WEBVTT - Bezos Blue Origin Spaceflight a Success 0:00:01.800 --> 0:00:04.440 This is Bloomberg Business Week. I'm Carole Masser and I'm 0:00:04.480 --> 0:00:07.280 Bloomberg Quick Takes Tim Stanovk. We're here every day bringing 0:00:07.320 --> 0:00:09.840 you the latest news from the world to business and finance, 0:00:09.840 --> 0:00:13.680 clus technology, politics, economics, all partnising the power of Business 0:00:13.680 --> 0:00:17.159 Week reporters and editors, not to mention our journalists and 0:00:17.160 --> 0:00:20.000 analyst in more than one twenty countries. You can download 0:00:20.000 --> 0:00:23.239 Bloomberg Business Week and iTunes, SoundCloud, or Bloomberg dot Com. 0:00:23.400 --> 0:00:25.200 You can also listen to our radio show at two 0:00:25.200 --> 0:00:27.880 pm Eastern Time on Bloomberg Radio, or watch us on 0:00:27.920 --> 0:00:31.640 YouTube search Bloomberg Global News. The Delta varrant now making 0:00:31.680 --> 0:00:34.080 up an eight year percent of all sequence COVID nighteing 0:00:34.080 --> 0:00:36.360 cases here in the U S. New York City vaccine 0:00:36.440 --> 0:00:41.520 rate drops though as COVID cases rise. Francesina jumping vaccination, 0:00:41.680 --> 0:00:44.920 Apple pushing back its return of office deadlines, Tokyo still 0:00:44.960 --> 0:00:49.040 struggling just before the Olympics, and we did also report 0:00:49.120 --> 0:00:52.120 a White House official and staff member for Nancy Pelosi 0:00:52.200 --> 0:00:54.760 both tested positive for COVID after attending the same reception 0:00:54.840 --> 0:00:59.760 last week that coming are confirmed to Axios back with 0:00:59.840 --> 0:01:02.960 us a voice that we've reached out to throughout the pandemic. 0:01:03.040 --> 0:01:05.480 Dr Peter Alpern, who is vice president now at the 0:01:05.480 --> 0:01:09.960 publicly held Doximity. It's a professional network medical network for physicians. 0:01:09.959 --> 0:01:12.680 He is with us on the phone in Austin, Texas. 0:01:13.120 --> 0:01:15.800 Dr Alpern, good to check in with you once again. 0:01:16.440 --> 0:01:19.520 How do you see this delta variant breakout and rise 0:01:19.560 --> 0:01:23.960 in COVID cases? Yeah, well, thank you for having me, Carroll. UM. 0:01:24.200 --> 0:01:29.360 So the delta variant is concerning and is obviously becoming 0:01:29.520 --> 0:01:33.959 the predominant strain of COVID that people are catching. It's 0:01:34.000 --> 0:01:37.760 clearly more contagious UM and is beginning to make up 0:01:37.800 --> 0:01:40.000 the vast majority of the cases that people are seeing. 0:01:40.120 --> 0:01:43.959 I should note that the the delta variant outbreaks do 0:01:44.040 --> 0:01:46.280 seem to be much more prefable and obviously and people 0:01:46.280 --> 0:01:49.760 who are unvaccinated as opposed to vaccinated, so it does UM. 0:01:49.760 --> 0:01:53.680 It is largely a a pandemic or epidemic among the 0:01:53.760 --> 0:01:57.240 unvaccinated population, but that still is a very significant number. 0:01:57.240 --> 0:02:00.800 So it's extremely concerning UM and people are obviously paying 0:02:00.880 --> 0:02:03.160 very good attention. So help was that because we were all, 0:02:03.240 --> 0:02:05.240 like you know, we've been told get the vaccine you'll 0:02:05.240 --> 0:02:08.320 be okay, or you'll be in a much better position. Uh. 0:02:08.360 --> 0:02:11.160 And yet at the same time, in talking to medical 0:02:11.200 --> 0:02:13.760 professionals like yourself, we are reminded that this is a 0:02:13.840 --> 0:02:20.760 much more contagious and more um, you know, virulent virus. 