Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2: Welcome to Trillions.
Speaker 3: I'm Joel Webber and I'm Eric Belchunis Eric.
Speaker 4: We have not had a big group episode of Trillions
Speaker 4: for a long time, but we're going to do it today.
Speaker 3: We are, Yeah, we were due.
Speaker 2: We're going to.
Speaker 4: Talk about the best new launch ETF launch of twenty
Speaker 4: twenty five. And we brought a ton of colleagues from
Speaker 4: within Bloomberg News and Bloomberg Intelligence, each of whom are
Speaker 4: going to pick their candidate and then in a battle royale,
Speaker 4: we're going to decide which one is the best pitch.
Speaker 3: Yeah.
Speaker 5: This was something that Exchange Slash inside ETFs used to
Speaker 5: do back in the day, and I participated in many times. Member,
Speaker 5: I'm still salty over not winning for the Urini ETF
Speaker 5: about four years ago.
Speaker 2: Still carrying that grudge.
Speaker 5: Yeah, but they stopped doing it, so I feel like
Speaker 5: it's a we're gonna get time and let me throw
Speaker 5: that up for years, gol. There's nine hundred and twenty
Speaker 5: launches this year in the US alone so far. So far,
Speaker 5: they'll get a little bit to daylight and two hundred
Speaker 5: or two thy four hundred worldwide. That's ten ETFs. Every day,
Speaker 5: Every forty five minutes, a new ETF is born.
Speaker 3: Somewhere in the world easily.
Speaker 2: Yeah.
Speaker 5: Yeah, it may almost double the old record. That's how
Speaker 5: many ETFs are hitting the market.
Speaker 4: Okay, we have, like I said, a large group of
Speaker 4: people here. We've got Phil, Donna Hirich, Dniza Sikova, andre
Speaker 4: yap Isabelle Lee, maybe me, Athanasio, Sarah Vegas, maybe you,
Speaker 4: and judging it all David Papadopolos, an executive editor with
Speaker 4: Bloomberg News, this time on Trillions, the Best ETF Launch
Speaker 4: twenty twenty five. Okay, so first of all, we have
Speaker 4: to bring David Papadopolos back in.
Speaker 2: David, welcome back to Trillions. Thanks Joel.
Speaker 4: It's been a while, it's been it's been a second,
Speaker 4: but we're really excited to have you back. This is
Speaker 4: also that awkward moment where we kind of give you
Speaker 4: the mic and yeah, like we're a sidekicks my show
Speaker 4: now to your show. Now, So how are you going
Speaker 4: to be judging the pitches?
Speaker 2: So I think a few criteria.
Speaker 6: I mean, obviously it feels like it should be an ETF.
Speaker 6: That's like of this moment, right, like of the current
Speaker 6: trend sort of thematic that way, hopefully an ETF that's
Speaker 6: got some stake, by the way, for those you know,
Speaker 6: for the members that there, you guys, don't don't go
Speaker 6: tweaking your changing your pitches as you as you hear this, uh,
Speaker 6: something with a little bit of staying power. And obviously
Speaker 6: marketability is super important. I guess, like listen, maybe performance
Speaker 6: so far, but it's presumably it's a it's a fairly
Speaker 6: short period of time to be judging that way.
Speaker 2: So you're the market, You're the market.
Speaker 6: I am the market.
Speaker 4: Okay, so it would appear all right, let's let's uh,
Speaker 4: let's get down to it.
Speaker 2: Who's gonna go first?
Speaker 6: First up, we have isabel Lee Cross, asset reporter here
Speaker 6: with Bloomberg. Isabelle, you have one minute, and then I
Speaker 6: will ask perhaps a follow up.
Speaker 2: Question, and Eric and I might have some commentary, might have.
Speaker 6: A snide co two which is by the way, which
Speaker 6: is a little sketch because they're also going to be
Speaker 6: pitching themselves. Don't let them get in your head.
Speaker 7: The snyder the better.
Speaker 6: Here we are, okay, okay, you are on the clock.
Speaker 7: So do you guys believe that everyone deserves a second chance,
Speaker 7: from your ex, from your enemies, from your boss. So
Speaker 7: this ETF gets point.
Speaker 8: One for that.
Speaker 7: I'm talking about the round hell Meme ETF tick Meme
Speaker 7: stock ETF ticker is meme emmy round two for that.
