WEBVTT - Covid Treatment Eliminated Death in Study, Says Eli Lilly 0:00:01.400 --> 0:00:04.120 Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, along 0:00:04.120 --> 0:00:06.200 with my co host of Bonnie Quinn. Every business day 0:00:06.240 --> 0:00:10.360 we bring you interviews from CEO, market pros and Bloomberg experts, 0:00:10.400 --> 0:00:13.600 along with essential market moving news. Find the Bloomberg Markets 0:00:13.600 --> 0:00:17.000 Podcast on Apple Podcasts or wherever you listen to podcasts, 0:00:17.000 --> 0:00:20.080 and on Bloomberg dot com. Very excited to have our 0:00:20.120 --> 0:00:23.400 next guest. Now, I'd like to welcome in Dr Dan's Govronsky, 0:00:23.440 --> 0:00:27.000 who is chief scientific officer at ELI Lilly and Company 0:00:27.040 --> 0:00:29.560 and ELI Lily of course doing a lot of work 0:00:29.680 --> 0:00:34.159 on antibody therapies on COVID. So welcome Dr Dann and 0:00:34.280 --> 0:00:36.640 thank you. First of all, explain to us where you're 0:00:36.680 --> 0:00:40.200 at when it comes to the antibody work. Yeah, thank 0:00:40.240 --> 0:00:43.360 you very much. It's it's a pleasure beyond. Today we 0:00:43.440 --> 0:00:45.919 have a mono clonel and a body called Bamla nevermab, 0:00:46.800 --> 0:00:50.880 which is a synthetic way of boosting a person's immune system. 0:00:50.920 --> 0:00:55.480 It's currently authorized by the FDA and emergency use and 0:00:55.560 --> 0:00:59.040 it's available in many countries around the world for the 0:00:59.160 --> 0:01:03.120 early treatment COVID nineteen. So these are patients who are 0:01:03.240 --> 0:01:06.600 diagnosed with COVID nineteen. They're still early in the disease course. 0:01:06.640 --> 0:01:09.520 They're not hospitalized, but they have risk factors such as 0:01:09.840 --> 0:01:14.720 age or obesity, or or hypertension or cardiovascular disease that 0:01:14.760 --> 0:01:18.160 would suggest they could have dangerous outcomes. And what we've 0:01:18.240 --> 0:01:22.080 shown here is that, uh, this drug can reduce the 0:01:22.160 --> 0:01:26.920 risk that they end up being hospitalized or worse. So, 0:01:27.000 --> 0:01:29.880 dr where in terms of the United States, where are 0:01:29.920 --> 0:01:32.360 we with your drug here in the U S. And 0:01:32.360 --> 0:01:35.080 what is your time frame for you know, really getting 0:01:35.120 --> 0:01:38.600 it fully out into the market. Yeah, it's it's already 0:01:38.600 --> 0:01:41.320 widely available. Patients should know that and and doctors should 0:01:41.319 --> 0:01:46.720 know that. UM about a million doses have been shipped already. Uh. 0:01:46.959 --> 0:01:50.280 Most healthcare institutions have it UM, but it's still a 0:01:50.280 --> 0:01:53.000 little tricky for patients and physicians to find it. The 0:01:53.000 --> 0:01:55.280 the U. S. Government, who's in charge of distributing it, 0:01:56.000 --> 0:01:59.720 has has created resources. One is called combat COVID so 0:02:00.080 --> 0:02:03.520 bet covid dot HHS dot gov. If patients click on that, 0:02:03.560 --> 0:02:07.000 they can see infusion locator, which will actually show them 0:02:07.120 --> 0:02:08.800 near their house where they can go to get it. 0:02:08.840 --> 0:02:12.200 So again, it's for patients who have just gotten diagnosed 0:02:12.240 --> 0:02:16.040 with COVID and their high risk and worried UM. This 0:02:16.120 --> 0:02:19.040 is a treatment option that is available to them. So 0:02:19.080 --> 0:02:21.080 how does it work? Is it a one time thing? 0:02:21.200 --> 0:02:24.320 Do they continue to go back for more? And is 0:02:24.360 --> 0:02:27.440 there any data on what happens if it doesn't work 0:02:27.520 --> 0:02:31.040 or if it works in a different way than you're anticipating. Yeah, 0:02:31.080 --> 0:02:34.960 thank you. It's it's a one time infusion. So the 0:02:34.960 --> 0:02:39.120 the infusion now as of today, we've just quickened it 0:02:39.160 --> 0:02:42.359 so it only takes It can take as little as 0:02:42.360 --> 0:02:45.760 sixteen minutes. In some circumstances, you could take more UM, 0:02:45.800 --> 0:02:48.520 but the patient is infused with this medicine just that 0:02:48.600 --> 0:02:52.399 one day for that