0:02:20.880 --> 0:02:22.960 And so I guess I'm just trying to how do 0:02:23.080 --> 0:02:25.880 we I don't know, how do we figure out the 0:02:26.000 --> 0:02:29.520 risk reward balance here as we increasingly get back to life. 0:02:29.560 --> 0:02:33.760 We do have a bit of a playbook here. And yet, um, 0:02:33.800 --> 0:02:35.880 there's nervousness. We see it in the financial markets, certainly 0:02:35.880 --> 0:02:39.120 saw it yesterday. Yeah, I think, um, you know, I 0:02:39.120 --> 0:02:41.440 think all the basic things we know to be true 0:02:41.440 --> 0:02:45.320 remain true, which is that, um, getting vaccinated helps prevent 0:02:45.360 --> 0:02:47.880 the disease. We have three extremely good options in the 0:02:48.000 --> 0:02:50.720 Visor and MODERNA vaccines as well as the Johnson and 0:02:50.800 --> 0:02:53.320 Johnson vaccines. So if you haven't been vaccinated, and you 0:02:53.320 --> 0:02:55.360 are eligible and don't have a reason that you shouldn't 0:02:55.360 --> 0:02:58.520 take the vaccines, it still is absolutely the most important 0:02:58.520 --> 0:03:02.040 thing that you can do. Um. Uh. In terms of 0:03:02.080 --> 0:03:04.520 the virulence as you refer to it, it's really more 0:03:04.520 --> 0:03:08.040 contagious what we've seen with the delta. The delta variant 0:03:08.080 --> 0:03:10.239 is it's much much easier to catch. It's got a 0:03:10.320 --> 0:03:13.640 much higher contagiousness rate that are not that people would 0:03:13.639 --> 0:03:15.959 talk about in the past, UM, but it does not 0:03:16.080 --> 0:03:19.000 seem to lead to more severe illnesses as compared to 0:03:19.000 --> 0:03:23.200 the regular strains or the original strains of the virus UM. So, 0:03:23.320 --> 0:03:25.280 and then in terms of the vaccines that people have 0:03:25.320 --> 0:03:28.360 already received, if you are vaccinated in a far more 0:03:28.360 --> 0:03:31.320 than two weeks out from your second dose UM or 0:03:31.360 --> 0:03:33.320 your first dose of the J and J vaccine, then 0:03:33.480 --> 0:03:36.440 you do do appear to be greatly protected with a 0:03:36.680 --> 0:03:41.400 very decreased risk of severe illness or hospitalization. So the 0:03:41.480 --> 0:03:44.119 last thing in terms of the other sort of masking 0:03:44.200 --> 0:03:47.400 and those things, which is very much implied in your question, UM, 0:03:47.480 --> 0:03:50.280 you know, if you are going into a very crowded space, 0:03:50.560 --> 0:03:54.040 it probably makes sense to UM to you know, to 0:03:54.160 --> 0:03:56.200 be air on the side of caution. So if you're 0:03:56.200 --> 0:03:59.000 at a concert or something that's extremely crowded and wearing 0:03:59.000 --> 0:04:02.400 a mask is certainly not out wrong UM and certainly 0:04:02.440 --> 0:04:04.520 can also afford some a bit of comfort to those 0:04:04.560 --> 0:04:07.160 people around you, because you really obviously can't tell who's 0:04:07.200 --> 0:04:09.920 vaccinated INTOISM. And thanks for the clarification, because you're right, 0:04:10.120 --> 0:04:12.600 it's more contagious, and I guess the fear is getting 0:04:13.160 --> 0:04:15.960 a variant that is more contagious as well as just 0:04:16.160 --> 0:04:19.120 much more severe. Right, that's the tricky point. So listen, 0:04:19.120 --> 0:04:20.520 one thing, since we've got about two and a half 0:04:20.520 --> 0:04:23.640 minutes left here. You guys are at the forefront when 0:04:23.640 --> 0:04:26.960 it comes to telehealth medicine. How does that stay with us? 0:04:28.920 --> 0:04:32.520 Um So, you know, telehealth is something that is continuing 0:04:32.640 --> 0:04:36.279 to UMU to stay as a very important part of 0:04:36.320 --> 0:04:39.160 the way that physicians and other health care professionals are 0:04:39.160 --> 0:04:41.880 treating their patients. And I think you know, this latest 0:04:41.880 --> 0:04:45.719 outbreak of the delta variant um is something that just 0:04:45.720 --> 0:04:48.840 sort of is reinforcing that. I think both from the 0:04:48.880 --> 0:04:51.280 professional side, on the side of doctors, they're aware that 0:04:51.320 --> 0:04:55.080 they're able to see more patients or deliver care to 0:04:55.120 --> 0:04:57.080 patients who they otherwise wouldn't be able to see through 0:04:57.080 --> 0:04:59.720 the use of telehealth. And then on the flip side, 0:04:59.720 --> 0:05:02.880 if you're or a patient knowing that you can communicate 0:05:02.920 --> 0:05:04.680 with your physician and not have to go to a 0:05:04.760 --> 0:05:07.440 hospital or go to a clinic where that you might 0:05:07.480 --> 0:05:09.880 see people, and maybe you are someone who is unable 0:05:09.920 --> 0:05:13.080 to be vaccinated because of an underlying medical condition. And 0:05:13.120 --> 0:05:16.239 so telehealth is clearly something that is playing an important 0:05:16.320 --> 0:05:18.839 role and we'll continue to play an important role and 0:05:18.920 --> 0:05:22.240 something that we see um, you know being discussed UM 0:05:22.360 --> 0:05:25.120 quite often on the Ductionmity network. What's the guidance in 0:05:25.240 --> 0:05:28.279 terms of well doctors at some point say well, that's 0:05:28.279 --> 0:05:30.040 a case where I need to see you in person. 