:40,920 Speaker 1: ETFs that do his active strategy. But his clients don't 152 00:07:41,000 --> 00:07:44,000 Speaker 1: like taxes and ets very tax efficient, so he you 153 00:07:44,120 --> 00:07:46,240 Speaker 1: get access to a guy like West through an e 154 00:07:46,320 --> 00:07:48,840 Speaker 1: t F. So West is there sort of as a 155 00:07:48,880 --> 00:07:51,640 Speaker 1: small issuer, but also as a really respected sort of 156 00:07:51,680 --> 00:07:55,480 Speaker 1: PhD active manager. Listen to that clip everyone in the 157 00:07:55,560 --> 00:07:58,000 Speaker 1: world and then ETF industries here, so we gotta talk 158 00:07:58,040 --> 00:08:00,000 Speaker 1: to our service survivors. We have a lot of clients 159 00:08:00,120 --> 00:08:02,680 Speaker 1: down here where we walk him around and show him 160 00:08:02,680 --> 00:08:05,240 Speaker 1: what's cooking, UM, and then just yeah, meet and greet, 161 00:08:05,320 --> 00:08:08,080 Speaker 1: be part of the scene. It's unlike mutual fund conferences 162 00:08:08,120 --> 00:08:10,000 Speaker 1: are a lot of the old financial services. This one's 163 00:08:10,000 --> 00:08:12,280 Speaker 1: actually fun UM. So you can, you know, have a 164 00:08:12,400 --> 00:08:14,640 Speaker 1: drink with your favorite people and it's a great time. 165 00:08:15,760 --> 00:08:18,560 Speaker 1: So I think he captures the spirit in a nutshell. 166 00:08:18,920 --> 00:08:21,120 Speaker 1: It's fun have a drink. It's again a little bit 167 00:08:21,160 --> 00:08:24,280 Speaker 1: of the Catalina wine mixer angle. And ultimately he doesn't 168 00:08:24,280 --> 00:08:26,520 Speaker 1: seem like a wine mixer kind of guy. No, I 169 00:08:26,600 --> 00:08:30,000 Speaker 1: think he gets down. Actually, uh, he's interesting because he's 170 00:08:30,000 --> 00:08:33,520 Speaker 1: a guy who is somebody trying to market the fund. 171 00:08:33,679 --> 00:08:35,319 Speaker 1: And he's got the right attitude, I think, which is, 172 00:08:35,400 --> 00:08:37,079 Speaker 1: you know, I'm just here to keep the bar low, 173 00:08:37,200 --> 00:08:38,679 Speaker 1: and you know, good things happen and you never know, 174 00:08:38,840 --> 00:08:41,000 Speaker 1: like you meet somebody and then three months later it 175 00:08:41,040 --> 00:08:44,040 Speaker 1: turns into something. But ultimately West is also one of 176 00:08:44,080 --> 00:08:46,800 Speaker 1: these guys on Twitter, and so that's how I met him. 177 00:08:46,880 --> 00:08:49,079 Speaker 1: And there's a lot of people there who met on 178 00:08:49,200 --> 00:08:51,520 Speaker 1: Twitter or digitally. I met a couple of people this 179 00:08:51,720 --> 00:08:54,040 Speaker 1: this time who I felt like I know very well, 180 00:08:54,559 --> 00:08:56,040 Speaker 1: and now I met him in person just because I've 181 00:08:56,040 --> 00:08:58,080 Speaker 1: been communicating with them on Twitter. And West is big 182 00:08:58,160 --> 00:09:00,400 Speaker 1: in that scene too, So it's almost like meeting a 183 00:09:00,480 --> 00:09:03,760 Speaker 1: pen pal or something. Okay, who's the next person you 184 00:09:03,880 --> 00:09:06,080 Speaker 1: got to talk with? We're gonna hear from Brian Lake 185 00:09:06,160 --> 00:09:08,720 Speaker 1: of JP Morgan, who used to be at Power Shares 186 00:09:09,240 --> 00:09:10,680 Speaker 1: and he's a guy who has been in the industry 187 00:09:10,679 --> 00:09:12,400 Speaker 1: a long time. He was at the very first inside 188 00:09:12,440 --> 00:09:16,400 Speaker 1: et s. What's noticeable to me is that how many 189 00:09:16,480 --> 00:09:19,480 Speaker 1: different organizations are here. I mean when you when you started, 190 00:09:19,600 --> 00:09:21,760 Speaker 1: or even just a handful of years ago, there was 191 00:09:21,840 --> 00:09:25,280 Speaker 1: maybe ten twenty booths and in different issues, and now 192 00:09:25,320 --> 00:09:27,240 Speaker 1: there's over a hundred fifty different new shoes or something 193 00:09:27,280 --> 00:09:29,520 Speaker 1: crazy like that. And everybody's got their own unique kind 194 00:09:29,559 --> 00:09:32,280 Speaker 1: of perspective on it. Um. But what's interesting is, you know, 195 00:09:33,360 --> 00:09:35,440 Speaker 1: you look at the