amount of time. Usually the physicians 0:02:52.760 --> 0:02:55.640 will observe the patient to make sure they don't have 0:02:55.639 --> 0:02:58.560 any any adverse events UM for up to an hour 0:02:58.680 --> 0:03:03.160 after they administer the rug, and then the patient goes home. UM. 0:03:03.240 --> 0:03:06.760 In a recent phase three trial of a slightly different 0:03:06.840 --> 0:03:09.079 version of this, which was a combination of two such 0:03:09.160 --> 0:03:13.480 monoclonal antibodies family never MAB and at seven MAB, we 0:03:13.520 --> 0:03:17.600 saw that for patients like this, we reduced hospitalizations by 0:03:17.720 --> 0:03:21.359 seventy percent, which is just incredible to think about. If 0:03:21.480 --> 0:03:23.480 if this were widely deployed. If all the patients that 0:03:23.520 --> 0:03:28.560 could benefit got this, we could have seventy less people 0:03:28.600 --> 0:03:33.840 in hospitals. We also completely eliminated deaths, so the placebo 0:03:34.040 --> 0:03:38.040 arm unfortunately, ten out of about five people died UM, 0:03:38.360 --> 0:03:40.760 which is consistent with what we know about COVID. It's 0:03:40.840 --> 0:03:46.360 dangerous and people do die. On the treatment arm, zero deaths, 0:03:46.600 --> 0:03:50.920 so that's hugely encouraging. Imagine if we can reduce hospitalizations 0:03:52.280 --> 0:03:57.640 and reduced significantly eliminate even UM the vast majority of 0:03:57.640 --> 0:04:01.000 of deaths, we could really turn what is the biggest 0:04:01.080 --> 0:04:04.360 public health crisis of our lifetimes into a disease that's 0:04:04.440 --> 0:04:07.200 much more manageable. So I just see these monoclon lantibodies 0:04:07.200 --> 0:04:10.880 in combination with the vaccines UM, which you know, create 0:04:10.880 --> 0:04:13.520 immunity in advance of getting the disease. This gives you 0:04:13.520 --> 0:04:17.000 immunity that helps you treat the disease. UM that those 0:04:17.000 --> 0:04:19.920 two things take together, you know, we can really turn 0:04:19.960 --> 0:04:21.440 the corner on doctor, do you have to be sick 0:04:21.480 --> 0:04:23.520 already to get this or can you get it without 0:04:23.560 --> 0:04:27.799 being sick? So right now it's it's authorized as a treatment. 0:04:27.839 --> 0:04:31.080 So so that's for people who are sick We also 0:04:31.440 --> 0:04:35.279 last week disclosed another Phase three trial for the same drug, 0:04:35.360 --> 0:04:37.840 but now used in people who aren't sick yet. We 0:04:37.880 --> 0:04:42.120 went into nursing homes where you have a very vulnerable population, 0:04:42.800 --> 0:04:44.760 and we went to nursing homes where they're starting to 0:04:44.800 --> 0:04:47.440 have an outbreak, and we tested to see whether we 0:04:47.480 --> 0:04:50.840 could use this prophylactically. And what we we found is 0:04:51.000 --> 0:04:55.080 a very significant reduction in eight percent reduction for nursing 0:04:55.120 --> 0:04:59.040 home residents getting sick. So, in other words, giving to 0:04:59.080 --> 0:05:02.279 them an advance of of illness prevented many of them 0:05:02.279 --> 0:05:06.000 from from getting sick. And again, uh, no deaths in 0:05:06.080 --> 0:05:10.279 the people who got the treatment versus a number of 0:05:10.320 --> 0:05:13.119 deaths and people who unfortunately got placebo in this trial, 0:05:13.440 --> 0:05:15.560 So it can work in that scenario. We we have 0:05:15.600 --> 0:05:18.320 that data which is exciting, but that isn't yet authorized 0:05:18.360 --> 0:05:22.680 by the FDA. We're taking that forward for their reviews soon. So, Doc, 0:05:22.760 --> 0:05:26.000 I'm getting the sense that it's it's not fully in 0:05:26.040 --> 0:05:28.400 the marketplace, that there are some bottlenecks. Is that is 0:05:28.440 --> 0:05:30.919 that a correct? Am I correct? And inferring that? And 0:05:31.000 --> 0:05:33.120 what what do we need? What do you need to 0:05:33.160 --> 0:05:38.360 do to get it fully distributed? Yeah? Thank you there's uh, 0:05:38.440 --> 0:05:42.279 it's distributed. It's out there on the shelves of hospitals 0:05:42.279 --> 0:05:45.719 and infusion centers and health care facilities around the country. Um, 0:05:45.760 --> 0:05:48.760 there's a couple of misconceptions and a couple of bottlenecks 0:05:48.800 --> 0:05:51.680 that are slowing down patient used for The first is 0:05:51.720 --> 0:05:54.400 that patients and their doctors often don't know about it. 0:05:54.400 --> 0:05:59.680 It's relatively new, UM, and information hasn't been fully disseminated, 0:05:59.680 --> 0:06:01.960 So we're we're trying to work with the federal government 0:06:02.000 --> 0:06:03.520 and to make sure the word gets out in the 0:06:03.600 --> 0:06:07.800 right way. UM. That's important because people, if they wait 0:06:07.920 --> 0:06:11.479 until they're really sick and hospitalized, this is no longer 0:06:11.480 --> 0:06:14.440 an appropriate treatment. So the window of intervention is still early, 0:06:14.560 --> 0:06:17.159 and that takes some thinking to say, Okay, I have 0:06:17.279 --> 0:06:21.080 COVID nineteen. I may not feel awful yet, but I 0:06:21.120 --> 0:06:22.840 know I have these respectors. So so that's the first 0:06:22.880 --> 0:06:26.080 step is awareness. The second is actually getting an infusion, 0:06:26.600 --> 0:06:29.400 which is you know, something that happens all the time 0:06:29.440 --> 0:06:33.120 for cancer patients or patients with autoimmune diseases, but it's 0:06:33.200 --> 0:06:36.200 new for infectious diseases. And so hospitals and health care 0:06:36.240 --> 0:06:39.559 facilities have been setting up around the country purpose made 0:06:39.600 --> 0:06:42.240 infusion centers just for COVID nineteen and in some health 0:06:42.240 --> 0:06:46.160 systems these are just running a NonStop and confusing patients 0:06:46.200 --> 0:06:50.159 with with good benefit. And then finally is there has 0:06:50.200 --> 0:06:53.800 been some skepticism. I think this was initially authorized based 0:06:53.839 --> 0:06:56.360 on Phase two data. It was just a few hundred patients. 0:06:56.800 --> 0:06:59.320 Now we have Phase three data that involves thousands of 0:06:59.320 --> 0:07:01.760 patients that JET came over the last couple of days 0:07:02.400 --> 0:07:08.400 and absolutely reinforces all the benefits we saw in phase two. 0:07:09.000 --> 0:07:12.440 So that's exciting and I think with that UM more 0:07:12.480 --> 0:07:15.240 and more doctors will will decide to make this standard 0:07:15.320 --> 0:07:17.200 care for their patient. Doctor are pretty much out of time, 0:07:17.200 --> 0:07:19.680 but can you give us a quick idea of the 0:07:19.720 --> 0:07:23.440 cost and whether it's covered by insurance? Yes. So one 0:07:23.480 --> 0:07:27.360 of the principles that we followed is in our discussions 0:07:27.360 --> 0:07:29.120 with the U. S. Government, we've asked that this should 0:07:29.160 --> 0:07:31.840 be free for patients. So that is the cost, it's 0:07:31.920 --> 0:07:35.800 it's zero. People don't have to pay for the drug itself. Um, 0:07:35.960 --> 0:07:39.320 sometimes there is a price to pay for the doctors 0:07:39.360 --> 0:07:42.160 seeing the patient or diagnosing them or giving them an infusion. 0:07:42.760 --> 0:07:45.040 All of that should be covered by fully covered by 0:07:45.160 --> 0:07:48.120 by insurance or the government. So so patients shouldn't be 0:07:48.160 --> 0:07:50.600 inhibited by by cost here, that's that's not an issue. 0:07:51.520 --> 0:07:53.240 I think I might be running out to my nearer 0:07:53.280 --> 0:07:56.440 sealth care. We should all be getting this. I'm a 0:07:56.440 --> 0:07:58.920 little confused here, all right, doctor, thank you so much 0:07:58.920 --> 0:08:03.040 for joining us. For Dan Scorronsky, he is chief scientific 0:08:03.080 --> 0:08:05.400 officer for Eli Lilly and Company, talking to us about 0:08:06.040 --> 0:08:09.120 one of their therapeutics that has proven to be extraordinarily 0:08:09.160 --> 0:08:11.760 effective in vannie. It just seems like, why wouldn't you, 0:08:12.040 --> 0:08:13.640 I guess at this point. Yeah, I mean, I guess 0:08:13.640 --> 0:08:15.760 you'd have to be a little bit brave to go 0:08:15.880 --> 0:08:17.560 for it. But at the same time, it doesn't sound 0:08:17.600 --> 0:08:19.880 like there's much of a downside. Yeah, so certainly, I 0:08:19.920 --> 0:08:21.760 s you know, for those folks that do test positive, 0:08:21.800 --> 0:08:24.880 here is a a great, great treatment for them. So 0:08:24.920 --> 0:08:29.520 that's good news. Well, it is our great pleasure right 0:08:29.560 --> 0:08:32.840 now to introduce the honorable David Burt, who is Premier 0:08:32.880 --> 0:08:37.200 of Bermuda, possibly the best job in the whole universe. 