0:05:30.120 --> 0:05:32.760 That's a case where I can see you, um, you 0:05:32.800 --> 0:05:37.080 know via online or you know telehealth in a telehealth method. 0:05:37.400 --> 0:05:40.360 And how is it that we as patients need to 0:05:40.400 --> 0:05:42.160 say no, this is something I need to go in for. 0:05:42.360 --> 0:05:44.279 This is something I can just quick get online with 0:05:44.320 --> 0:05:46.599 you about and just kind about. It's a it's a 0:05:46.600 --> 0:05:51.640 great question. Um. So there's always going to be a 0:05:52.200 --> 0:05:55.880 situations where you're not able to be fully evaluated via 0:05:55.960 --> 0:05:58.440 telehealth visit. That there's certain elements of the physical examp 0:05:58.440 --> 0:06:01.400 for insince which you're just impossible to do via a 0:06:01.520 --> 0:06:04.560 video visit. Um. That said, I think it's a conversation 0:06:04.600 --> 0:06:08.039 between the patients and their and their physician. If either 0:06:08.120 --> 0:06:11.320 side is not comfortable with the telehealth visit then um, 0:06:11.360 --> 0:06:14.720 and in person's visit is absolutely the next step um. 0:06:14.839 --> 0:06:17.640 Sometimes it's obvious, right if you have a cut or 0:06:17.680 --> 0:06:19.560 something on that certain need to go to the emergency 0:06:19.640 --> 0:06:22.400 room obviously, but for other things it will be just 0:06:22.480 --> 0:06:25.440 a combination of that conversation. If you, as a patient 0:06:25.440 --> 0:06:27.600 are uncomfortable and want to be seen in person, then 0:06:27.640 --> 0:06:30.720 you should emphasize that with your physician. Alright, great step 0:06:30.760 --> 0:06:33.279 to and a great point to end on. Peter, Thank 0:06:33.279 --> 0:06:35.240 you so much, Dr Peter alper and he is vice 0:06:35.240 --> 0:06:38.200 president at the now publicly held Oximity. They went public 0:06:38.279 --> 0:06:42.080 in June. They are a professional medical network for physicians. 0:06:42.200 --> 0:06:45.440 And Dr Alpern joining us on the phone from Austin, Texas. 0:06:45.560 --> 0:06:49.159 You're listening to Bloomberg Business Week with Carol Messer and 0:06:49.240 --> 0:06:53.720 Bloomberg Quick Takes Tim Stenovic on Bloomberg Radio. It's one 0:06:53.760 --> 0:06:56.400 for the history books. Amazon founder Jeff Bezos and three 0:06:56.480 --> 0:06:59.599 others landing safely after Blue Origins first flight to space 0:06:59.640 --> 0:07:02.880 with centers aboard, a key milestone in the company's effort 0:07:02.920 --> 0:07:05.880 to make space tourism viable. After the flight, Bloomberg Technology 0:07:05.880 --> 0:07:10.160 anchor Emily Chang getting the first interview with Jeff Bezos, 0:07:10.360 --> 0:07:12.640 and they talked about a lot, including the long term 0:07:12.720 --> 0:07:15.600 view check it out. What we're doing is we're building 0:07:15.640 --> 0:07:17.760 infrastrar This is a road. We're building a road to 0:07:17.840 --> 0:07:20.800 space so that future generations can build the future. We 0:07:20.840 --> 0:07:23.800 live on this beautiful planet. It's the most beautiful planet 0:07:23.800 --> 0:07:27.520 in the Source System by far, and we have to 0:07:27.600 --> 0:07:29.360 keep it safe and protect it. And the way to 0:07:29.440 --> 0:07:33.360 do that is slowly, over decades, to move all heavy industry, 0:07:33.400 --> 0:07:37.200 all polluting industry, out into space. That's what we're gonna 0:07:37.240 --> 0:07:39.280 do so we can keep this planet the gym that 0:07:39.360 --> 0:07:42.200 it is. But to do that, we need reusable spacecraft. 