et F industry compared to like, say, 196 00:09:35,520 --> 00:09:38,520 Speaker 1: for example, the traditional neutra fund industry, and you know, 197 00:09:38,679 --> 00:09:41,360 Speaker 1: there's over a thousands of different neutro fund companies with 198 00:09:41,440 --> 00:09:44,320 Speaker 1: over fifteen thousand different neutrol funds out there. So, uh, 199 00:09:44,600 --> 00:09:46,319 Speaker 1: you can still see that the ETF industry is just 200 00:09:46,440 --> 00:09:48,800 Speaker 1: young in the grand scheme of things. So when you 201 00:09:48,880 --> 00:09:50,559 Speaker 1: were in Florida, that might have been the beginning, the 202 00:09:50,600 --> 00:09:52,839 Speaker 1: top of the first inning. What inning are we in now? 203 00:09:53,880 --> 00:09:55,120 Speaker 1: I don't even know if that was the top of 204 00:09:55,160 --> 00:09:56,719 Speaker 1: the first I mean that might have been warmups in 205 00:09:56,760 --> 00:09:58,839 Speaker 1: Little League or something like that, because now we're barely 206 00:09:59,200 --> 00:10:01,160 Speaker 1: you know, maybe we're playing in the first inning in 207 00:10:01,360 --> 00:10:04,319 Speaker 1: uh major leagues. But um, you know, I started orienting 208 00:10:04,320 --> 00:10:05,720 Speaker 1: myself and I was thinking about on the plane right 209 00:10:05,760 --> 00:10:07,600 Speaker 1: over here, I think it's time to start talking about 210 00:10:07,600 --> 00:10:10,559 Speaker 1: thirty trillion and so thirty and thirty um, and I 211 00:10:10,600 --> 00:10:13,680 Speaker 1: actually think if you start measuring that out, the numbers 212 00:10:13,679 --> 00:10:15,480 Speaker 1: aren't too far off. I think we could actually get 213 00:10:15,480 --> 00:10:17,719 Speaker 1: towards that direction. It so about twelve years away for 214 00:10:17,840 --> 00:10:20,240 Speaker 1: a five. Now you can see a double a double 215 00:10:20,360 --> 00:10:22,439 Speaker 1: kind of thing. You're you're You're not terribly far off. 216 00:10:23,400 --> 00:10:25,800 Speaker 1: So that guy is optimistic, yeah, I mean, And the 217 00:10:25,920 --> 00:10:28,439 Speaker 1: thing is, this is a guy at JP Morgan. Jpen 218 00:10:28,440 --> 00:10:30,480 Speaker 1: Worgan had a huge booth there. You have a lot 219 00:10:30,520 --> 00:10:34,400 Speaker 1: of these big firms being optimistic. That to me really 220 00:10:34,720 --> 00:10:37,560 Speaker 1: is big because they've joined the sort of grassroots thing. 221 00:10:38,040 --> 00:10:40,079 Speaker 1: And also what I found interesting was this comparison to 222 00:10:40,120 --> 00:10:42,839 Speaker 1: the mutual fun world. You know, when you have people 223 00:10:42,920 --> 00:10:45,360 Speaker 1: thinking that this is the future and it's cool, and 224 00:10:45,440 --> 00:10:48,599 Speaker 1: these are even big firms saying this. I mean, I 225 00:10:48,720 --> 00:10:50,880 Speaker 1: can't imagine going to the I C I conference that 226 00:10:50,920 --> 00:10:53,079 Speaker 1: which is the big mutual fun one, and I've been there. 227 00:10:53,280 --> 00:10:55,800 Speaker 1: It's fine, it's just not it doesn't have that same 228 00:10:55,880 --> 00:10:57,880 Speaker 1: vibe and it's gotta be tough. But a lot of 229 00:10:57,920 --> 00:11:00,240 Speaker 1: these firms also go there. They have mutual fund so 230 00:11:00,280 --> 00:11:03,040 Speaker 1: they're sort of you know how they're doing both sides 231 00:11:03,800 --> 00:11:07,360 Speaker 1: sidebar or maybe footnote. The conference business. I've been to 232 00:11:07,880 --> 00:11:10,360 Speaker 1: consumer electronic shows ce YES, which is like the world's 233 00:11:10,360 --> 00:11:14,080 Speaker 1: biggest trade show multiple times. The business of the booths 234 00:11:14,600 --> 00:11:17,880 Speaker 1: I think is like a great story because everybody's got 235 00:11:17,960 --> 00:11:20,240 Speaker 1: like this booth that you know, has to be on brand, 236 00:11:20,440 --> 00:11:22,760 Speaker 1: and and it's so big, and they like break them 237 00:11:22,800 --> 00:11:25,120 Speaker 1: down and put them in storage or ship them and 238 00:11:25,200 --> 00:11:27,439 Speaker 1: it's I mean, it's a it's a huge business. No 239 00:11:27,840 --> 00:11:29,599 