0:08:38.480 --> 0:08:41.720 Premiere Birds, thank you so much for joining and I 0:08:41.720 --> 0:08:45.320 hope everybody is safe and well in Bermuda. I know 0:08:45.400 --> 0:08:47.640 that Bermuda was one of the places that managed to 0:08:47.920 --> 0:08:54.160 really control and restrain this this horrible, horrible coronavirus done 0:08:54.200 --> 0:08:57.280 for a very very long time. Numbers were tiny. Can 0:08:57.280 --> 0:08:59.160 you give us an update on that and how many 0:08:59.160 --> 0:09:03.360 people actually move to Bermuda to work from home? Well, 0:09:03.400 --> 0:09:05.240 thank you. I mean, I know that we had it's 0:09:05.240 --> 0:09:07.440 a pleasure to be here with you with your listening audience. 0:09:07.440 --> 0:09:09.360 I know that we had over five hundred applications of 0:09:09.400 --> 0:09:11.640 persons who wanted to come to the country. Um, I 0:09:11.679 --> 0:09:14.320 think we had about three fifty who actually arrived on 0:09:14.360 --> 0:09:17.280 island as far. Uh. Certainly there's people who are in 0:09:17.320 --> 0:09:20.440 an out and in Bermuda right now. I think as 0:09:20.440 --> 0:09:24.600 our latest report last night, we had uh twenty nine 0:09:24.679 --> 0:09:28.400 oh sorry, twenty seven active case of the coronavirus, three 0:09:28.440 --> 0:09:31.480 persons in hospital. There was a little bit of an outbreak, 0:09:31.720 --> 0:09:34.040 but that much has been controlled and I think over 0:09:34.040 --> 0:09:37.400 the last week we've possibly I think we've reported only 0:09:37.480 --> 0:09:41.040 one new local case the coronavirus. So I think we 0:09:41.120 --> 0:09:44.520 are in a good place. We have we are Bermuda 0:09:44.640 --> 0:09:46.920 is the fourth most tested country on the planet and 0:09:47.080 --> 0:09:50.600 we do testing here. Um, we do, we test, test 0:09:50.679 --> 0:09:54.440 and tests again, so premier. I am a huge fan 0:09:54.600 --> 0:09:57.199 of Bermuda, been there several times and I greatly look 0:09:57.240 --> 0:10:02.040 forward to coming back. Give us a sense of how 0:10:02.280 --> 0:10:06.720 the pandemic on a global scale has impacted tourism for Bermuda. 0:10:06.760 --> 0:10:11.040 How you respond as well? Oh well, Paul, the pandemic 0:10:11.040 --> 0:10:14.000 has certainly had a great impact on tourism UM and 0:10:14.440 --> 0:10:16.840 recently of course with the flare ups that we've seen 0:10:16.920 --> 0:10:19.280 in the United States, the United Kingdom, the new policies, 0:10:19.320 --> 0:10:23.320 the Biden administration, etcetera. UM, it's an exceedingly difficult period, 0:10:23.360 --> 0:10:26.320 no question about it. But this is our traditional low 0:10:26.360 --> 0:10:28.680 season and tourism, so we are just taking the time 0:10:28.720 --> 0:10:31.520 to recalibrate. But we have events that are scheduled. We 0:10:31.559 --> 0:10:33.680 have an international sale in Regattas that's going to be 0:10:33.720 --> 0:10:37.319 taking place Berbuda in March Sale GT, and we are 0:10:37.320 --> 0:10:40.040 we have off sites which are happening from UM. You 0:10:40.080 --> 0:10:42.840 know companies the United States who want to still you know, 0:10:43.000 --> 0:10:45.800 travel and have their persons in a safe environment and 0:10:45.800 --> 0:10:48.440 have those things off site. So our tourism industry is 0:10:48.480 --> 0:10:51.240 focusing more on the niche markets, the long term tourists 0:10:51.240 --> 0:10:54.000 of people who are working from Berbuda. So in that 0:10:54.040 --> 0:10:57.160 case an instance, that's that's how we are managing to recover. 