0:07:42.280 --> 0:07:44.600 We need low cost spacecraft. And to get that, we've 0:07:44.600 --> 0:07:47.000 got to practice. And that's what just touris and mission 0:07:47.040 --> 0:07:50.520 is about. That's Jeff Bezos alongside his brother Mark, speaking 0:07:50.600 --> 0:07:54.520 to our Emily Chang earlier right after they landed after 0:07:54.560 --> 0:07:56.480 going into space. Emily along with my co host and 0:07:56.480 --> 0:07:59.560 Bloomberg Cricktake anchor Tim Stanevik, leading our coverage of the mission. 0:07:59.560 --> 0:08:02.080 It was in credible this morning. Both are in Van Horne, 0:08:02.120 --> 0:08:04.440 Texas and join us now. So Emily and him, I 0:08:04.440 --> 0:08:08.000 guess I was glued to my phone watching the whole time. 0:08:08.680 --> 0:08:10.760 It took my breath away. Emily, you caught up with 0:08:10.800 --> 0:08:13.920 Bezos and his brother Mark, as I said the first 0:08:13.960 --> 0:08:18.800 interview after they landed, what struck you about today, Carol? 0:08:18.960 --> 0:08:21.600 It was an absolutely surreal day. You know, we as 0:08:21.680 --> 0:08:24.520 journalists cover a lot of different kinds of stories, and 0:08:24.560 --> 0:08:27.520 this is definitely one that I will remember. I mean, 0:08:27.520 --> 0:08:30.840 watching the rocket take off, there was this moment where 0:08:30.920 --> 0:08:32.640 you know, you look at it going up and then 0:08:32.679 --> 0:08:35.240 suddenly you say you realize again, oh my goodness, Jeff 0:08:35.240 --> 0:08:39.959 Bezos is on that rocket. Wow. Um And talking to him, 0:08:40.160 --> 0:08:42.480 being the first person to talk to him after he 0:08:42.600 --> 0:08:46.080 landed from the press, um was an incredible moment. I 0:08:46.080 --> 0:08:47.720 mean he was kind of at a loss for words. 0:08:47.800 --> 0:08:50.520 He said it was all inspiring, and then couldn't quite 0:08:50.640 --> 0:08:53.560 find the right words. He turned it over to his 0:08:53.640 --> 0:08:55.520 brother and said maybe he'd have to send a poet 0:08:55.559 --> 0:08:58.679 up to space so somebody could put into words. Um 0:08:58.760 --> 0:09:01.640 more eloquently just described that that feeling that he thinks 0:09:01.679 --> 0:09:04.040 everyone should experience. Well, and Tim, I'm gonna bring you 0:09:04.040 --> 0:09:06.160 in a minute, but Emily, this is something Jeff Bezos 0:09:06.200 --> 0:09:09.800 has been working on, you know, aspiring to do for 0:09:09.880 --> 0:09:19.080 whatever twenty years, twenty years perhaps, I mean his infatuation 0:09:19.200 --> 0:09:23.240 with space. His fascination with space goes back decades to 0:09:23.320 --> 0:09:27.319 when he was a child watching lunar landings with his grandfather. 0:09:27.800 --> 0:09:31.520 And Blue Origin itself is one years old. I mean, 0:09:31.600 --> 0:09:34.320 people don't realize that he has been at this a 0:09:34.360 --> 0:09:37.720 long time. There have been delays, there have been design issues, 0:09:37.800 --> 0:09:42.040 there have been UM prototypes exploding in mid air, and 0:09:42.080 --> 0:09:45.240 so the company has had to tackle that along the way. 0:09:45.360 --> 0:09:49.880 And him deciding to be the first UH passenger going 0:09:49.960 --> 0:09:52.360 up to space was actually a huge show of faith 0:09:52.400 --> 0:09:55.440 and everything that they've been working on. Nobody here necessarily 0:09:55.480 --> 0:09:58.439 expected it to actually have two astronauts on staff that 0:09:58.559 --> 0:10:01.200 everyone thought would be the first people on the first 0:10:01.200 --> 0:10:04.719 crude mission, But then Jeff Bezos raised his hand and said, no, 0:10:04.840 --> 0:10:07.040 it's gonna be me. Yeah, making a big statement by 0:10:07.080 --> 0:10:09.480 doing so, and then also bringing along the youngest and 0:10:09.559 --> 0:10:13.200 oldest astronaut ever. Ultimately, Hey, Tim, come on in on this. 0:10:13.360 --> 0:10:16.840 How was this trip similar or different to Alan Shepherd's 0:10:16.880 --> 0:10:21.280 historic trip into space some sixty years ago. Yeah, Well, 0:10:21.520 --> 0:10:23.800 you have to remember that the rocket that carried Bezos 0:10:23.840 --> 0:10:27.080 and crew up into space is named New Shepherd. It's 0:10:27.080 --> 0:10:30.240 it's a nod to Alan