Speaker 1: I had. I was there on Sunday and there was 240 00:11:29,679 --> 00:11:31,880 Speaker 1: these crates and they had like that stamp like at 241 00:11:31,880 --> 00:11:33,640 Speaker 1: a rock show instead of iron made, and it said 242 00:11:33,679 --> 00:11:36,439 Speaker 1: like wisdom Tree and it was like the loading you 243 00:11:36,520 --> 00:11:38,199 Speaker 1: know what I mean, And you're right, it's like a 244 00:11:38,240 --> 00:11:41,199 Speaker 1: big show and the boost You're right. There was thematically 245 00:11:41,280 --> 00:11:43,480 Speaker 1: linked swag, which I love. There's pens and stuff, but 246 00:11:44,040 --> 00:11:46,760 Speaker 1: well like one guy had like a robot and it's 247 00:11:46,920 --> 00:11:50,319 Speaker 1: and it's appendages were usp ports. You could plug in 248 00:11:50,440 --> 00:11:54,679 Speaker 1: four iPhones charging from this. Yeah. By the way, I 249 00:11:54,720 --> 00:11:57,920 Speaker 1: saw a photo I think you tweeted it right. The 250 00:11:58,400 --> 00:12:00,640 Speaker 1: robo et F didn't they have a robot there? They 251 00:12:00,679 --> 00:12:03,360 Speaker 1: had an actual robot working on like a chip that 252 00:12:03,480 --> 00:12:05,840 Speaker 1: was moving its arms around and should be that again 253 00:12:07,320 --> 00:12:09,520 Speaker 1: it was doing the robot. It was like, yeah, I'm 254 00:12:09,520 --> 00:12:11,240 Speaker 1: from the eighties, I know how to do the robot. Okay, 255 00:12:11,920 --> 00:12:14,120 Speaker 1: don't know, we don't, don't ask me, okay. So we 256 00:12:14,400 --> 00:12:16,840 Speaker 1: talked to the issuer and then we talked to uh 257 00:12:17,080 --> 00:12:19,559 Speaker 1: JP Morgan on the custody side. Who else? So next 258 00:12:19,679 --> 00:12:22,760 Speaker 1: up we're gonna hear from Mike Costa of The Daily Show, 259 00:12:23,080 --> 00:12:24,800 Speaker 1: Daily Show. Yeah, I mean this is like for real, 260 00:12:24,880 --> 00:12:27,280 Speaker 1: We actually like real people there. Yeah. He's a writer 261 00:12:27,440 --> 00:12:29,959 Speaker 1: and he's a stand up comedian and I gotta tell 262 00:12:30,000 --> 00:12:33,320 Speaker 1: you he did a set during lunch. It was knockout man. 263 00:12:33,520 --> 00:12:35,319 Speaker 1: You gotta look this guy up. It was like it 264 00:12:35,400 --> 00:12:37,480 Speaker 1: was like a machine gun of comedy. It was. It 265 00:12:37,600 --> 00:12:42,920 Speaker 1: was remarkable. What advice do you have for et investors? Well, 266 00:12:42,920 --> 00:12:44,720 Speaker 1: I don't even know what et F stands for. I mean, 267 00:12:44,960 --> 00:12:47,320 Speaker 1: Roy Wood Jr. Made the joke that it was electric 268 00:12:47,400 --> 00:12:50,880 Speaker 1: funds transfer. But that's the F two, you know, isn't 269 00:12:50,880 --> 00:12:53,720 Speaker 1: it Isn't it like put money in when the stock 270 00:12:53,760 --> 00:12:55,720 Speaker 1: markets going up? Take money on when the stock markets 271 00:12:55,760 --> 00:12:57,679 Speaker 1: going down? Is that I'm a comic. I don't know 272 00:12:57,800 --> 00:13:00,640 Speaker 1: this ship. That music was amazing. We guys in like 273 00:13:00,720 --> 00:13:03,679 Speaker 1: a like a jazz club after lunch. I guess they have, 274 00:13:03,920 --> 00:13:06,160 Speaker 1: you know, tracks they play when people are shuffling out 275 00:13:06,200 --> 00:13:08,640 Speaker 1: of the hall, and they played jazz. Yeah, I look 276 00:13:09,040 --> 00:13:10,599 Speaker 1: a lot of I had to interview people right on 277 00:13:10,679 --> 00:13:12,640 Speaker 1: the spot before they you know, went home or whatever. 278 00:13:12,760 --> 00:13:14,960 Speaker 1: So yeah, I don't know if it went with that scenario, 279 00:13:15,160 --> 00:13:17,679 Speaker 1: but it was funny. It was It was interesting when 280 00:13:17,679 --> 00:13:19,280 Speaker 1: he said put the money in when the stocks go up, 281 00:13:19,320 --> 00:13:20,839 Speaker 1: and take it out when they go down, And he 282 00:13:20,960 --> 00:13:23,640 Speaker 1: really put his finger on the biggest problem with investors. 