0:10:57.240 --> 0:10:59.640 And I think that following that there's going to be 0:11:00.080 --> 0:11:03.840 um other chances for us if the Biden administration extends 0:11:04.080 --> 0:11:07.080 the no sale policy. There are some cruise lines that 0:11:07.120 --> 0:11:10.360 are looking to possibly launch their cruises from here in Bermuda, 0:11:10.720 --> 0:11:13.120 um which is very close to the United States of course, 0:11:13.120 --> 0:11:15.280 out of the New York market, and people can cruise 0:11:15.280 --> 0:11:17.840 from here. Yeah, we just got word literally in the 0:11:17.880 --> 0:11:21.160 last six minutes that Canada is stopping airline service to 0:11:21.240 --> 0:11:25.240 Sun destinations including the Caribbean and Mexico. So obviously there 0:11:25.240 --> 0:11:29.000 will be stopping starts with countries, you know, banning people 0:11:29.040 --> 0:11:31.199 from traveling or banning people from entry and so on. 0:11:31.760 --> 0:11:33.880 So there's be a lot to catch up on in 0:11:33.960 --> 0:11:37.000 terms of growth and GDP and so on. How concerned 0:11:37.080 --> 0:11:40.600 are you that Bermuda will suffer? And is there any 0:11:40.600 --> 0:11:45.120 way of stimulating or relieving the economy in the sense 0:11:45.480 --> 0:11:47.839 of pandemic relief like we're looking at in the United 0:11:47.840 --> 0:11:51.760 States here the mainland, Well, we've implemented a very aggressive 0:11:51.800 --> 0:11:55.959 program of stimulus. So when the pandemic first started, we 0:11:56.080 --> 0:11:59.240 provided a general stimulus to persons to businesses to make 0:11:59.240 --> 0:12:02.600 sure that they can couldntinue to UH survive and making 0:12:02.600 --> 0:12:06.400 sure that we gave direct money to persons are our 0:12:06.440 --> 0:12:09.240 funding was at five minute dollars per week. We made 0:12:09.240 --> 0:12:11.959 sure that we continue that for persons who needed those fundings. 0:12:11.960 --> 0:12:15.640 But in the issues of stimulus from the from Bermuda, 0:12:15.679 --> 0:12:17.520 what we're doing is we're making sure that we take 0:12:17.559 --> 0:12:21.600 this opportunity to established leadership in many things, and so 0:12:21.679 --> 0:12:24.880 we are continuing to build on our digital asset industry 0:12:24.880 --> 0:12:27.880 here in Bermuda, which has seen a growth which is working. 0:12:27.880 --> 0:12:31.240 We're continuing to attract big names to our shores and 0:12:31.480 --> 0:12:33.560 as we see what's happening now with the markets and 0:12:33.600 --> 0:12:38.080 the attention that is being paid to decentralized finance Bermuda, 0:12:38.320 --> 0:12:41.679 we are very fortunate that we have been preparing ourselves 0:12:41.800 --> 0:12:44.600 regulatory and regulation wise this for a number of years 0:12:44.640 --> 0:12:46.120 and now it's coming to the force. So we are 0:12:46.200 --> 0:12:48.840 very excited of what the future may hold. So Premiere, 0:12:48.840 --> 0:12:51.240 when I think of the economics of Bermuda, I think 0:12:51.240 --> 0:12:55.480 of the insurance industry long had a strong presence on 0:12:55.520 --> 0:12:57.760 the island of Bermuda. But I know you've been also 0:12:58.440 --> 0:13:02.480 developing crypto and black chain technology, trying to attract fintech. 0:13:02.520 --> 0:13:05.640 Tody I talked to us a little bit about that. Well, 0:13:05.640 --> 0:13:08.160 fintech has been going well. Um, we're building off of 0:13:08.160 --> 0:13:12.160 our insurance space. Insurance is going well and the combination 0:13:12.280 --> 0:13:15.560 of insurance UM and fintech. So I mean, we are 0:13:15.760 --> 0:13:20.040 have exchanges that have haded licenses so far, including Bittrick's Global, 0:13:20.080 --> 0:13:23.720 who's been using our regulatory framework to launch token eyed 0:13:23.720 --> 0:13:28.120 stocks and so people can trade stocks. Seven. We have 0:13:28.720 --> 0:13:32.480 other big names like Circle and i G International getting license. 