Speaker 7: So they're making a comeback. They closed in twenty twenty
Speaker 7: three because they didn't get enough assets and they weren't
Speaker 7: performing well basically, and then this year they relaunch and
Speaker 7: now that they're in the market. The difference is last year,
Speaker 7: last seconds, it was passive. Now it's active plus one point.
Speaker 7: Now I'm totally three. It's it's active now and they're
Speaker 7: going to use a series of quantitative and proprietary data.
Speaker 7: But basically it talked about meme and we know that
Speaker 7: meme socks entered the lexicon during the pandemic. It died
Speaker 7: on a little, but now it's back. Think open Door,
Speaker 7: krispy Kreme, think all of the recent figures that are
Speaker 7: meme ified today. So I really think that this and
Speaker 7: the basis points is sixty nine, which is not inexpensive
Speaker 7: four points for me.
Speaker 6: Yeah, all right, Meme interesting, certainly certainly topical meme stocks
Speaker 6: are indeed back open Door, krispy Kreme and a company
Speaker 6: founded by an old college buddy of mine by the
Speaker 6: name of Beyond Me. Wow. Yeah, true story over both
Speaker 6: bad basketball players on a bad college team. It's true.
Speaker 3: So lots of impact there, Yes, I know.
Speaker 2: Yourself.
Speaker 4: It's interesting about that. There's little like asterisks there that
Speaker 4: I like that you called that like it is a
Speaker 4: new launch this year, but it has been here before.
Speaker 2: Yeah.
Speaker 5: By the way, meme has a great I almost think
Speaker 5: it's an inverse indicator because it closed at the actual bottom,
Speaker 5: and then since it's launched, the market's gone down, like
Speaker 5: it might be like kind of kramer esque in its
Speaker 5: ability picked. Yeah, and bottom ticked. When it first closed,
Speaker 5: it bottom ticked, And it's interesting.
Speaker 7: That they reserved the ticker almost like they knew it
Speaker 7: was gonna make a comeback, all right.
Speaker 2: Yeah.
Speaker 3: Also, this is one of the only self lazaruses.
Speaker 7: Yeah.
Speaker 5: What I mean by that is a lot of times
Speaker 5: the ETF dies and another issue goes, ooh, let's let
Speaker 5: me try that. This is the first time where the
Speaker 5: same issuer killed the ETF and said, let's resurrect our
Speaker 5: own ETF.
Speaker 3: I've never seen that, So let's.
Speaker 7: End this podcast because I clearly went.
Speaker 6: Thank you, thank you, so I guess questions from me
Speaker 6: is uh aum so far? And I guess is about
Speaker 6: so like, just tell me your vision for this thing,
Speaker 6: giving its rocky past. Is this like a a one
Speaker 6: year ETF play, a five year ETF play, a tenure?
Speaker 2: Like?
Speaker 6: What what's what's your time horizon for this thing? What
Speaker 6: does success look like for this ETF?
Speaker 7: I feel like assets is always a success. But the
Speaker 7: past one it was just a passive ETF. It just
Speaker 7: trapped an index. Now it's active and they will rebalance
Speaker 7: every two weeks, as opposed to in the past where
Speaker 7: they rebalance every month. Because, as we know, meme sentiments
Speaker 7: change within a day or something. If you just find
Speaker 7: yourself in Reddit, which I've been using a lot more.
Speaker 7: By the way, I best hair straightener, I read it,
Speaker 7: best restaurant reddit.
Speaker 9: It.
Speaker 8: No, I don't do that.
Speaker 2: She's like playing into the meme vibes.
Speaker 6: Yes, all right, uh Eric Joel, any final comments?
Speaker 2: Let's keep it moving? Who's next?
Speaker 6: Thank you? Will next stop? Another cross said superstar for
Speaker 6: us here it's you are on the clock.
Speaker 10: Just to say, not that I'm competitive, but Isabelle's ETF
Speaker 10: was down ten percent last week. My ETF everyone cares
Speaker 10: about dividends. Everyone is asking about dividends. But there are
Speaker 10: two big problems about dividends. That they underperformed the index, uh,
Speaker 10: and that they have a tax track. And I have
Speaker 10: a proposal to fix that. Allto cobbets in ETFs, it's
Speaker 10: all the buzz.
Speaker 7: Uh.