Shepherd's historic flight, and he 0:10:30.280 --> 0:10:32.520 mentioned it after the press conference and and said that 0:10:32.559 --> 0:10:35.400 the launch profile was very similar, and indeed it was, 0:10:35.920 --> 0:10:39.680 but the similarities kind of end there because this rocket 0:10:39.679 --> 0:10:44.160 from Blue Origin fully automated the experience from launch to touchdown, 0:10:44.440 --> 0:10:48.440 fully automated, obviously not that's not what happened with with 0:10:48.520 --> 0:10:51.680 the Mercury and with Alan Shepherd. In addition to that, 0:10:52.000 --> 0:10:54.480 um the idea of it being reusable. This was the 0:10:54.640 --> 0:10:57.400 third flight for this stack. That means that it had 0:10:57.440 --> 0:11:01.559 been the combination had been flown too times previously, and 0:11:01.880 --> 0:11:04.280 that's not something that was able to be done until 0:11:04.400 --> 0:11:06.720 just a few years ago. In addition to that, the 0:11:06.800 --> 0:11:09.480 capsule is much larger. Those huge windows that Blue Origin 0:11:09.600 --> 0:11:11.880 loves to talk about take up a third of the 0:11:12.040 --> 0:11:15.520 entire capsule. And then again, this is a vacation, this 0:11:15.559 --> 0:11:17.959 is an experience. This is meant to appeal to people 0:11:18.200 --> 0:11:20.120 who are tourists. Right, if we think back to what 0:11:20.200 --> 0:11:22.640 happened sixty years ago, we were locked in a dead 0:11:22.679 --> 0:11:24.800 heat with the Soviet Union and the space race, and 0:11:24.800 --> 0:11:27.800 in fact, many would argue that the Soviet Union had 0:11:27.880 --> 0:11:29.840 gone further than we had in a short time. The 0:11:29.840 --> 0:11:31.960 whole idea that was autonomous also just kind of blew 0:11:32.000 --> 0:11:33.640 my mind. My dad having done a lot of things 0:11:33.679 --> 0:11:35.000 in the space, but you always had a pilot, and 0:11:35.000 --> 0:11:37.600 then you had a back up pilot. Emily, I wonder 0:11:37.640 --> 0:11:39.600 if we did an injustice in terms of the media 0:11:39.640 --> 0:11:41.920 initially saying, you know, it's kind of the billionaire battle 0:11:42.040 --> 0:11:45.080 for space. It's much more than just a billionaire Emily 0:11:45.200 --> 0:11:50.360 going into space. Absolutely, and you know, Jeff Bezos, of course, uh, 0:11:50.559 --> 0:11:53.240 you know, space tourism is just the tip of the 0:11:53.240 --> 0:11:56.280 iceberg here. And he did say today that they've made 0:11:56.320 --> 0:11:58.760 almost a hundred million dollars with people buying tickets on 0:11:58.800 --> 0:12:02.280 the next two flights. But the real goal is to 0:12:02.400 --> 0:12:06.400 build that road to space, that infrastructure that will allow 0:12:06.679 --> 0:12:09.760 other entrepreneurs, other businesses, other people who don't have as 0:12:09.840 --> 0:12:13.520 much money as Jeff Bezos, uh, to do great things 0:12:13.880 --> 0:12:16.440 in space. He believes that Earth is the best place 0:12:16.480 --> 0:12:18.680 to live. This is not about getting to Mars. All 0:12:18.720 --> 0:12:23.400 other planets, he says, are inhospitable. We need to create 0:12:23.440 --> 0:12:27.120 the space economy to protect Earth, to tap the energy 0:12:27.160 --> 0:12:30.960 resources from the Sun or water from the Moon. And 0:12:31.040 --> 0:12:34.240 you know, it was interesting in the press conference, you know, 0:12:34.520 --> 0:12:36.680 somebody asked are you gonna do it again? And he said, 0:12:36.679 --> 0:12:39.000 hell yeah, And then we actually went out to the 0:12:39.080 --> 0:12:42.480 landing pad. We saw the booster where it landed on 0:12:42.559 --> 0:12:47.120 the landing pad and uh, they came out again and 0:12:47.160 --> 0:12:49.080 I said, it looks like it's ready to go back up. 0:12:49.120 --> 0:12:51.240 I mean the point is it's reusable. Are you ready 0:12:51.280 --> 0:12:54.959 for this event soon? And when he said yes, tomorrow. Um, 0:12:55.080 --> 0:12:58.240 so you know he's he was he's incredibly excited, and 0:12:58.640 --> 0:13:02.559 you know it's it's there is something poetic about this. Yes, 0:13:02.679 --> 0:13:06.400 he's being criticized. Um, yes, not