283 00:13:23,880 --> 00:13:25,680 Speaker 1: You know, when the chart goes up, they start investing, 284 00:13:25,720 --> 00:13:27,360 Speaker 1: and when the chart goes down, they take the money out. 285 00:13:27,360 --> 00:13:29,319 Speaker 1: And that's the exact opposite of what you should do. 286 00:13:30,000 --> 00:13:32,760 Speaker 1: So he should probably attend and uh go to the 287 00:13:32,800 --> 00:13:44,400 Speaker 1: some of the panel sessions. Okay, Uh, a lot of 288 00:13:44,480 --> 00:13:47,680 Speaker 1: duds here at this place. You'd get detected any women. 289 00:13:47,760 --> 00:13:50,520 Speaker 1: There were a lot of dudes, but no women were there. 290 00:13:50,720 --> 00:13:53,160 Speaker 1: There's a big organization called Women and Ets. They had 291 00:13:53,160 --> 00:13:56,360 Speaker 1: a big breakfast. They're a huge organization with branches, and 292 00:13:56,720 --> 00:13:58,560 Speaker 1: I gotta think at this point in fifty or sixty 293 00:13:58,600 --> 00:14:01,280 Speaker 1: cities it's major. There's a lot of women the industry. 294 00:14:01,360 --> 00:14:04,440 Speaker 1: It's still prominantly men though. But yeah, we got Elizabeth 295 00:14:04,480 --> 00:14:06,800 Speaker 1: Kashner from fact Set who's sort of like me. He's 296 00:14:06,800 --> 00:14:09,040 Speaker 1: like a Todd rosen Bluther's. There's about six or seven 297 00:14:09,040 --> 00:14:10,719 Speaker 1: of us that are have been analysts for about a 298 00:14:10,760 --> 00:14:13,280 Speaker 1: decade and she's one of them. Women in E T 299 00:14:13,480 --> 00:14:16,080 Speaker 1: S is a tremendous force for good in this industry 300 00:14:16,400 --> 00:14:20,840 Speaker 1: in terms of partnering women men and are major organizations 301 00:14:21,280 --> 00:14:23,280 Speaker 1: to achieve a goal that we all believe in, which 302 00:14:23,400 --> 00:14:26,760 Speaker 1: is the advancement of women in the financial services field. 303 00:14:27,480 --> 00:14:30,000 Speaker 1: There is a tremendous movement of foot which has already 304 00:14:30,040 --> 00:14:33,440 Speaker 1: been mentioned from the stage at least twice that I've seen, 305 00:14:33,920 --> 00:14:37,880 Speaker 1: and that is the rise of social activism in terms 306 00:14:38,040 --> 00:14:41,280 Speaker 1: of the major asset managers taking a stand in terms 307 00:14:41,360 --> 00:14:44,560 Speaker 1: of how they vote their shares. There's a lot of 308 00:14:44,800 --> 00:14:47,800 Speaker 1: buzz about E s G investing. Frankly, there's not a 309 00:14:47,880 --> 00:14:50,480 Speaker 1: lot of assets in E s G investing, nor is 310 00:14:50,520 --> 00:14:55,520 Speaker 1: there any demonstrated risk adjusted return. However, the move to 311 00:14:55,680 --> 00:14:59,920 Speaker 1: be active and take a stand with trillions of dollar 312 00:15:00,200 --> 00:15:05,640 Speaker 1: is and something like five tent of assets in US companies, 313 00:15:06,040 --> 00:15:09,080 Speaker 1: that moves the needle. I'm starting to see that openly 314 00:15:09,240 --> 00:15:15,760 Speaker 1: discussed and claimed. Bravo. Women in e TF is maybe 315 00:15:15,800 --> 00:15:18,200 Speaker 1: five or six years old, and it's going stronger than ever. 316 00:15:18,280 --> 00:15:20,960 Speaker 1: I've moderated a few panels at their event. There's also 317 00:15:21,000 --> 00:15:25,240 Speaker 1: some pretty awesome tickers that are specifically sort of built 318 00:15:25,240 --> 00:15:27,320 Speaker 1: around this premise. Yes, so State Street has an e 319 00:15:27,360 --> 00:15:29,920 Speaker 1: t F that's called Gender Diversity, which is the ticker sheet, 320 00:15:30,160 --> 00:15:32,560 Speaker 1: and this gets the exactly her both our points. State 321 00:15:32,600 --> 00:15:34,360 Speaker 1: Streets offering you an e t F that allows you 322 00:15:34,400 --> 00:15:36,680 Speaker 1: to sort of funnel money to companies that have women 323 00:15:36,760 --> 00:15:39,280 Speaker 1: leading it or high percentage on boards. That's the ticker sheet. 