0:13:32.520 --> 0:13:36.720 We have people in our sandbox UH companies like stable 0:13:36.720 --> 0:13:39.640 House and Cross Towers and market makers. And we also 0:13:39.679 --> 0:13:42.880 have insurance market innovators such as Naims, and we have 0:13:42.960 --> 0:13:47.120 other insurers that are coming to offer insurance for digital 0:13:47.160 --> 0:13:50.880 assets as well. So we are well positioned, I think, 0:13:50.920 --> 0:13:55.160 to take advantage of the the attention that is now 0:13:55.200 --> 0:13:59.440 being paid to the coming decentralized finance boom. Yeah, it's 0:13:59.480 --> 0:14:02.480 pretty amazing, sing Why did you decide to do that? 0:14:02.880 --> 0:14:10.079 Are there risks in a country embracing one industry so much? Well, 0:14:10.120 --> 0:14:12.800 I wouldn't say it's one industry. Bermuda is a well 0:14:13.120 --> 0:14:18.080 regulated financial services uh jurisdiction, and so we are well 0:14:18.120 --> 0:14:20.960 known for our high regulatory standards. Bermuda is one of 0:14:21.040 --> 0:14:23.040 the there's only two countries of the world that have 0:14:23.120 --> 0:14:25.680 regulatory equivalents when it comes to insurance with both the 0:14:25.720 --> 0:14:28.600 United States and the European Union, and that's Bermuda and Switzerland. 0:14:28.720 --> 0:14:30.640 So are not a fly by night jurisdiction. We have 0:14:30.800 --> 0:14:34.280 very high standards, so the risks are managed appropriately. But 0:14:34.360 --> 0:14:36.280 at the same point in time, when you look at 0:14:36.320 --> 0:14:39.600 the way that finance is changing, we recognize that there 0:14:39.640 --> 0:14:41.640 is an opportunity and we want to be a place 0:14:41.680 --> 0:14:45.280 where companies can innovate in a well regulated space with 0:14:45.360 --> 0:14:48.840 a respected global regulator. So we can bring innovations to 0:14:48.880 --> 0:14:51.720 the markets. And we have companies right now under our 0:14:51.760 --> 0:14:54.440 regulatory regime that are able to offer you know, the 0:14:54.440 --> 0:14:58.800 trading of token icebox seven happening today. So we are um, 0:14:58.840 --> 0:15:01.720 we are certainly pushed. I wouldn't say pushing the boundaries, 0:15:01.880 --> 0:15:05.160 but we are allowing companies to come here and to 0:15:05.200 --> 0:15:08.080 go ahead and to offer innovation to the world. Talk 0:15:08.120 --> 0:15:12.080 to us about the insurance business where how's it evolved 0:15:12.200 --> 0:15:14.600 on the island again. You know, I've always thought of 0:15:14.760 --> 0:15:17.360 You know, it's such a big, big presence for your economy. 0:15:17.400 --> 0:15:20.360 It's been such a good business and a good environment. 0:15:20.520 --> 0:15:22.640 Talk to us about this state of insurance business on 0:15:22.640 --> 0:15:26.240 Permuta these days, UH, state of the insurance business. The 0:15:26.280 --> 0:15:29.320 insurance business is growing. Certainly. There's been a lot of 0:15:29.360 --> 0:15:32.720 new capital that has come into insurance, UH, due to 0:15:32.840 --> 0:15:35.360 certainly the pandemic and the losses of which some insurance 0:15:35.360 --> 0:15:37.920 companies have seen. We've seen an incredible flow of new 0:15:37.960 --> 0:15:40.560 capital Bermuda. We've seen new companies that have set up 0:15:40.560 --> 0:15:42.880 to take advantage of this new capital that is flowing 0:15:42.880 --> 0:15:45.600 into the market. And we're also seeing innovation which is 0:15:45.600 --> 0:15:50.200 happening through UM distributed leisure technologies and other things to 0:15:50.400 --> 0:15:53.520 make insurance even more efficient than it has been through 0:15:53.560 --> 0:15:56.920 the innovations that the Bermuda market has bought for the 0:15:56.920 --> 0:15:59.840 global insurance industry. So it's certainly growing UM and we 0:16:00.000 --> 0:16:02.360 continue to see that growth with companies setting up here 0:16:02.560 --> 0:16:05.160 and looking how to ensure not only the risk of 0:16:05.200 --> 0:16:07.640 today but the risk of tomorrow in the new markets 0:16:07.680 --> 0:16:12.200 which are emerging. So how do you attract companies and 0:16:12.200 --> 0:16:15.280 and outfits? What is your pitch in terms of I 0:16:15.320 --> 0:16:19.080 don't know taxation or you know, things that might be 0:16:20.240 --> 0:16:23.360 attractive other than the obvious. I mean, who wouldn't want 0:16:23.400 --> 0:16:27.680 to work in Bermuda right, absolutely, it's very strange. Our 0:16:27.760 --> 0:16:31.520 calling card is actually our regulation. That is our calling card. 0:16:31.560 --> 0:16:33.840 Our calling card is to be able to work with 0:16:33.920 --> 0:16:36.960 a regulator that you can have conversations with and speak to. 0:16:37.000 --> 0:16:40.520 Our regulator is very tough, but however, there is the 0:16:40.560 --> 0:16:43.680 opportunity to innovate here in Bermuda, and that's what it is. 0:16:43.960 --> 0:16:46.280 People always will point to the tax argument, but for 0:16:46.400 --> 0:16:49.160 there are a large number of our insurers here in Bermuda. 