WEBVTT - President Trump Facing Scrutiny Over Personal Finances 0:00:00.720 --> 0:00:03.720 This is Bloomberg Business Week. I'm Carol Masser and I'm 0:00:03.800 --> 0:00:06.320 Jason Kelly. We're right here every day bringing you the 0:00:06.400 --> 0:00:11.160 latest news from the world's of business and finance, plus technology, politics, economics, 0:00:11.240 --> 0:00:14.280 all harnessing the power of Business Week reporters and editors. 0:00:14.440 --> 0:00:16.439 And of course Carol that's part of a team of 0:00:16.520 --> 0:00:20.439 twenty seven hundred journalists and analysts more than a hundred 0:00:20.480 --> 0:00:23.280 and twenty countries and Jason. You can download Bloomberg Business 0:00:23.280 --> 0:00:26.239 Week on iTunes, SoundCloud, bl Bloomberg dot com. You can 0:00:26.280 --> 0:00:28.640 also listen to our radio show at two pm Eastern 0:00:28.680 --> 0:00:31.560 on Bloomberg Radio every weekday, or watch us on YouTube 0:00:31.600 --> 0:00:36.000 by searching Bloomberg Global News. Well, let's set the business 0:00:36.040 --> 0:00:39.800 week agenda, understand what investors may be thinking going into 0:00:39.840 --> 0:00:42.960 this week. Gina Martin Adams with this, chief equity strategist 0:00:43.000 --> 0:00:47.160 for Bloomberg Intelligence, joining us on the phone from New Jersey. So, Gina, 0:00:47.440 --> 0:00:48.879 nice to have you with us. A little bit of 0:00:48.880 --> 0:00:52.840 a different tone. What are investors thinking about today? Yeah, Well, first, 0:00:52.880 --> 0:00:54.639 thank you for having me. It's always good to join 0:00:54.680 --> 0:00:58.440 you guys on a Monday afternoon. In terms of what 0:00:58.480 --> 0:01:01.560 investors are thinking, I think it's all actually started um 0:01:01.600 --> 0:01:04.240 as if Thursday's trade. We noticed in our chart book 0:01:04.319 --> 0:01:07.360 last week that some of the stocks that really got 0:01:07.400 --> 0:01:11.080 us into this mess, namely the technology, communications, consumer discretionaries, 0:01:11.120 --> 0:01:13.959 some of those really high flyers over the summer had 0:01:14.040 --> 0:01:18.679 finally reached some signals of stabilization. As of Thursday's trades. 0:01:18.720 --> 0:01:20.440 We started to see a little bit of recovery in 0:01:20.440 --> 0:01:22.160 the broad market on Friday, and I think this is 0:01:22.160 --> 0:01:25.720 a lot of follow through of that recovery. Though I 0:01:25.720 --> 0:01:29.200 think it's really notable that it's not tech that's leading, 0:01:29.240 --> 0:01:31.559 and this has been part of our strategy really since 0:01:31.560 --> 0:01:34.600 the beginning of September. Our sector scorecards suggested that we 0:01:34.600 --> 0:01:36.800 were moving into a new phase of the market where 0:01:38.080 --> 0:01:41.680 the leadership would have to rotate to the sectors where 0:01:41.680 --> 0:01:46.320 we're exposed to experience the biggest economic recovery into one eventually, 0:01:47.000 --> 0:01:51.200 and that means not the tech COVID sort of safety plays, 0:01:51.240 --> 0:01:55.800 but more value cyclical type of stocks like the industrials 0:01:55.800 --> 0:01:59.040 and materials and energy in the world and even energy. 0:01:59.240 --> 0:02:00.920 So I think that what's happening is a bit of 0:02:01.000 --> 0:02:04.800 rotation and finally you get the tech sector stabilizing. So 0:02:04.920 --> 0:02:08.560 your primary source of downdraft in stocks is stable, and 0:02:08.600 --> 0:02:11.080 that allows for the sectors that have actually been performing 0:02:11.120 --> 0:02:15.480 reasonably well, like industrials and materials, to perform um and 0:02:15.560 --> 0:02:18.040 to continue to show that leadership well. And I do 0:02:18.120 --> 0:02:20.080 wonder Gina, and first of all, we love having you, 0:02:20.280 --> 0:02:22.040 so it's a great way for us to start off 0:02:22.040 --> 0:02:24.960 our week. Um is, do you think you're getting more 0:02:25.040 --> 0:02:27.440 visibility at all from CEOs? Jason and I talked to 0:02:27.440 --> 0:02:29.880 a lot of CEOs, and I still feel like there's 0:02:29.919 --> 0:02:32.240 still that like, yeah, we don't quite know what's going 0:02:32.400 --> 0:02:35.000 you know one. But do you feel like you're starting 0:02:35.000 --> 0:02:37.680 to get a little bit more guidance? Uh, certainly when 0:02:37.720 --> 0:02:40.359 it comes to earnings and earnings growth. Yeah, I think 0:02:40.360 --> 0:02:42.680 you're getting guidance on some things, but not on others. 