everyone understands why he's 0:13:06.400 --> 0:13:09.160 investing in space. And his answer is it's it's not 0:13:09.240 --> 0:13:11.720 about not caring about Earth. I care about Earth. This 0:13:11.800 --> 0:13:14.480 is this is to help Earth in the future, very 0:13:14.520 --> 0:13:16.679 specific perspective, and I love it. While he funk, I'm 0:13:16.679 --> 0:13:18.880 assuming would also say I would go, and I'm guessing 0:13:18.920 --> 0:13:22.320 Tim and Emily might also be willing to go. I 0:13:22.360 --> 0:13:24.040 just will just ignore the quarter of a million dollars 0:13:24.040 --> 0:13:32.360 to get there. I'm journal now, but you let me drive? No, 0:13:32.360 --> 0:13:38.560 no, no no, home hone please, I'll do the drivel. I 0:13:38.640 --> 0:13:55.040 want to drive. Drive the question this is the drive 0:13:55.120 --> 0:13:58.600 to the globe. Give me thanks, we'll try us dawn 0:13:58.880 --> 0:14:01.840 on Bluebird Rady. So just about ten and a half 0:14:01.840 --> 0:14:04.959 minutes left in today's trading session. Charlie of course breaking 0:14:05.000 --> 0:14:07.640 down the trade here, and we have seen stocks up 0:14:07.679 --> 0:14:11.280 across the board throughout the day and holding near their 0:14:11.280 --> 0:14:13.400 best levels of the day. So let's get to it. 0:14:13.720 --> 0:14:16.400 Let's bring in Danna Dioria, CO, Chief Investment Officer, the 0:14:16.400 --> 0:14:21.680 Publicly Held Investment PMC, on the phone in Pennsylvania. Hey, Dana, 0:14:21.800 --> 0:14:24.520 good to have you back with us. You, guys, UM 0:14:24.680 --> 0:14:28.240 are all about providing support for financial advisors. You provide 0:14:28.280 --> 0:14:30.720 them tools. Tell us a little about what you are 0:14:30.800 --> 0:14:34.720 hearing from some of your clients. Yeah, thank you for 0:14:34.800 --> 0:14:38.040 having me so. UM, you're absolutely right. We provide tools 0:14:38.080 --> 0:14:42.120 to retail advisors, and certainly in this space, there's a 0:14:42.120 --> 0:14:45.120 lot of question around where should we be diversifying, how 0:14:45.120 --> 0:14:48.640 do we manage the fact that yields are so low? Um, 0:14:48.680 --> 0:14:50.760 you know Fixingcome right now. If I have a sixty forty, 0:14:50.800 --> 0:14:54.200 which is just the standard model for a lot of clients, 0:14:54.600 --> 0:14:58.120 you know it is going into something that's really low 0:14:58.200 --> 0:15:02.880 yielding and um, potentially negative real returns. So I think, UM, 0:15:02.920 --> 0:15:05.440 a lot of discussion on urns around, you know, alternative 0:15:05.480 --> 0:15:08.160 investments in other places to diversify. So when you are 0:15:08.200 --> 0:15:10.960 looking at alternative investments, like what really pops out for 0:15:11.000 --> 0:15:15.040 you right now? Well, certainly, I think, Um, there's questions 0:15:15.080 --> 0:15:18.600 about a couple of different things, right, hedge funds for diversification. 0:15:18.800 --> 0:15:22.080 Certainly last year with covid um, there was kind of 0:15:22.120 --> 0:15:25.040 resurgence of interest and hedge funds because they did perform 0:15:25.080 --> 0:15:28.560 well amidst the volatility, you know, and that from the 0:15:28.560 --> 0:15:30.520 perspective of what we hear from clients, that was a 0:15:30.560 --> 0:15:33.160 bit of a reversal because we have been a bowl 0:15:33.160 --> 0:15:35.720 market for so long that anything that didn't have high 0:15:35.800 --> 0:15:38.640 data was you know, not necessarily is that much interest. 0:15:38.720 --> 0:15:42.160 So resurgence there for the diversification, um, you know, the 0:15:42.200 --> 0:15:44.520 ability to not have as much volatility. And then you 0:15:44.520 --> 0:15:48.360 know private markets, right, private credit, private real estate, um, 0:15:48.400 --> 0:15:50.720 you know, private equity to just get a little bit 0:15:50.840 --> 0:15:54.240 higher return, a little bit higher yield. What do you 0:15:54.320 --> 0:15:57.560 make of, Okay, a little bit of correction or or 0:15:57.600 --> 0:16:01.520 selling yesterday, we bounced back today the bond market, while 0:16:01.560 --> 0:16:03.880 we've seen some