Speaker 8: When it comes to banks, everyone has been doing it
Speaker 8: for a.
Speaker 10: Very long time, but now you can see it in
Speaker 10: an ETF is based off commos. It's seventy four basis point,
Speaker 10: which for kind of a sophisticated trait, I would say
Speaker 10: it's relatively cheap. Of course, it's index base, which is important.
Speaker 10: There are a lot of single stock ones that are
Speaker 10: very voatile, come with a lot of issues, but index
Speaker 10: base obviously is much more balanced, less likely to get
Speaker 10: big losses.
Speaker 11: Uh.
Speaker 8: Then we have yields all.
Speaker 10: For fourteen percent and coupon which is one of the
Speaker 10: highest in that divident category. And at the same time
Speaker 10: we're talking about performance, there is.
Speaker 2: A time is up. Yeah, okay, well there, yeah, I
Speaker 2: think we.
Speaker 8: C a I E okay, and I'm sure we have
Speaker 8: more questions.
Speaker 6: It's a I E that doesn't exactly like like it
Speaker 6: almost it almost it almost looks like.
Speaker 5: I think they call it kaya ya. That's you'd have
Speaker 5: to be the parent of. We had the guy on
Speaker 5: last week, actually did we had the issue we're on?
Speaker 8: Well what was his this?
Speaker 3: But we had thirty he had forty five minutes.
Speaker 5: She tried to squeeze what might be, in my opinion,
Speaker 5: the most complicated ETF I've ever seen in my life
Speaker 5: up in a minute.
Speaker 3: I know it was worth it.
Speaker 4: Clock management did get you a point of super ambitious, so.
Speaker 6: You weren't even focused so much on winning yourself as
Speaker 6: you were taking down.
Speaker 8: That's why strategy. That's strategy, all right.
Speaker 4: I think we could probably help her pitch out a
Speaker 4: little bit which was divd in. ETFs were a hot
Speaker 4: topic this year. This one distinguishes itself in that space.
Speaker 4: That would have been my the TLDR.
Speaker 10: I didn't even mention tax efficiency.
Speaker 5: I would have gone, will going do you like fourteen
Speaker 5: percent yield?
Speaker 2: There you go?
Speaker 6: I mean, that's is it like anytime I hear fourteen
Speaker 6: percent yield, immediately go to bullsh But is it like,
Speaker 6: is it a real fourteen percent?
Speaker 8: Well it's not my ATF, that's all they say.
Speaker 3: It's fourteen but you're selling it for the purpose.
Speaker 8: Of selling it. Yes, it's real.
Speaker 6: All right, then it seems like a good deal, right,
Speaker 6: I mean yeah, but I also got I got some
Speaker 6: land to sell you in buld area.
Speaker 8: That has a high yield.
Speaker 6: All right, thank you, dinny.
Speaker 8: Thank you.
Speaker 5: This ETF, by the way, I got to say, has
Speaker 5: had inflows every week since it's launched, since June.
Speaker 3: That's really really rare.
Speaker 6: What is uh? What's to tell you?
Speaker 5: I'm up to about half a billion, okay in six months?
Speaker 3: Yeah, so it is? Is it a bit of a juggernaut?
Speaker 6: I bet you what is me? I bet your mime
Speaker 6: has like nineteen million dollars.
Speaker 3: It doesn't have a lot.
Speaker 2: Yeah, all right.
Speaker 6: Next up on the mic, one of our crack ETF
Speaker 6: research associates, Andre, Yeah, Andre, welcome, you are on the clock, sir.
Speaker 2: Okay.
Speaker 12: My pitch is a round hill Humanoid Robotics ETF. Human
Speaker 12: I picked this ETF because basically, I'm just a disillusioned
Speaker 12: millennial and this one just fits with my theme perfectly.
Speaker 2: Well.
Speaker 12: So we have the AI bubble and everybody has an
Speaker 12: AI e TF. This one right here is going to
Speaker 12: give us robots. It's gonna arm sky nets with the terminators,
Speaker 12: it's going to bring to an end. And that's why
Speaker 12: I like this ETF. So it has companies like Tesla,
Speaker 12: Ubi Robotics and Video, has eight sorry about thirty million
Speaker 12: in assets with an expense ratio of zero point seventy
Speaker 12: five percent. I like it just because it's something different.