0:02:43.360 --> 0:02:46.000 I think I think CEO they're picking and choosing very 0:02:46.040 --> 0:02:49.160 carefully where they can provide visibility, they will. For instance, 0:02:49.560 --> 0:02:51.640 you know, if you flashback six months ago, there was 0:02:51.680 --> 0:02:54.440 no visibility because there were companies were scrambling to such 0:02:54.440 --> 0:02:57.680 an extent that they were just working to survive, let 0:02:57.720 --> 0:03:00.400 alone thurrive. And I think that the converse that is 0:03:00.440 --> 0:03:04.240 slowly shifting to how do we thrive. How do we 0:03:04.320 --> 0:03:07.000 do well in an environment where we do have a 0:03:07.000 --> 0:03:09.040 lot of people still working from home. There are still 0:03:09.080 --> 0:03:12.120 a lot of unemployed, but there is incremental improvement in 0:03:12.120 --> 0:03:16.360 the economy. How do we navigate an economy that's partially 0:03:16.480 --> 0:03:20.560 open but operating in a different way than economy. It's 0:03:20.600 --> 0:03:23.480 certainly not the crisis mode that we were in in 0:03:23.520 --> 0:03:26.200 the fall, but I do think that there is a 0:03:26.240 --> 0:03:29.799 little bit more forward looking commentary, more focus on how 0:03:29.840 --> 0:03:33.360 to grow rather than just how to survive. Now that 0:03:33.400 --> 0:03:36.720 we've gotten past the peak of the crisis period, it's 0:03:36.760 --> 0:03:40.720 about how do we navigate this new recovery Either. That said, 0:03:40.960 --> 0:03:44.320 nobody has fantastic visibility into what the economy is going 0:03:44.360 --> 0:03:48.839 to look like, obviously, but there are some signs of light. 0:03:49.040 --> 0:03:52.000 There are some signs of improvement. There are the CEOs 0:03:52.040 --> 0:03:54.520 that have had the experience of recovery in China and 0:03:54.560 --> 0:03:58.640 can kind of take that story of Asian recovery and 0:03:58.640 --> 0:04:01.640 and place it on in the Western world and say, well, 0:04:01.640 --> 0:04:03.640 where could we go from here and what does our 0:04:03.640 --> 0:04:08.200 outlook look like in a post COVID environment. Yeah, it's 0:04:08.200 --> 0:04:10.640 also interesting, Gina, And I know this is a loaded 0:04:10.640 --> 0:04:13.280 word when it comes to two markets, but there's almost 0:04:13.280 --> 0:04:18.880 this sense of capitulation or maybe resignation that, Listen, the 0:04:18.920 --> 0:04:20.560 virus is going to be with us for for some 0:04:20.640 --> 0:04:23.800 amount of time, and maybe longer than we certainly thought 0:04:23.800 --> 0:04:26.640 in March or April, but we're learning to live with 0:04:26.680 --> 0:04:28.600 it in a certain way. Obviously, the next few months 0:04:28.600 --> 0:04:32.560 are going to be um difficult and and and we 0:04:32.600 --> 0:04:35.719 don't know what to expect, but investors sort of living 0:04:35.760 --> 0:04:39.719 with it to some extent and getting and maybe understanding 0:04:39.760 --> 0:04:42.520 that the new normal is a new normal with the virus, 0:04:42.520 --> 0:04:45.560 not a new normal post virus in some ways. Yeah, 0:04:45.600 --> 0:04:48.080 I think that. I think that's absolutely spought on correct 0:04:48.160 --> 0:04:50.320 is and that's the change in the language. Right If 0:04:50.320 --> 0:04:52.920 you think six months ago, it was okay, well this 0:04:53.000 --> 0:04:55.680 might go away soon, and then it was okay, that's 0:04:55.720 --> 0:04:58.880 never going to go away, and now it's well, we're 0:04:58.880 --> 0:05:02.000 going to make incremental progress to improvement. But the reality 0:05:02.080 --> 0:05:04.480 is we're not going to go back to anytime soon. 0:05:04.880 --> 0:05:06.800 It's not going to just completely go away, but it 0:05:06.880 --> 0:05:10.160 also is not going to be crisis mode forever. So 0:05:10.200 --> 0:05:11.800 I think we're trying to kind of trying to find 0:05:11.839 --> 0:05:15.120 that middle ground. It's a little bit more about realism 0:05:15.160 --> 0:05:19.760 and assessing where the realistic outlook is. At the same time, 0:05:19.760 --> 0:05:23.080 there obviously is a lot of fireworks coming out of Washington. 