0:16:49.400 --> 0:16:52.000 They elect to be u S taxpayers. They prefer to 0:16:52.120 --> 0:16:56.440 access the regulatory clarity and the regulatory um certainty that 0:16:56.480 --> 0:16:59.320 they have here in Bermuda, dealing with one regulator versus 0:16:59.360 --> 0:17:01.640 multiple different regulators at the federal level and the state 0:17:01.720 --> 0:17:06.280 level on other places. What's the in terms of tourism. 0:17:06.359 --> 0:17:12.879 What percentage of your your economy is tourism? Here? Tourism 0:17:13.040 --> 0:17:16.680 and from a foreign exchange earning basis, only represents five 0:17:16.720 --> 0:17:19.440 percent of the country's foreign exchange earnings. Most of our 0:17:19.520 --> 0:17:23.560 foreign exchange earnings come through international business. Oh, that's interesting, 0:17:23.560 --> 0:17:27.120 so and and so what are you expecting. Fourism has 0:17:27.160 --> 0:17:30.879 a larger size. Tourism has a larger size for employment 0:17:30.920 --> 0:17:33.360 on the island. But when we're talking about foreign currency exchange, 0:17:33.520 --> 0:17:35.680 a lot of that comes from international business. And you 0:17:36.080 --> 0:17:39.920 high season typically in tourism is UH the summer months. 0:17:39.960 --> 0:17:43.879 So you call up from April to October and just 0:17:43.960 --> 0:17:46.840 real quick, premier, are there commercial flights coming in or 0:17:46.880 --> 0:17:48.800 most of the people coming into the island on you know, 0:17:48.960 --> 0:17:53.360 special chartered or private airplanes. There are commercial flights coming 0:17:53.400 --> 0:17:56.560 in every day from New York City. Um, we have 0:17:56.640 --> 0:17:59.680 flights coming in from Europe as well as the fact 0:17:59.760 --> 0:18:04.160 is Bermuda now that the Biden administration has implemented UH 0:18:04.280 --> 0:18:06.800 testing regimes, but Bermuda has had those in place since 0:18:06.800 --> 0:18:09.880 we reopen our airlines where we require people to have pretests. 0:18:09.920 --> 0:18:12.280 We test people on arrival, we test people four days 0:18:12.320 --> 0:18:15.240 after arrival, eight days after arrival, fourteen days after arrival, 0:18:15.480 --> 0:18:17.199 we test people on the way out. So we have, 0:18:17.359 --> 0:18:19.800 as I said, the most tempted country in the world, 0:18:20.000 --> 0:18:22.040 and that's the reason why we have been able to 0:18:22.080 --> 0:18:26.080 maintain our our connections to the world and maintain our 0:18:26.200 --> 0:18:29.119 niche tourism which is taking place been able to host 0:18:29.560 --> 0:18:32.359 um events from our stores because we get confidence in 0:18:32.400 --> 0:18:34.560 our tests and Premier I can promise you and see 0:18:34.640 --> 0:18:37.600 a pale kid wandering around the streets Bermuda next week 0:18:37.640 --> 0:18:40.520 and Paul, I'll see you in two weeks. That's right, okay, 0:18:40.560 --> 0:18:43.600 the honorable David Bert, thank you so much for joining us. UH. 0:18:43.760 --> 0:18:46.280 Premiere Part is the Premiere of the Government of Bermuda, 0:18:46.320 --> 0:18:50.800 located obviously in Hamilton's Bermuda. Very interesting story about what's 0:18:50.840 --> 0:18:53.560 going on on the island of Bermuda. It's it's not 0:18:53.640 --> 0:18:58.360 just tourism, it is insurance, UH, it is diversified financial services, 0:18:58.440 --> 0:19:02.520 it is fintech, crypt currency. So interesting developments there on 0:19:02.560 --> 0:19:04.560 the island of Bermuda. And again I am a huge fan, 0:19:04.800 --> 0:19:09.840 look forward to going back. It is time for Bloomberg 0:19:09.840 --> 0:19:12.359 Opinion Today. We're joined by Aaron Brown. He's a columnist 0:19:12.400 --> 0:19:16.160 for Bloomberg Opinion also the former chief