Speaker 12: It's a new twist on the AI bubble. So that's
Speaker 12: basically it for me. That's my pitch.
Speaker 4: Wow fast, Yeah that was that was fast, by the way,
Speaker 4: walking to trillions first time on.
Speaker 6: But but there's a little bit of it might be
Speaker 6: a little bit of a tell Andre when you say
Speaker 6: at the end it's a new twist on a on
Speaker 6: an E t F bubble.
Speaker 3: So I think he said ay AI.
Speaker 6: Bubble, I misad that's what I actually meant. I remember
Speaker 6: I'm jet lag.
Speaker 4: I have a question, which is why this one and
Speaker 4: not cooid, which is the other human.
Speaker 12: Ticker counts for a lot. If the ticker doesn't make
Speaker 12: it pop, you're not gonna remember it. And this one
Speaker 12: just said I.
Speaker 3: Think you just stole Joel's I talked about it and.
Speaker 6: Human human is good.
Speaker 2: That is a good ticker. What's the exact.
Speaker 6: But why is it human? Why isn't it robot.
Speaker 12: I don't understand, because it's going to replace humans essentially, humanoids,
Speaker 12: not ex so they're building humanoid robots essentially to take
Speaker 12: the place in the labor.
Speaker 6: But is this just because this is like their helpers,
Speaker 6: their helpers childhood, like galactic fantasy of yours or you
Speaker 6: really believe in the atf oh.
Speaker 12: I wasn't joking when I said I'm a disillusioned millennial.
Speaker 12: Let's just give the terminators their time to shine.
Speaker 6: Okay, all right?
Speaker 5: I mean to be fair, you've ever seen that Boston
Speaker 5: Dynamics video once every six months with a robot like
Speaker 5: does a somersault grabs a gun and start shooting? And
Speaker 5: you're like, holy, I think those are the videos that
Speaker 5: if you extrapolate that ten twenty years is where I
Speaker 5: think this videos Like they're doing new stuff now, That's
Speaker 5: what I'm saying, and they now they sometimes the robot
Speaker 5: can fall over, get back up and like break dance.
Speaker 6: It's just an interesting moment to pitch us. You know,
Speaker 6: you know the AI, you know the whole way.
Speaker 2: This is like the thing after the AI thing.
Speaker 6: Though, this is like it's gonna it's gonna survive that
Speaker 6: I mean they're.
Speaker 4: Like cockroaches, these robots, like I mean, they just need
Speaker 4: a charge.
Speaker 12: If we think about it, like terminator AI sky in it,
Speaker 12: we need the actual terminators to actually complete the circles.
Speaker 12: So we have That's where I'm going with it. We
Speaker 12: got this go to the natural conclusion.
Speaker 5: This is as far as I've seen anybody take a theme.
Speaker 5: Yeah that's pretty I mean, but it's all dust. Yeah,
Speaker 5: and all the money being thrown at AI.
Speaker 3: I mean, something's gonna happen.
Speaker 6: Well, they're gonn to be thrown AI, including thirty million,
Speaker 6: just got started to six months than you, sir. Okay,
Speaker 6: So next up a man who needs no introduction, just the.
Speaker 2: Co host of the podcast, Joel Weber.
Speaker 4: Okay, So maybe you've heard of K pop Demon Hunters
Speaker 4: and the song Takedown. My role is to provide an
Speaker 4: ETF that I feel like is going to be taken
Speaker 4: down by the competition here. But I've picked the ticker
Speaker 4: texan te x in, which is an I shares ETF
Speaker 4: that launched over the summer. It does not have a
Speaker 4: whole lot of assets, but if you know anything about Texas,
Speaker 4: it's larger than life.
Speaker 2: And this is a bet on Texas.
Speaker 4: So biggest holding is Tesla, followed by Exxon Mobile. It's
Speaker 4: kind of a great one, like get oracle As number
Speaker 4: three so really Chevron number four, Caterpillar number five, all
Speaker 4: of these companies have huge presences in Texas. We know
Speaker 4: that Texas is the future of business, and you're like Texas,
Speaker 4: you're either with us or against us.
Speaker 6: I gotta say, I'm surprised. That was kind of cool.