0:05:23.200 --> 0:05:29.520 I mean, you've got everything from what It's amazing how 0:05:29.600 --> 0:05:33.400 much we are contending with in terms of just political 0:05:33.520 --> 0:05:38.040 volatility right now in the midst of this virus environment. 0:05:38.320 --> 0:05:40.400 And so I think that companies are going to have 0:05:40.440 --> 0:05:43.720 to address that in the post election period when we 0:05:43.760 --> 0:05:47.200 know who the players are in Washington, right and we 0:05:47.240 --> 0:05:49.520 don't even know when we're going to know at this point, 0:05:49.600 --> 0:05:52.599 so that even that is up for a speculation, all right, 0:05:52.640 --> 0:05:54.320 Gina Martin Adams, thank you so much. Great way to 0:05:54.360 --> 0:05:57.800 start the week, Chief Equity Strategies for Blueberg Intelligence. Joining 0:05:57.839 --> 0:06:02.599 us on the phone from Jersey. This is Bloomberg Business 0:06:02.680 --> 0:06:06.679 Week with Carol Masser and Jason Kelly on Bloomberg Radio. 0:06:07.000 --> 0:06:11.320 Well Global COVID nineteen cases topping thirty three million as 0:06:11.360 --> 0:06:13.880 infections in India reached the six million mark, the official 0:06:13.880 --> 0:06:17.479 death toll nearing one million worldwide. The experts say the 0:06:17.520 --> 0:06:21.240 real tally maybe almost double that. Let's get back to 0:06:21.360 --> 0:06:23.600 someone it's been one of our he has been one 0:06:23.600 --> 0:06:26.880 of our go to voices. During the COVID nineteen pandemic. 0:06:27.120 --> 0:06:29.760 Dr Sandra Galia is back with us. Diana, professor at 0:06:29.760 --> 0:06:33.200 Boston University School of Public Health, author of Pained Uncomfortable 0:06:33.240 --> 0:06:36.400 Conversations about the public's health, and he joins us once 0:06:36.400 --> 0:06:40.320 again on the phone from Boston UM. Dr Galia, so 0:06:40.440 --> 0:06:42.760 nice to have you back with Jason and myself. How 0:06:42.800 --> 0:06:47.159 are you, how's this school? Tell us how things are going? Hi? Gerald, 0:06:47.200 --> 0:06:49.120 Hi Jason, Thank you for having me again. You know 0:06:49.160 --> 0:06:52.040 it has been there has been a challenging month. I 0:06:52.080 --> 0:06:55.039 think it's a challenging month for everybody who is part 0:06:55.080 --> 0:06:58.320 of an institution that is trying to balance the risks 0:06:58.360 --> 0:07:01.200 of the moment we are. We are a university have 0:07:01.360 --> 0:07:04.800 been reopening cautiously, carefully with a lot of testing, a 0:07:04.839 --> 0:07:07.880 lot of contact, tracing, a lot of isolation as needed, 0:07:08.320 --> 0:07:11.080 and really working hard to keep the community safe. We'll 0:07:11.120 --> 0:07:14.800 also working on our mission and continuing teaching and containing 0:07:14.800 --> 0:07:16.880 our research. And it's a tough balance. I think it's 0:07:16.880 --> 0:07:19.320 a tough balance for everybody, and and it's part of 0:07:19.520 --> 0:07:22.920 I think a broader societal place where we are at, 0:07:22.960 --> 0:07:26.320 where we are recognizing that we are living with COVID 0:07:26.440 --> 0:07:29.320 for some time now and uh, and we cannot afford 0:07:29.400 --> 0:07:33.400 to keep our world slow down because there are important 0:07:33.400 --> 0:07:36.440 things that we have to do. And so give us 0:07:36.480 --> 0:07:39.680 a sense of that balance, Dr Galia, like, what is 0:07:39.720 --> 0:07:43.600 something where you feel like you've found it in terms 0:07:43.680 --> 0:07:49.280 of either staffing or class size or doing labs, Like, 0:07:49.560 --> 0:07:51.760 give us an example of where you feel like, Okay, 0:07:51.800 --> 0:07:55.760 well this this feels about as good as we can get. Well, Jason, 0:07:55.800 --> 0:07:58.600 I