firming when it comes to the yield 0:16:03.880 --> 0:16:06.400 on the tenure, certainly off the loads that we saw yesterday, 0:16:06.440 --> 0:16:11.280 nonetheless still very low. So what story are equities telling you? 0:16:11.320 --> 0:16:13.960 What story is the bond market or treasury is telling you? 0:16:14.280 --> 0:16:17.640 And are they the same stories? It's it's such a 0:16:17.640 --> 0:16:20.600 great question. It's definitely something that I think asset managers 0:16:20.640 --> 0:16:23.920 in general are wrestling with and and wealth managers the like, 0:16:24.160 --> 0:16:27.760 because of course you are seeing such strong equity markets, 0:16:27.760 --> 0:16:30.560 I mean, notwithstanding yesterday, and we have had some pullbacks 0:16:30.640 --> 0:16:32.480 which make a lot of sense, right when you when 0:16:32.480 --> 0:16:36.600 you think about the delta variants in COVID. You know, 0:16:36.960 --> 0:16:39.760 we're gonna have no spectators at the at the Olympics 0:16:39.800 --> 0:16:42.400 this year, so there's definitely some concern that, well, maybe 0:16:42.400 --> 0:16:45.400 we're not past this, so some pullbacks makes sense. But 0:16:46.000 --> 0:16:48.840 all in all, equity markets have have really been up 0:16:48.920 --> 0:16:53.600 obviously and and done fantastically well and earning beating estimates 0:16:53.640 --> 0:16:57.600 and expectations that that continues. So um and then you 0:16:57.680 --> 0:17:00.400 have just this, you know, the drop of the yield 0:17:00.440 --> 0:17:03.400 them a tenure which suggests that there is concerned in 0:17:03.400 --> 0:17:06.680 the market about future real growth and you know, maybe 0:17:06.720 --> 0:17:10.560 a policy error from the SUD So definitely conflicting messages. 0:17:10.800 --> 0:17:12.919 Obviously that the market is trying to deal with You know, 0:17:12.960 --> 0:17:15.480 I teased earlier that, um, we're gonna talk a little 0:17:15.480 --> 0:17:17.000 bit about E s G with you as well. And 0:17:17.040 --> 0:17:19.119 I think it's an interesting day where you have Jeff 0:17:19.119 --> 0:17:22.560 Bezos going into space Blue Origin. Uh. It has certainly 0:17:22.560 --> 0:17:25.320 been one of our focal points today. Jeff Bezos is 0:17:25.320 --> 0:17:28.320 talking about space exploration is about how to improve things 0:17:28.320 --> 0:17:31.840 on Earth and taking care of Earth. Amazon obviously someone 0:17:31.920 --> 0:17:35.240 that makes a big carbon footprint or has its impact 0:17:35.320 --> 0:17:38.520 right because we're you know, moving a lot of stuff around. Um, 0:17:38.640 --> 0:17:41.119 but Jeff is making that point about, you know, we 0:17:41.160 --> 0:17:43.960 have to really protect Earth, that this is what it's 0:17:43.960 --> 0:17:46.159 all about. I mean, why wouldn't we want to in 0:17:46.240 --> 0:17:49.399 terms of what's here specifically, And it kind of feeds 0:17:49.400 --> 0:17:52.159 into that bigger, broader investment theme of E s G, 0:17:52.400 --> 0:17:54.639 which we know a lot of companies are talking about it. 0:17:54.680 --> 0:17:57.640 We just mentioned about black Rock specifically when it comes 0:17:57.680 --> 0:18:00.520 to directors at companies, you know, the pressure they're putting 0:18:00.520 --> 0:18:04.800 on companies to be more climate sensitive and proactive. UM, 0:18:04.800 --> 0:18:08.440 E s G. It is still there's so much gray 0:18:08.520 --> 0:18:12.600 area there because the metrics aren't there to really measure it. 0:18:12.760 --> 0:18:15.600 How do you make us or how should we be 0:18:15.640 --> 0:18:19.320 thinking about it? And how do investors be smart about it? 0:18:19.320 --> 0:18:23.160 It's it's a great question, and you raise a lot 0:18:23.160 --> 0:18:25.720 of really important issues, right, So so we'll hit like 0:18:25.760 --> 0:18:29.320 these universal owners, these big owners like Black Rock, State Street. 0:18:29.920 --> 0:18:34.320 Obviously they're using their muscle to get better engagement from 0:18:34.320 --> 0:18:37.240 the companies that they're invested in. These are universal owners. 