324 00:15:39,320 --> 00:15:42,440 Speaker 1: There's a one called her in Canada. At the same time, 325 00:15:42,520 --> 00:15:45,320 Speaker 1: State Street, the company has been very active as a 326 00:15:45,640 --> 00:15:49,000 Speaker 1: rising shareholder of corporations, not just than that, but actually 327 00:15:49,080 --> 00:15:51,040 Speaker 1: as just spy you know, owns a lot of stock 328 00:15:51,520 --> 00:15:55,120 Speaker 1: to push more for gender gender diversity. So what she's 329 00:15:55,120 --> 00:15:57,080 Speaker 1: saying is that E s G. E t F and 330 00:15:57,160 --> 00:15:59,400 Speaker 1: investing has kind of been a little bit of a dud. 331 00:15:59,400 --> 00:16:01,520 Speaker 1: They don't have a four billions five billion in assets. 332 00:16:01,560 --> 00:16:03,960 Speaker 1: It's not much given the hype, but E s G 333 00:16:04,520 --> 00:16:08,840 Speaker 1: as a mantra from the passive fund companies is a 334 00:16:08,920 --> 00:16:11,320 Speaker 1: big deal, and they have moved the needle they're trying to. 335 00:16:11,440 --> 00:16:14,040 Speaker 1: Larry Fink just wrote this big letter. There's some critique 336 00:16:14,040 --> 00:16:17,760 Speaker 1: that a letter isn't enough, but ultimately, these passive funds 337 00:16:17,800 --> 00:16:21,640 Speaker 1: are are going to be the biggest shareholders of America's companies, 338 00:16:21,680 --> 00:16:23,760 Speaker 1: and so what they're doing in terms of E s 339 00:16:23,840 --> 00:16:25,320 Speaker 1: G is important to a lot of people. And of 340 00:16:25,400 --> 00:16:28,960 Speaker 1: course the Street had probably the most viral marketing campaign 341 00:16:29,080 --> 00:16:31,680 Speaker 1: that financial services has ever seen last year. Right, Yeah, 342 00:16:31,720 --> 00:16:33,720 Speaker 1: that statue downtown across from the bull, I think what's 343 00:16:33,720 --> 00:16:36,840 Speaker 1: called Fearless Girl. Yeah, people forget that was literally a 344 00:16:36,960 --> 00:16:39,840 Speaker 1: statue to market sheet, but it it just took a life. 345 00:16:39,880 --> 00:16:41,880 Speaker 1: It's on that definitely went viral. It was interesting. It 346 00:16:42,280 --> 00:16:44,320 Speaker 1: was really worked well with the bull. The whole thing 347 00:16:44,440 --> 00:16:46,760 Speaker 1: just worked as a piece of art. Did you get 348 00:16:46,800 --> 00:16:49,320 Speaker 1: to see any more frenemies while you're there? I did? 349 00:16:49,520 --> 00:16:51,840 Speaker 1: In fact. The next clip we have is Ben Johnson, 350 00:16:51,920 --> 00:16:55,440 Speaker 1: a morning star who is definitely a competitor again one 351 00:16:55,520 --> 00:16:58,720 Speaker 1: of the panels or I guess presentations was they had 352 00:16:58,840 --> 00:17:01,640 Speaker 1: eight analysts on stage to argue for the best new 353 00:17:01,680 --> 00:17:04,679 Speaker 1: et F. I was up there, Ben was up there. Uh. 354 00:17:04,760 --> 00:17:07,120 Speaker 1: And in Elizabeth, do you guys prank each other before 355 00:17:07,160 --> 00:17:09,119 Speaker 1: you go up? Do you like give him something like 356 00:17:09,160 --> 00:17:12,159 Speaker 1: bad data or something. No, but there was some stuff 357 00:17:12,160 --> 00:17:13,919 Speaker 1: going on on stage that I thought was like one 358 00:17:13,960 --> 00:17:16,840 Speaker 1: guy used slides and he won. Matt Hogan, I gotta 359 00:17:16,920 --> 00:17:19,280 Speaker 1: use slides next year. I Uh, I did not win. 360 00:17:19,920 --> 00:17:23,520 Speaker 1: And Tom, Yeah, the audience votes based on noise and 361 00:17:23,600 --> 00:17:25,639 Speaker 1: you didn't win. I didn't win. I I was a 362 00:17:25,680 --> 00:17:27,480 Speaker 1: little flat that morning. I didn't get a good night's sleep. 363 00:17:27,480 --> 00:17:30,320 Speaker 1: I also picked a corporate BONDYTF. Note to self, if 364 00:17:30,320 --> 00:17:32,000 Speaker 1: you're trying to win over a crowd, stay away from 365 00:17:32,040 --> 00:17:36,680 Speaker 1: fixed income at you slides, Tom, your audience. Tom lydon 366 00:17:36,720 --> 00:17:38,680 Speaker 1: even read a poem. So it really I think it 367 00:17:38,760 --> 00:17:40,480 Speaker 1: was more of a contest of who had the best 368 00:17:40,560 --> 00:17:42,960 Speaker 1: show next year. I'm gonna bring it though, I get it. 369 00:17:42,960 --> 00:17:46,719 Speaker 1: I can't believe you didn't win. Such a letdown. I'm sorry, man, 370 00:17:46,800 --> 00:17:51,840 Speaker 1: I'm sorry. I've fallen in your eyes. So here's Ben Johnson, 371 00:17:51,920 --> 00:17:55,680 Speaker 1: a Morning Star. My