think, uh, I don't think I feel confident telling 0:07:58.600 --> 0:08:01.000 you anything as good as at the camp. I think 0:08:01.000 --> 0:08:02.920 I think everything is a working progress. Don't. Let's talk 0:08:03.160 --> 0:08:07.080 about what we're doing. So we as a university are 0:08:07.200 --> 0:08:10.640 testing people extensively. We have about five to six thousand 0:08:10.640 --> 0:08:14.160 tests a day happening, so students are tested in multiple 0:08:14.200 --> 0:08:18.000 times a week. We have a lot of people who 0:08:18.080 --> 0:08:20.200 are involved bought in the testing, but then also somebody 0:08:20.240 --> 0:08:22.960 tests positive and the contact racing to see who they've 0:08:22.960 --> 0:08:24.720 been in contact with. Right, So the idea is, and 0:08:24.760 --> 0:08:27.320 we had discussed this before in our previous conversations, the 0:08:27.360 --> 0:08:30.119 idea with testing is that you catch a case early 0:08:30.200 --> 0:08:32.000 so that it does not become a cluster that does 0:08:32.000 --> 0:08:35.360 not then continue the epidemic. So you find the case, 0:08:35.720 --> 0:08:38.559 you do contact tracing, you find the people around that case, 0:08:38.720 --> 0:08:42.040 you quarantine those people, and you isolate the case. And 0:08:42.160 --> 0:08:45.560 of course all of that is superimposed over a very 0:08:45.600 --> 0:08:49.240 strict regiment of building hygiene, and by that I mean 0:08:49.720 --> 0:08:53.600 ventilation and the building wiping down surfaces, a very strong 0:08:54.000 --> 0:08:58.200 public campaign for people to remain safe, wearing masks, making 0:08:58.240 --> 0:09:00.360 sure that people are not in if they're sick, and 0:09:00.520 --> 0:09:03.640 everyday doing symptoms screens for everybody. So it really is 0:09:03.640 --> 0:09:08.239 a fairly comprehensive effort, and it is in some respects 0:09:08.840 --> 0:09:11.319 I think the challenges that it's a comprehensive effort that 0:09:11.360 --> 0:09:14.320 has to happen now and has to keep happening really 0:09:14.480 --> 0:09:18.599 for weeks and months until there is a definitive vaccine 0:09:18.640 --> 0:09:22.160 for COVID. Talk to me about contact tracing, because I 0:09:22.200 --> 0:09:27.000 feel like we are getting very mixed results, mixed reviews 0:09:27.240 --> 0:09:30.000 in terms of people essentially saying yep, I'm not going 0:09:30.080 --> 0:09:32.360 to cooperate. It's voluntary, and I'm not going to tell 0:09:32.400 --> 0:09:35.319 you either I don't want to get in trouble because 0:09:35.360 --> 0:09:38.600 I was at a party, or I feel like it's 0:09:38.600 --> 0:09:42.960 an invasion of my privacy. How do you manage that well. 0:09:43.000 --> 0:09:46.280 In some respects, I think it's easier to manage that 0:09:46.400 --> 0:09:50.400 within a closed system of one institution versus in the 0:09:50.400 --> 0:09:52.600 general population. Right, So in our in our system, in 0:09:52.640 --> 0:09:56.280 our system, we have been very clear that this is 0:09:56.480 --> 0:09:58.960 part of the cost of citizenship. If you're if you're 0:09:58.960 --> 0:10:01.520 going to be part of the community, you have responsibility 0:10:01.559 --> 0:10:03.520 to work towards keeping others safe. And part of that 0:10:03.600 --> 0:10:07.720 responsibility is if you test positive, is that you talk 0:10:07.800 --> 0:10:09.480 to the contact tracers and you told them who you've 0:10:09.520 --> 0:10:11.000 been in contact with, so that they can reach out 0:10:11.040 --> 0:10:12.600 to those people and make sure we keep them safe 0:10:12.640 --> 0:10:15.520 as well. It's harder to do that in the general population. 0:10:15.559 --> 0:10:18.319 There's not a lot of reports about fifty people in 0:10:18.360 --> 0:10:21.480 general population answer and talk to contact traitors. That's that's 0:10:21.480 --> 0:10:23.640 in the general population where I think there isn't as 0:10:23.679 --> 0:10:26.439 much of a sense of shared responsibility for one another 0:10:26.480 --> 0:10:28.680 there should be. I'm just reflecting on probably what's going 0:10:28.760 --> 0:10:31.400 out there. Yeah, now that's a big part of it. 0:10:31.480 --> 0:10:33.080 I mean, Jason and I've talked about it. I know, 0:10:33.120 --> 0:10:35.920 when my daughter got together with some classmates at the 0:10:36.000 --> 0:10:38.199 end of the summer and we had kind of quarantined 0:10:38.200 --> 0:10:41.440 her for months. You know, we as families went into 0:10:41.440 --> 0:10:43.680 it saying Okay, what have you been doing? Who's getting tested? 