Speaker 6: I mean, you don't read into that. I mean, I
Speaker 6: don't know when he first came with Texan, I was
Speaker 6: and I was I was looking. Uh, I was thinking
Speaker 6: I was going to be disappointed, but that was kind
Speaker 6: of fun. I mean I could. Uh. I don't know
Speaker 6: it goes anywhere.
Speaker 2: You know.
Speaker 4: I gotta tell you. Bloomberg News has not written about
Speaker 4: it once. I don't think the I has written about
Speaker 4: it at all.
Speaker 2: It's kind of a little sleeper.
Speaker 3: I think it might have made Katie's newsletter.
Speaker 2: Yeah, right it Okay.
Speaker 3: The other thing is you get that okay minus one
Speaker 3: a little bit of a.
Speaker 5: Tax tailwind, right, because when you move there, you pay
Speaker 5: less taxes.
Speaker 2: Right. This is a play for the future.
Speaker 5: Yeah, there was a Nashville ETF that had the same pitch,
Speaker 5: but it closed.
Speaker 2: Phil Phil Donna has a criticue But but you can.
Speaker 6: It doesn't matter.
Speaker 3: It's a political play totally for the moment.
Speaker 6: That's the story of the But see, I could see
Speaker 6: Texan working out in Nashville.
Speaker 2: That's not Texas. That's not Texas, that's Tennessee.
Speaker 3: You know what, you know what the Nashville ETF.
Speaker 5: All the hospitals are there, So it ended up being
Speaker 5: like this ipso facto hospital ETF. But it is too specific.
Speaker 5: But they also had an Oklahoma ETF back in the day.
Speaker 5: And this is the second attempt to Texas. So they've
Speaker 5: tried these, so that this one by I Shares is
Speaker 5: I think probably the biggest reason it might succeed.
Speaker 6: But when you said at some point here I believe
Speaker 6: you said, it doesn't have a whole lot of money
Speaker 6: under management.
Speaker 2: It does not.
Speaker 4: Million you know, like we have not we have not
Speaker 4: seen a lot of investors pile into this.
Speaker 2: But you know, keep in mind it's a big state.
Speaker 2: I think Texans will invest in Texas. All right, It
Speaker 2: all come around, all.
Speaker 6: Right, that's cool.
Speaker 2: I like it.
Speaker 6: Joel, Thank you sir.
Speaker 2: You're welcome.
Speaker 6: Next up is our cross asset team leader here at
Speaker 6: Bloomberg Mail Donna Hirich.
Speaker 2: Wow, we're just.
Speaker 3: Uh on the clock.
Speaker 13: First of all, everything is bigger in Texas except for
Speaker 13: Joel's ETF. Second of all, Andre chose human even though
Speaker 13: there was an ETF that launched before it based on
Speaker 13: humanoid robotics, and he didn't even know that humanoids are
Speaker 13: already in existence. What's your I'm just poking holes in
Speaker 13: everybody else's argument. The best and most innovative ETF of
Speaker 13: the year goes to xdiv XTIV. It's another round hill
Speaker 13: ETF and this one will invest in other s and
Speaker 13: p five hundred ETFs for you. So it's going to
Speaker 13: be tracking the market, except it jumps out of those
Speaker 13: ETFs before the ex dividend date, and that way you
Speaker 13: can avoid a big tax hit.
Speaker 2: I see, that's it.
Speaker 13: It's so simple, it's genius, it's innovative. Nothing like this existed.
Speaker 13: Tax avoidant tax awareness has been a huge theme in
Speaker 13: ETFs since the birth of ETFs.
Speaker 6: You're in a time pal.
Speaker 8: This brings it to a whole new level.
Speaker 6: Okay, so my question for you is it's a whole
Speaker 6: new strategy.
Speaker 4: First of all, you just dig, you know, drag everyone
Speaker 4: else and then like exactly by the.
Speaker 6: Way at the end my pitches, I can't remember everybody
Speaker 6: else sucks. I could have kept going about how everyone
Speaker 6: else sucks. Yeah, So again, the name x div's a
Speaker 6: little bit like hi, whatever the other one was. It's
Speaker 6: not like, doesn't exactly like roll off the tongue. But
Speaker 6: what does history tell us about how avoiding taxation? And
Speaker 6: this little tax avoiding scheme? How much does it juice returns?
Speaker 6: What is the data tell us?
Speaker 13: Pal juice returns the data.
Speaker 5: You want returns of this versus what.