biggest takeaway is that most of 372 00:17:55,720 --> 00:17:58,159 Speaker 1: the band. With that, this conference has been dedicated to 373 00:17:58,320 --> 00:18:01,879 Speaker 1: what are largely you look at the data distractions as 374 00:18:01,960 --> 00:18:07,320 Speaker 1: far as investors are concerned, cryptocurrencies, block chains, multi factor funds, 375 00:18:07,400 --> 00:18:10,359 Speaker 1: you name it. All of these new fangled and increasingly 376 00:18:10,560 --> 00:18:14,119 Speaker 1: complex and costly contraptions that are being rolled out to 377 00:18:14,200 --> 00:18:19,320 Speaker 1: the marketplace are not earning their fair share of investors 378 00:18:19,440 --> 00:18:22,760 Speaker 1: money relative to the amount of time and attention and 379 00:18:22,920 --> 00:18:27,920 Speaker 1: ink that's spilt on them. Blockchain, blockchain, block chain, Yeah, pot, 380 00:18:27,960 --> 00:18:32,959 Speaker 1: pot pot, I mean party, party, party, Listen. He's right, 381 00:18:33,520 --> 00:18:36,120 Speaker 1: And I've had this new formula I'm working out where 382 00:18:37,240 --> 00:18:39,000 Speaker 1: of the media coverage is on stuff that would be 383 00:18:39,080 --> 00:18:42,520 Speaker 1: five percent of your portfolio. It's true if if that, yeah, 384 00:18:43,080 --> 00:18:45,560 Speaker 1: maybe point five percent. You know why, because the media 385 00:18:45,600 --> 00:18:47,440 Speaker 1: and media is growing more and more prevalent. They're going 386 00:18:47,480 --> 00:18:49,960 Speaker 1: after readership and clicks. And if you're wade about Quincy 387 00:18:50,040 --> 00:18:52,639 Speaker 1: Jones Potter blockchain, you're gonna get double triple the clicks 388 00:18:52,680 --> 00:18:55,000 Speaker 1: as if as if you compared the Vanguard Value with 389 00:18:55,080 --> 00:18:57,320 Speaker 1: the I Shares Value Fund, even though those two suckers 390 00:18:57,359 --> 00:19:01,600 Speaker 1: have like forty billion dollars. And this is just any industry, 391 00:19:01,840 --> 00:19:04,440 Speaker 1: the fringe stuff that just sort of sticks out gets 392 00:19:04,440 --> 00:19:08,639 Speaker 1: a lot of the attentions. Yeah, but arguably, as we 393 00:19:08,680 --> 00:19:11,840 Speaker 1: saw last year, almost all the money goes to boring 394 00:19:12,200 --> 00:19:15,840 Speaker 1: cheap Beta, so cheap Beta. But then you also saw 395 00:19:16,000 --> 00:19:18,359 Speaker 1: a great T shirt while you're there too, huh. I 396 00:19:18,440 --> 00:19:22,639 Speaker 1: did Advisor Shares, which is a active, actively managed et 397 00:19:22,760 --> 00:19:25,520 Speaker 1: F shop, had a vote for Alpha T shirt that 398 00:19:25,680 --> 00:19:27,960 Speaker 1: was like vote for Pedro, which it's close to my heart. 399 00:19:27,960 --> 00:19:30,680 Speaker 1: I love the Napoleon Dynamite's so good. So some of 400 00:19:30,760 --> 00:19:33,320 Speaker 1: their tops, and they also had one a couple of 401 00:19:33,359 --> 00:19:35,720 Speaker 1: years ago they had pac Man eating up like dollars 402 00:19:35,760 --> 00:19:38,560 Speaker 1: I supposed like Alpha Man. So they're kind of clever 403 00:19:38,720 --> 00:19:41,480 Speaker 1: trying to keep the Alpha dream alive. So even active 404 00:19:41,520 --> 00:19:44,359 Speaker 1: managers have a role here, and a lot of them 405 00:19:44,600 --> 00:19:46,280 Speaker 1: like to be an et F structure because as an 406 00:19:46,320 --> 00:19:48,440 Speaker 1: active manager, if you trade a lot in the portfolio, 407 00:19:48,480 --> 00:19:49,879 Speaker 1: if you're in a mutual fund, you're gonna get your 408 00:19:49,920 --> 00:19:52,879 Speaker 1: investors capital gains distributions. Mostly you can avoid that in 409 00:19:52,920 --> 00:19:59,800 Speaker 1: the ETF structure. Okay, main event Quincy Jones does Quincy 410 00:20:00,080 --> 00:20:03,760 Speaker 1: is anything about ETFs? If he does, it's not a lot. 411 00:20:04,080 --> 00:20:07,160 Speaker 1: He's not there for that, you know, he's he's part 412 00:20:07,240 --> 00:20:09,480 Speaker 1: of I think what you're seeing with the marketing. But 413 00:20:09,680 --> 00:20:12,000 Speaker 1: if you talk to Quincy Jones, the reason he's there 414 00:20:12,720 --> 00:20:16,280 Speaker 