0:10:43.760 --> 0:10:45.960 You know, like there was this sense of community to 0:10:46.000 --> 0:10:48.800 make sure everybody stayed safe. And I feel like, you know, 0:10:49.640 --> 0:10:52.440 there not everybody's on the same page with that. Also, 0:10:52.679 --> 0:10:55.480 to be fair and Dr Glaire, you understand that's not 0:10:55.559 --> 0:10:57.880 everybody can be on the same page. There are some 0:10:57.920 --> 0:11:00.000 people that you know, if they don't go to work, 0:11:00.000 --> 0:11:02.680 they don't get paid in it, they're in a tougher predicament. 0:11:02.800 --> 0:11:05.760 And I just you know, I just well, I think, 0:11:05.840 --> 0:11:08.000 I mean, this is why, this is why Carol, I 0:11:08.040 --> 0:11:10.559 think the reopening is so important. I think it's a 0:11:10.920 --> 0:11:14.000 The data are very clear, for example, that your chances 0:11:14.000 --> 0:11:16.120 of being able to work from home are much higher 0:11:16.160 --> 0:11:20.160 if you're in the top quartile of income. So people 0:11:20.160 --> 0:11:21.800 who are who are who have to go to work 0:11:21.880 --> 0:11:23.840 are people who are already making less income. We know 0:11:23.920 --> 0:11:26.760 that it overlaps with race, right. We know that the 0:11:26.800 --> 0:11:29.960 disproportionate burn of COVID in many respects was because we 0:11:30.080 --> 0:11:32.959 expose people that low income people of color often to 0:11:33.200 --> 0:11:36.320 work before we understood how COVID works. But the the 0:11:36.360 --> 0:11:39.280 economic shutdown, I feel like the public conversation about the 0:11:39.280 --> 0:11:42.880 economic slowdown hasn't been fair because, to be to be frank, 0:11:43.440 --> 0:11:46.800 it's been there. It's been directed by people whose livelihoods 0:11:46.800 --> 0:11:50.560 that's not really at risk from economic slowdown because they 0:11:50.559 --> 0:11:52.600 can work from home. But the fact that more than 0:11:52.640 --> 0:11:55.439 half the population cannot work from home. So if we 0:11:55.520 --> 0:11:58.640 if we if we say, if we take the premise 0:11:58.720 --> 0:12:01.800 that well, we should reduce risk of COVID at all costs, well, 0:12:02.360 --> 0:12:03.920 do we really mean at all costs or do we 0:12:03.960 --> 0:12:06.240 mean at all costs to somebody else? I think we 0:12:06.240 --> 0:12:07.520 need to be honest with that, and and and and 0:12:07.640 --> 0:12:11.200 economic slowdowns hurt people who are already at the low 0:12:11.360 --> 0:12:14.200 end of making income, and that is something that we 0:12:14.240 --> 0:12:16.199 as a society have a responsibility to try to avoid 0:12:16.200 --> 0:12:18.200 as much as possible. To get back to our conversation 0:12:18.480 --> 0:12:21.360 with Dr Sandro Galia, dean at the Boston University School 0:12:21.360 --> 0:12:23.360 of Public Health, also the author of the book Pained 0:12:23.440 --> 0:12:27.360 Uncomfortable Conversations about the Public's Health. So let's talk about 0:12:27.360 --> 0:12:31.240 the public's health. Dr Galia, What can we be doing 0:12:31.960 --> 0:12:34.320 before we get to the other side of this? What 0:12:34.480 --> 0:12:38.360 should we be doing to ensure that we don't lose 0:12:38.480 --> 0:12:41.520 sight of these inequalities that have been laid bare by 0:12:41.520 --> 0:12:46.040 this pandemic. And Jason, I think what the pandemic has 0:12:46.080 --> 0:12:48.000 shown us, and I like your use of the term 0:12:48.080 --> 0:12:51.040 laid bare. It has shown us the inequalities that existed 0:12:51.080 --> 0:12:55.199 already before the pandemic. The country is really shaped by 0:12:55.320 --> 0:12:58.520 deep socio economic and equalities and deep racial inequalities. And 