0:18:37.440 --> 0:18:40.520 You know, if there's a problem that comes from a transition, right, 0:18:40.560 --> 0:18:43.960 whether it's a physical risk of climate change or just 0:18:44.040 --> 0:18:46.439 transition risk, they know they're going to get hit, right 0:18:46.480 --> 0:18:48.520 because they're they own across the board, so there's no 0:18:48.600 --> 0:18:52.080 likes finding, you know, a shelter from that. So they're 0:18:52.240 --> 0:18:54.280 very much in tune to this, and the fact that 0:18:54.320 --> 0:18:57.880 they are, I think it gives information content about where 0:18:57.920 --> 0:18:59.840 maybe the rest of us should be thinking in terms 0:18:59.840 --> 0:19:03.199 of out there is systematic unpriced risk on this, and 0:19:03.240 --> 0:19:06.800 I think certainly when you drill down into different industries 0:19:06.840 --> 0:19:10.600 and different stocks within those industries, there are very very 0:19:10.680 --> 0:19:14.439 much varying postures on how they're handling this transition to 0:19:14.480 --> 0:19:17.520 a low carbon economy. So if you're a stock picker, 0:19:17.840 --> 0:19:20.000 that's where you're kind of focused, right. So moving away 0:19:20.040 --> 0:19:22.800 from the systematic and saying and look, there's there's risk 0:19:22.840 --> 0:19:25.639 here and there's also opportunity. And what we're seeing in 0:19:25.640 --> 0:19:29.040 the asset manager space now is the effort to integrate 0:19:29.040 --> 0:19:33.119 E s G into fundamental analysis, into looking at what 0:19:33.160 --> 0:19:35.720 should I look at for multiples on this stock? What 0:19:35.720 --> 0:19:38.280 should I look at in terms of the discount rate? Um? 0:19:38.440 --> 0:19:41.159 You know, and it crosses obviously into the SMG as 0:19:41.200 --> 0:19:43.919 well in terms of you know, how I'm treating my 0:19:44.160 --> 0:19:47.520 workers and um, you know the my governance policies and 0:19:47.560 --> 0:19:50.360 how does that impact. Now. You could argue a lot 0:19:50.359 --> 0:19:53.480 of this is just fundamental analysis that should always be 0:19:53.520 --> 0:19:55.800 taking place. But I think we're getting to your point. 0:19:55.960 --> 0:19:59.720 Data sources, they're not matching, they're not necessarily super Bowl 0:19:59.760 --> 0:20:02.560 or it did, but it's it's it's data that we 0:20:02.600 --> 0:20:05.119 didn't used to have. It's data that we didn't used 0:20:05.160 --> 0:20:07.159 to have, and I think it's going to increase. I 0:20:07.160 --> 0:20:10.000 think that's going to make for better asset management over time. Well, 0:20:10.040 --> 0:20:11.960 in a f I SEC chair Gary Ginsler has his 0:20:12.000 --> 0:20:15.800 way right, He's talked about a climate disclosure rule. Uh, 0:20:15.840 --> 0:20:18.760 and so we've talked about this with the CFO of Cisco, 0:20:19.119 --> 0:20:23.520 specifically about the need for you know, true disclosure and 0:20:23.560 --> 0:20:27.400 make it the responsibility of a regulatory body like the SEC, 0:20:27.520 --> 0:20:29.800 so that investors really know what they're investing in, so 0:20:29.840 --> 0:20:32.239 that when they are committing money, uh, if what they 0:20:32.280 --> 0:20:34.960 want to support is true E s G. That money 0:20:35.040 --> 0:20:38.720 is going to their commitments. Yeah. I think that's going 0:20:38.800 --> 0:20:41.600 to be key because what you have now too is 0:20:41.600 --> 0:20:44.960 even in the asset management industry, just such differences in 0:20:45.200 --> 0:20:47.280 what folks mean when they say, well, this is an 0:20:47.280 --> 0:20:49.639 E s G fond, right, and and what do we 0:20:49.680 --> 0:20:53.960 mean by that? So you absolutely need um better disclosures 0:20:53.960 --> 0:20:56.800 on these things better, you know. Obviously Gensler has talked 0:20:56.800 --> 0:21:00.359 about like is this an instrul issue where obviously you know, 0:21:00.440 --> 0:21:03.439 you're held too much higher standards if if it is, 0:21:03.920 --> 0:21:06.760 or is this you know, just something that you work 0:21:06.800 --> 0:21:09.720 out into, you know, kind of through the disclosures that 0:21:09.760 --> 0:21:12.280 the asset managers make. Hey, Dana, one thing I want 0:21:12.280 --> 0:21:16.000