1: is because there's a new firm launching called Iconic Beta. Now, 415 00:20:16,520 --> 00:20:18,760 Speaker 1: this is a firm that's wants to sort of like 416 00:20:18,880 --> 00:20:21,560 Speaker 1: open up investing to people who aren't invested to make 417 00:20:21,600 --> 00:20:23,479 Speaker 1: it more fun. And one of the ways they're doing 418 00:20:23,520 --> 00:20:25,639 Speaker 1: that is you're going to take experts or celebrities in 419 00:20:25,720 --> 00:20:28,440 Speaker 1: different fields and attach them sort of to the name. 420 00:20:28,800 --> 00:20:30,800 Speaker 1: Work with those people to pick out the companies and 421 00:20:30,920 --> 00:20:33,399 Speaker 1: the trends in that industry, and then that way you 422 00:20:33,440 --> 00:20:36,040 Speaker 1: can invest sort of alongside somebody who's an expert. And 423 00:20:36,119 --> 00:20:37,920 Speaker 1: so this e t F that is going to be 424 00:20:38,000 --> 00:20:40,840 Speaker 1: launched soon, I'm pretty sure probably the next couple of 425 00:20:40,880 --> 00:20:44,080 Speaker 1: weeks is called q J and it's gonna awesome, I 426 00:20:44,160 --> 00:20:48,239 Speaker 1: know right. It's gonna tract streaming music companies, companies all 427 00:20:48,280 --> 00:20:50,680 Speaker 1: across the world. It's going to be equal weighted, and 428 00:20:50,840 --> 00:20:53,720 Speaker 1: it's a classic theme ETF and it wouldn't be Nobody 429 00:20:53,720 --> 00:20:55,800 Speaker 1: would have blinked if it was called the Streaming Music ETF. 430 00:20:55,840 --> 00:20:58,200 Speaker 1: We've seen a lot of those, but the Quincy Jones 431 00:20:58,280 --> 00:21:00,040 Speaker 1: was what made it so new and it made. But 432 00:21:00,119 --> 00:21:02,320 Speaker 1: wonder if there'll be a string of these and according 433 00:21:02,359 --> 00:21:04,840 Speaker 1: to Iconic Beta, yeah, they have about a dozen lined 434 00:21:04,920 --> 00:21:07,600 Speaker 1: up if and when this one gets approved. Did Quincy perform, 435 00:21:08,119 --> 00:21:10,800 Speaker 1: He didn't. He just talked. He was very social. I mean, 436 00:21:11,080 --> 00:21:12,240 Speaker 1: you just go up and talk to him. He's a 437 00:21:12,240 --> 00:21:14,960 Speaker 1: big fan of Mike Bloomberg. Apparently didn't he didn't event 438 00:21:15,040 --> 00:21:16,720 Speaker 1: with him with Whoopi Goldberg and he goes, oh, I 439 00:21:16,800 --> 00:21:19,800 Speaker 1: love that guy. The bottom the bottom line is we 440 00:21:19,960 --> 00:21:24,800 Speaker 1: have songwriters and singers and musicians that what they brought 441 00:21:24,960 --> 00:21:27,240 Speaker 1: up to learn what they're doing, you know, and they 442 00:21:27,320 --> 00:21:30,199 Speaker 1: should do taking care or you know, it's not right 443 00:21:30,520 --> 00:21:35,719 Speaker 1: to take their music and virus. It's it's a simral right. 444 00:21:37,040 --> 00:21:40,200 Speaker 1: Has that hurt the industry and like developing artists is okay? 445 00:21:40,240 --> 00:21:43,040 Speaker 1: So you think to meet the take and take whatever 446 00:21:43,119 --> 00:21:46,280 Speaker 1: they want. Um, and what do you think of this 447 00:21:46,359 --> 00:21:48,800 Speaker 1: conference so far? What do you think of the conference? 448 00:21:49,680 --> 00:21:53,680 Speaker 1: A good time? Yeah, nice people. I love that guy's voice. 449 00:21:53,720 --> 00:21:55,800 Speaker 1: It's so good. It's good. Right, Yeah, you know he was. 450 00:21:56,160 --> 00:21:58,080 Speaker 1: He was exactly the legend you thought he would be. 451 00:21:58,520 --> 00:22:00,040 Speaker 1: One thing he said it was interesting to read and 452 00:22:00,119 --> 00:22:03,080 Speaker 1: I picked that clip from our interview was that I 453 00:22:03,240 --> 00:22:05,960 Speaker 1: have gone along in my presentations and I compare the 454 00:22:06,040 --> 00:22:08,320 Speaker 1: e t F to the MP three in that the 455 00:22:08,560 --> 00:22:12,680 Speaker 1: MP three really disrupted the whole record business. It made 456 00:22:12,800 --> 00:22:15,880 Speaker 1: music cheaper, and it brought the revenue of the record 457 00:22:15,920 --> 00:22:18,000 Speaker 1: business and cut it in half. And the E t 458 00:22:18,160 --> 00:22:20,080 Speaker 1: F is kind of like that. It's flexible, it's cheap, 459 00:22:20,080 --> 00:22:22,400 Speaker 1: it's sort of the technology like that. But he made 460 00:22:22,400 --> 00:22:24,840 Speaker 1: me rethink this a little bit because he's right, the 461 00:22:24,960 --> 00:22:27,879 Speaker 1: MP three and the piracy definitely hurt nurturing new artists. 