0:12:58.559 --> 0:13:01.439 those inequalities have helped analogus. Just like we have have 0:13:01.679 --> 0:13:03.320 the have not, we have held haves and have not 0:13:03.760 --> 0:13:07.400 around those two acts. Now, the the pandemic revealed that 0:13:07.440 --> 0:13:09.800 we have Black Americans have two and a half times 0:13:09.840 --> 0:13:13.040 greater risk of dying during COVID than white Americans, and 0:13:13.080 --> 0:13:16.559 that is largely due to the double whammy of one 0:13:16.840 --> 0:13:19.679 greater burden of disease among the black Americans had convered 0:13:19.679 --> 0:13:22.720 the white Americans, and number two that a disproportionate number 0:13:22.720 --> 0:13:25.199 of them work in what we came to call sort 0:13:25.200 --> 0:13:28.280 of essential work, frontline work, work that exposed them to 0:13:28.280 --> 0:13:31.600 get in COVID. So to my mind, what COVID is 0:13:31.640 --> 0:13:34.640 now letting us see what was already there for us 0:13:34.640 --> 0:13:36.480 to see had we looked for it. So the question 0:13:36.520 --> 0:13:39.520 you ask is, how do we not forget this, and 0:13:39.559 --> 0:13:41.800 I think we do not forget this frankly, by continue 0:13:41.840 --> 0:13:44.920 to have the conversation and and saying to ourselves the 0:13:45.000 --> 0:13:49.679 time to fix these inequities by socioconomic class, by by 0:13:49.800 --> 0:13:53.040 race is not when we're under dress room pandemic. It's 0:13:53.040 --> 0:13:55.840 when the pandemic is over, before the next pandemic. So 0:13:55.880 --> 0:13:58.640 I really think that there's going to be and there 0:13:58.720 --> 0:14:02.360 should be a reckoning with what are the forces in 0:14:02.400 --> 0:14:05.199 our society economic forces to social forces that we need 0:14:05.280 --> 0:14:07.720 to realign once the pandemic is over. You know, the 0:14:07.760 --> 0:14:10.920 metaphor that keeps running through my mind is you're on 0:14:11.000 --> 0:14:13.280 a ship going through a storm, right, and the ship 0:14:13.320 --> 0:14:15.120 going through a storm, and the ship is not doing 0:14:15.120 --> 0:14:17.360 well because it's leaking or because the sailors don't know 0:14:17.400 --> 0:14:20.080 what they're doing well. While you're going through the storm, 0:14:20.160 --> 0:14:21.800 the best you can do is try to patch up 0:14:21.800 --> 0:14:24.720 the patch, patch up the prow, and get your sailors 0:14:24.760 --> 0:14:27.200 to do something that's not too terrible. But really, the 0:14:27.200 --> 0:14:28.760 time when you should be fixing the ship is when 0:14:28.760 --> 0:14:31.160 you're past the storm, So you should be getting the 0:14:31.160 --> 0:14:33.680 ship ready to face the next storm. And we as 0:14:33.680 --> 0:14:37.560 a country have ignored this for for decades, so it 0:14:37.760 --> 0:14:42.000 is if one were to be silver lining inclined, this 0:14:42.040 --> 0:14:45.080 could be a good time for reflection for us once 0:14:45.120 --> 0:14:47.400 we get past this pandemic and say, what are the 0:14:47.480 --> 0:14:50.360 structures we want to build to make the country healthier 0:14:50.400 --> 0:14:53.320 and ready for the next time. What would be the 0:14:53.360 --> 0:14:57.160 structures you would build? Well, I think the big mistake 0:14:57.200 --> 0:15:00.920 carel that we've been making is we con late healthcare 0:15:01.040 --> 0:15:04.680 with health We spend more on healthcare than any the 0:15:04.760 --> 0:15:07.160 country in the world by a lot, by about more 0:15:07.440 --> 0:15:10.240 than any other country in the world, and yet compared 0:15:10.280 --> 0:15:12.920 to other high income countries, which is really only fair comparison, 0:15:13.520 --> 0:15:15.800 we have the worst health indicators compared to you know, 0:15:15.840 --> 0:15:18.840 we we have lower life expectancy, we have higher heart disease, 0:15:18.880 --> 0:15:21.880 we have higher cancer mortality rates. Now why is that? 0:15:22.080 --> 0:15:24.600 The reason that is is very simple. It's because all 0:15:24.600 --> 0:15:27.640 our money goes into high tech medicine that's there to 0:15:27.720 --> 0:15:30.040 cure us when we all least sick. What we need 0:15:30.080 --> 0:15:32.640 to do is we need to prevent disease before it starts. 