Speaker 6: I think Winkler used to call this show up and
Speaker 6: throw up.
Speaker 3: You're allowed one terminal lifeline?
Speaker 2: Okay?
Speaker 8: Can I call it?
Speaker 3: Friend? Is this also a roundhill? Yes, it's a third
Speaker 3: round hill? My god? Are they paying us? Okay?
Speaker 5: This year XTIV is beating VU by thirty four basis
Speaker 5: points and it's only been a couple months, so annualized,
Speaker 5: that would be an extra forty basis No, annualize, that's
Speaker 5: an extra two percent a year.
Speaker 6: Eric might win for this.
Speaker 5: I wish I was lying because I am also in
Speaker 5: this competition. But again, I'm just looking at a small window.
Speaker 3: But so far, something's working.
Speaker 6: And history though will tell us that in general, this
Speaker 6: kind of this kind of scheme works, is that.
Speaker 5: Right, generally speaking, I also think advisors are real concerned
Speaker 5: with after tax returns. I mean, in the end, your
Speaker 5: returns are after inflation, after tax, that's like your real return.
Speaker 5: And so this is why it's important. But it's tough
Speaker 5: to get people off.
Speaker 3: Of VU and S and P.
Speaker 4: Just to be clear here, the strategy was flamethrower, and
Speaker 4: it works.
Speaker 3: I know. I happen to be in the end zone
Speaker 3: just standing there.
Speaker 8: You're wide open.
Speaker 13: This is for retail investors, this is for institutions, this
Speaker 13: is for international institutions, this is for everybody.
Speaker 6: Okay, excellent, wil Donna, thanks for playing.
Speaker 2: All right, Well, we just had an addition.
Speaker 4: James Safert, who's a senior research ETF analyst at Bloombergan Intelligence,
Speaker 4: was caught on some terrible public transit woes and then
Speaker 4: amazingly just charged through security literally walked in and we're
Speaker 4: just going to make him do his pitch. He's not
Speaker 4: hurt any of the other pitches. If you don't win,
Speaker 4: no you no, it's bad. It's yeah, I think you're
Speaker 4: gonna win. So whatever you're going to pitch.
Speaker 5: It may help him because you won't spend thirty seconds
Speaker 5: trashing everything.
Speaker 6: You have one minute to pitch, James. You are on
Speaker 6: the clock now.
Speaker 9: Okay, So anyone who knows me is not going to
Speaker 9: be surprised that I'm going to pitch a crypto ETF.
Speaker 3: So the one I'm gonna go with.
Speaker 9: There's a few that you go with, but I'm gonna
Speaker 9: go with the bitwise b Soul or Bitcoin bit Wise.
Speaker 9: Solana ETF first full spot crypto staking ETF.
Speaker 3: Uh.
Speaker 9: It launched into when people were kind of I mean,
Speaker 9: right now, it's not a great time to be in crypto.
Speaker 9: It's down pretty bad. Uh, and it's still one of
Speaker 9: the best launches of the year. If you look at
Speaker 9: volumes the easiest way to see how good of a
Speaker 9: launch and ETF has had. It's second only to another
Speaker 9: crypto ETF. But Solana itself is a much smaller market
Speaker 9: cap than the one that I'm I just referenced. So
Speaker 9: XRP is a is a bigger product in the crypto world.
Speaker 9: But uh, Solana is a little more interesting to me
Speaker 9: just because of the staking aspect. It's something that is
Speaker 9: brand new. It's taken in. It took in over two hundred.
Speaker 6: Million dollars in day one ten seconds.
Speaker 3: And it's just it just proves that.
Speaker 9: Despite even when the market is going bad and against you,
Speaker 9: in the crypto world, these ETFs the top two are
Speaker 9: crypto assets.
Speaker 6: Okay, you're out a time.
Speaker 2: That was good.
Speaker 6: Interesting, Well, of course somebody, somebody, Joel had to pitch we.
Speaker 2: Needed crypto to be on the list, and James delivered.
Speaker 6: At the risk of you saying this is Papa Opples
Speaker 6: making it about Papa Apples again, I will just say,
Speaker 6: my brother, and this helps your pitch is obsessed with Solona.
Speaker 6: There you go, which makes me extremely dubious. Uh ten
Speaker 6: million on day one you said it taking no so.
Speaker 9: Day one trading was fifty seven million at its launch
Speaker 9: last month it was the largest.