462 00:22:28,520 --> 00:22:32,440 Speaker 1: And you know, there is some truth to everything's free. 463 00:22:33,359 --> 00:22:36,000 Speaker 1: Will there be anyone who could rise who has skills 464 00:22:36,080 --> 00:22:37,879 Speaker 1: as an active manager? And I think that's a concern 465 00:22:37,960 --> 00:22:40,679 Speaker 1: with some going forward, because you do need active managers 466 00:22:41,040 --> 00:22:45,040 Speaker 1: who are educated and well paid to invest actively so 467 00:22:45,119 --> 00:22:47,120 Speaker 1: that passive can ride their coat tails. That's the whole 468 00:22:47,200 --> 00:22:50,960 Speaker 1: reason passive works. Also like that he opened with bottom line, 469 00:22:51,119 --> 00:22:53,280 Speaker 1: which is like one of my favorite places to just 470 00:22:53,720 --> 00:22:56,480 Speaker 1: use again and again bottom line. Bottom line. It's probably 471 00:22:56,520 --> 00:22:59,359 Speaker 1: because he's you know, talking to artists. Bottom line, we 472 00:22:59,440 --> 00:23:01,840 Speaker 1: need more bay in this bottom Line is actually a 473 00:23:01,920 --> 00:23:04,399 Speaker 1: thing that we used throughout Business Week at the bottom 474 00:23:04,440 --> 00:23:06,480 Speaker 1: of some of our articles. To say, bottom line, just 475 00:23:06,560 --> 00:23:08,760 Speaker 1: cut to the chase here it is. Do you like 476 00:23:08,800 --> 00:23:10,640 Speaker 1: how I made it about me? Again? That was great? 477 00:23:10,720 --> 00:23:13,320 Speaker 1: Right in business, it's just like it's great. Back, Yeah, 478 00:23:13,440 --> 00:23:18,919 Speaker 1: I can't tell you got a promotion. We also want 479 00:23:18,960 --> 00:23:21,240 Speaker 1: to say thank you to Jordan's Bell, who has been 480 00:23:21,280 --> 00:23:23,879 Speaker 1: our producer from the beginning and she's moving on. She 481 00:23:24,000 --> 00:23:26,800 Speaker 1: got us here. And remember all those pre recording things 482 00:23:26,840 --> 00:23:28,800 Speaker 1: we did before we went live. It was like torture, 483 00:23:28,880 --> 00:23:31,239 Speaker 1: but we got here because of Jordan. Yet, Jordan had 484 00:23:31,320 --> 00:23:33,800 Speaker 1: to listen to our sort of six week rehearsal, sort 485 00:23:33,800 --> 00:23:35,480 Speaker 1: of like a band finding their sound. She had to 486 00:23:35,560 --> 00:23:37,080 Speaker 1: go through all that and it was it was tough. 487 00:23:37,160 --> 00:23:39,840 Speaker 1: And just one note on that first episode when I 488 00:23:39,960 --> 00:23:42,639 Speaker 1: explained diversification of Jordan, a few people thought that was 489 00:23:42,680 --> 00:23:46,320 Speaker 1: a little goodle condescending, and if you know Jordan and 490 00:23:46,359 --> 00:23:47,920 Speaker 1: know how it worked together, it was not like that 491 00:23:48,000 --> 00:23:50,160 Speaker 1: at all. I didn't. You know. Joel kind of forced 492 00:23:50,240 --> 00:23:53,640 Speaker 1: me into that. He's like, explain it to Jordan, who 493 00:23:53,680 --> 00:23:56,160 Speaker 1: knows nothing, and so I kind of got into that role. Back, 494 00:23:56,560 --> 00:24:01,040 Speaker 1: I love her. She was great and yeah, totally thanks 495 00:24:01,080 --> 00:24:03,920 Speaker 1: for listening to trillions. Until next time, you can find 496 00:24:04,000 --> 00:24:07,840 Speaker 1: us on the Bloomberg terminal, Bloomberg dot com, Apple Podcasts, 497 00:24:08,119 --> 00:24:10,199 Speaker 1: and a bunch of other places I probably haven't heard 498 00:24:10,200 --> 00:24:12,320 Speaker 1: about yet. We'd love to hear from you. We're on Twitter. 499 00:24:12,920 --> 00:24:17,920 Speaker 1: I'm at Joel Webber Show. He's at Eric Baltunas. Trillions 500 00:24:18,000 --> 00:24:21,359 Speaker 1: is produced by Magnus Henrickson. Francesca Levie is the head 501 00:24:21,400 --> 00:24:22,880 Speaker 1: of Bloomberg podcast Bye.