0:15:32.640 --> 0:15:35.840 And the way to do that is by having livable wages, 0:15:36.040 --> 0:15:40.120 safe housing, availability of nutritious food, gender equity, less violence, 0:15:40.440 --> 0:15:42.440 and unless we invest in those forces, we are going 0:15:42.480 --> 0:15:44.840 to keep pumping money into healthcare and our health is 0:15:44.840 --> 0:15:47.640 still going to light behind. So that's at the fundamental level. 0:15:48.040 --> 0:15:52.160 It requires understanding what what produces health and invested in 0:15:52.200 --> 0:15:55.640 what produces health, not just investing in healthcare. Yeah, that's 0:15:55.680 --> 0:16:00.640 a really Dr Sandragolia, thank you so much. Really nice 0:16:00.680 --> 0:16:02.240 to have you back with us. We look forward to 0:16:02.320 --> 0:16:04.760 next time for sure. Dean of Boston University's School of 0:16:04.760 --> 0:16:08.280 Public Health also the author of Pained Uncomfortable Conversations about 0:16:08.320 --> 0:16:11.480 the Public's Health, and it's such an important point. Carol 0:16:12.080 --> 0:16:14.360 and I had never really heard it distilled down like 0:16:14.440 --> 0:16:17.480 that we separate healthcare from health. We do think we 0:16:17.520 --> 0:16:19.400 think about it when we talk about it from an 0:16:19.400 --> 0:16:23.200 investment perspective. It's the health care industry. But all of 0:16:23.200 --> 0:16:26.280 those things that he talked about, and education, I feel 0:16:26.320 --> 0:16:30.320 like there's a pretty clear um path too. But nutrition, 0:16:30.400 --> 0:16:33.400 I feel like sometimes food we separate from health. We 0:16:33.440 --> 0:16:36.360 totally do. But I thought what he said about livable wages, 0:16:36.880 --> 0:16:41.600 safe housing, you wouldn't necessarily correlate that right with better 0:16:41.680 --> 0:16:45.400 health either. But it's all intertwined. You need all of 0:16:45.440 --> 0:16:48.280 a total steps that that whole last thing, how he 0:16:48.320 --> 0:16:50.880 tied it up, I thought was just brilliant. That's a 0:16:50.920 --> 0:16:53.600 T shirt all on its own. That's that's like a 0:16:53.720 --> 0:16:57.800 jogging suit plus socks and sneaks. I'm just going to say, 0:16:58.000 --> 0:17:02.040 courtesy of Dr Sandrew Galleia, this is Bloomberg Business Week 0:17:02.240 --> 0:17:06.280 with Carol Messer and Jason Kelly on Bloomberg Radio. Well, 0:17:06.320 --> 0:17:08.959 I'm really excited to talk about this next story because 0:17:09.080 --> 0:17:13.160 it's just in such the Bloomberg wheelhouse and so appropriate 0:17:13.760 --> 0:17:15.879 for a time when we're talking so much about it 0:17:15.880 --> 0:17:18.640 could be a Netflix series two and how it's managed. 0:17:18.680 --> 0:17:20.919 I know, it's so great. Neil Weinberg, one of our 0:17:20.960 --> 0:17:23.720 favorite reporters here are senior projects and an investigations reporter 0:17:23.760 --> 0:17:26.880 for Bloomberg. Johnny is on the phone from New York 0:17:26.920 --> 0:17:29.480 along with Joel Webber, the editor of Bloomberg Business Week. 0:17:29.720 --> 0:17:32.360 He joins us from Massachusetts, and Joel, I feel like 0:17:32.720 --> 0:17:35.240 this is also one of these stories that's so in 0:17:35.359 --> 0:17:38.120 the Joel Webber wheelhouse too, because you were the editor 0:17:38.160 --> 0:17:41.240 of Bloomberg Markets before you became theater of Bloomberg Business Week, 0:17:41.280 --> 0:17:44.440 so you understand all the intricacies of this world. Set 0:17:44.440 --> 0:17:47.199 this up for us. It's funny. It actually makes me 0:17:47.880 --> 0:17:50.919 remember a very similar story that Neil did for me 0:17:51.040 --> 0:17:53.840 once upon a time that actually goes to some similar places. 