risk manager at 0:19:16.200 --> 0:19:19.400 a q R, a Capital management based in New York City. Aaron, 0:19:19.400 --> 0:19:21.560 thanks so much for joining us here. So as we 0:19:21.600 --> 0:19:23.800 take a look at this day trading phenomena, the game 0:19:23.800 --> 0:19:27.000 stops the a m c s of the world. First 0:19:27.000 --> 0:19:30.760 of all, are you surprised that a hedge fund the 0:19:30.960 --> 0:19:35.800 size and the expertise of Melvin Capital Management with billions 0:19:35.880 --> 0:19:39.439 under assets under management. Are you surprised that they were 0:19:39.520 --> 0:19:43.159 hurt so badly at the beginning of this, You know, no, 0:19:43.320 --> 0:19:48.359 I'm not um. Shorting and market arbitrage has always been 0:19:48.359 --> 0:19:52.399 a very risky game, and uh it's uh it's just 0:19:52.440 --> 0:19:56.399 power for the course. Normally you uh make some easy money, 0:19:56.440 --> 0:19:59.240 but once in a while you get killed on a 0:19:59.280 --> 0:20:03.040 trade like this. It's just part of the short selling game. 0:20:04.000 --> 0:20:06.720 It's time a little bit reminiscent of LTCM, right, I 0:20:06.720 --> 0:20:10.400 mean you would have imagined that he either wouldn't leave 0:20:10.480 --> 0:20:14.840 traces gay plot in that is, or that he would 0:20:14.840 --> 0:20:17.920 have some other kind of trade on that might mitigate 0:20:18.240 --> 0:20:24.040 any potential danger to this huge short. Well. You know, 0:20:24.160 --> 0:20:27.320 hedge funds of this type are in the business of 0:20:27.720 --> 0:20:31.920 taking risk, of making big directional positions, and you do 0:20:32.200 --> 0:20:35.040 take your lumps sometime, and we've seen some of the 0:20:35.040 --> 0:20:38.760 most successful creators. LTCM is a good example. Amrith is 0:20:38.800 --> 0:20:43.040 another example. Uh blow up and and all it takes 0:20:43.119 --> 0:20:47.120 is is one bad trade. The people who are low risk, 0:20:47.200 --> 0:20:49.760 the people who are hedging everything, who get out you know, 0:20:49.800 --> 0:20:53.080 with stop losses, those people survive, but they don't make 0:20:53.160 --> 0:20:58.560 the giant profits of you know, John Paulson. So, Aaron, 0:20:58.640 --> 0:21:02.000 I mean short selling. Short squeezes have been around since 0:21:02.040 --> 0:21:05.200 the beginning of financial markets. I guess what's different about 0:21:05.240 --> 0:21:08.640 this one is the advent and the use of social 0:21:09.240 --> 0:21:12.399 media number one and number two of the zero fee 0:21:12.800 --> 0:21:16.080 UH or zero commission trading, which really opens it up 0:21:16.119 --> 0:21:19.919 to a much, much wider audience. Here. Are you surprised 0:21:20.119 --> 0:21:23.919 that robin Hood yesterday and some other of these platforms 0:21:24.520 --> 0:21:28.840 um chose to limit trading in some of these names. 0:21:30.640 --> 0:21:33.200 You know, I wasn't surprised by Robert Hood. Robin Hood 0:21:33.200 --> 0:21:36.080 has been under a very intense regulatory pressure, a lot 0:21:36.119 --> 0:21:39.240 of suspicion, and I think, you know, robin Hood is 0:21:39.280 --> 0:21:42.320 going to have to protect itself from this kind of thing. 0:21:42.400 --> 0:21:44.960 I was very surprised at some of the larger and 0:21:45.160 --> 0:21:49.320 more established brokers did it as well. UM. It reminds 0:21:49.359 --> 0:21:51.280 me a little bit of the scene in Casa Blanca 0:21:51.359 --> 0:21:54.359 where Claude Rings is shocked to find the gambling going on. 0:21:54.920 --> 0:21:57.840 To see, you know, all these politicians and and and 0:21:57.880 --> 0:22:00.240 people are suddenly shocked to find out their day leaders, 0:22:00.280 --> 0:22:04.800 they're gambling. There's lots of you know, irrational volatility in 0:22:04.800 --> 0:22:07.200 the stock market. This has always been with us. It's 0:22:07.280 --> 0:22:12.600 just a lot more prominent, you know, Reddit redetit and uh, 0:22:12.760 --> 0:22:15.719 you know some of the robin hood concentrated and make 0:22:15.760 --> 0:22:19.400 it more obvious. But but this is this is really 0:22:19.440 --> 0:22:22.440 an old story that just for some reason has become 0:22:22.960 --> 0:22:27.240