0:17:53.880 --> 0:17:56.240 And this is the story that Neil spent a lot 0:17:56.240 --> 0:17:59.600 of time on and it's a really interesting one because 0:18:00.000 --> 0:18:03.600 all rich people in their bankers UM and if that 0:18:03.640 --> 0:18:07.280 doesn't get your attention, I don't know what does, especially 0:18:07.280 --> 0:18:11.720 here in September right exactly. So, So Neil, let's let's 0:18:11.720 --> 0:18:15.600 talk about this, because it's not a story that UM 0:18:15.800 --> 0:18:19.320 goes particularly well for the rich guy, or at least 0:18:19.320 --> 0:18:23.280 it hasn't so far. What's what are we talking about? No, 0:18:23.440 --> 0:18:25.679 I guess the sort of conceit of the of the 0:18:25.880 --> 0:18:29.480 story is the idea that when you're talking about private banking, 0:18:29.600 --> 0:18:32.679 the banking for the super rich, you're talking about the 0:18:32.720 --> 0:18:36.159 service that you don't get walking into your local branch office. 0:18:36.520 --> 0:18:39.960 And this goes obviously to things like investing and putting 0:18:39.960 --> 0:18:42.879 your money in savings accounts, but it also goes to 0:18:43.040 --> 0:18:47.919 things that can include outside investments or sports tickets or 0:18:48.040 --> 0:18:52.119 dinner reservations or private planes or you name it, and 0:18:52.200 --> 0:18:55.000 they'll arrange it for you. And the question in the 0:18:55.040 --> 0:18:58.680 story is, at what point does it stop becoming banking 0:18:58.840 --> 0:19:02.960 and become something else. At what point are the clients 0:19:03.240 --> 0:19:05.760 lulled into sort of a sense of comfort with their 0:19:05.800 --> 0:19:10.440 bankers where they're not exactly trusting but verifying. Yeah, who 0:19:10.440 --> 0:19:13.280 are the characters that you're talking about here, Neil? In 0:19:13.320 --> 0:19:17.879 this case, we're talking about a extremely wealthy young Mexican 0:19:18.480 --> 0:19:23.800 gentleman named Moises Coco Spinosa. He inherited a lot of money, 0:19:23.800 --> 0:19:25.600 went at a very young age, when he was in 0:19:25.640 --> 0:19:30.280 his teens. Among his holdings is a buildings fifty nine 0:19:30.320 --> 0:19:33.439 stories on the corner of Fifth Avenue and forty two Street, 0:19:33.480 --> 0:19:36.640 across from the New York Public Library, to name one. 0:19:37.119 --> 0:19:39.000 Uh So, he had a lot of money at a 0:19:39.119 --> 0:19:44.359 very young age, and he was introduced to a pretty 0:19:44.400 --> 0:19:47.800 young banker banker who at the time was in his twenties, 0:19:48.359 --> 0:19:52.600 and they struck up a relationship which from our reporting 0:19:52.640 --> 0:19:57.080 indicates that it was professional, it was also social and 0:19:57.280 --> 0:19:59.920 uh it sort of gets into the story, gets into 0:20:00.000 --> 0:20:03.040 of the dark corners of you know, what is trust 0:20:03.119 --> 0:20:07.120 and what is appropriate uh in in banking and beyond. Well, 0:20:07.200 --> 0:20:09.960 I also feel, like you know, Neil, that it raises 0:20:10.080 --> 0:20:14.080 questions like are these relationships usually mutually beneficial. I mean, 0:20:14.119 --> 0:20:17.199 there's fees that the banker gets for doing transactions and 0:20:17.200 --> 0:20:20.240 so on and so forth. But I do wonder there's 0:20:20.240 --> 0:20:23.320 a balance, right, and I feel like this story gets 0:20:23.320 --> 0:20:27.520 too Did the bankers go you know, over the line 0:20:27.560 --> 0:20:31.920 in terms of what they did? Absolutely, And obviously you're 0:20:31.960 --> 0:20:35.600 always going to have attention in a sales environment, whether 0:20:35.640 --> 0:20:39.399 you're selling cards or computers or banking services, where the 0:20:39.480 --> 0:20:43.760 more revenue you generate for your employer probably means you'll 0:20:43.800 --> 0:20:46.960 get paid more too, which was the case here. And 0:20:47.080 --> 0:20:49.879 on the other hand, obviously it's a good deal for 0:20:50.040 --> 0:20:52.840 a client to get a good deal, so you have 0:20:52.920 --> 0:20:55.200 to sort of strike a balance. And in this case, 0:20:56.040 --> 0:20:59.560 after many years where the banker and the client we're 0:20:59.600 --> 0:21:02.800 working together, the client came to the conclusion that no, 0:21:02.960 --> 0:21:07.160 he wasn't getting good service, he was getting ripped off Neil. 0:21:07.240 --> 0:21:10.320