Speaker 2: We just had an extra PETF to pass it.
Speaker 9: So now it's the second largest launch as far as
Speaker 9: volume goes.
Speaker 2: And it took an over two hundred million dollars in
Speaker 2: day one.
Speaker 6: So what's the what's the fee you have?
Speaker 5: I think it's point two, but I actually I'll tell you,
Speaker 5: hold on, I'm the life doctor, bel this is going
Speaker 5: to be I think it's point two two.
Speaker 6: All right, Trenz. Anything for I.
Speaker 4: Think is to just you know, walk out of here
Speaker 4: on the high like, go get some ice water.
Speaker 3: Well I have a question for him.
Speaker 2: Well you know that, and it's still to be clear,
Speaker 2: you know.
Speaker 6: Yeah, Well, crypto it's a tricky.
Speaker 4: Moment pitching anything crypto current going down.
Speaker 5: I think that's why I would say I think you
Speaker 5: have to sell everybody in twenty seconds on why salon
Speaker 5: a long term.
Speaker 9: Yeah, I mean it's it's if you look at crypto, right,
Speaker 9: if you're looking at blockchain technology, these crypto technologies you
Speaker 9: have on one end of the spectrum Bitcoin super decentralized,
Speaker 9: super secure, it's a little slow, it does a few
Speaker 9: things extremely well, and then there's this whole other spectrum
Speaker 9: of like less decentralization, maybe a little bit less secure,
Speaker 9: more open, can do a lot more things than just
Speaker 9: transfer money. Solana is competing on that other end of
Speaker 9: the spectrum without being a completely centralized entity. So it's
Speaker 9: competing with ethereum. It's a little more centralized in ethereum.
Speaker 9: Some people listening to this will jump out of their
Speaker 9: screens at me saying that, but it basically is trying
Speaker 9: to compete with things in the traditional financial world, traditional
Speaker 9: technology world, while also taking aspects that made bitcoin as
Speaker 9: successful as it was.
Speaker 6: Good stuff, James, thank you. Next up, we have a
Speaker 6: fellow Greek eighth and Sarah Vegas, research associate here at
Speaker 6: Bloomberg eighth. Then hit us.
Speaker 11: Yeah, I don't even need a minute because this is
Speaker 11: so easy. But just based on the picks, we have
Speaker 11: Crypto that's down thirty percent, the most complicated etf ever
Speaker 11: and a bunch of other ETFs have like no assets. Right,
Speaker 11: did I get it right? Just what's so easy? It's
Speaker 11: v bill, which is the Vanguard zero to three year
Speaker 11: Treasury etf It's got four billion dollars. What is so
Speaker 11: great about this is Vanguard never launches ETFs. It's like
Speaker 11: an oxy moron to have new launches and have Vanguard
Speaker 11: in there. So it's their first launch in about eight years.
Speaker 11: It's bonds. They never competed in this space. It's got
Speaker 11: four billion in assets, it's only seven basis points. It's
Speaker 11: up three percent this year. Uh, it's they're competing with
Speaker 11: you know, the likes of some other cash like ETFs.
Speaker 11: But I think they don't launch products lightly, and when
Speaker 11: they do, they make a really big slash in it.
Speaker 11: So yeah, I think simplicity wins in this year of
Speaker 11: like crazy launches. I'm gonna go the complete other way
Speaker 11: and just go with like bonds, which I think is
Speaker 11: just like bill bill Yeah, so just like short term treasuries.
Speaker 2: Got it?
Speaker 3: Wow?
Speaker 6: Okay, I mean hard to argue some of that. I mean,
Speaker 6: as do you like shiny objects or or super.
Speaker 2: Super basic foundation.
Speaker 6: The crypto guy like as but al right, not right enough?
Speaker 6: So as not only the Greek connection, but also as
Speaker 6: someone who's been a little comfortable in cash for a while,
Speaker 6: in Vanguard cash for all. I mean, I don't know,
Speaker 6: it's kind of I kind of speaking to me seven
Speaker 6: BIPs now, right. The thing is, what these guys are
Speaker 6: going to say is sure, pal three percent so far,
Speaker 6: four percent at the end of the year. But how
Speaker 6: how how do you like that when I'm when I
Speaker 6: make up two thousand percent score in a couple of years.
Speaker 6: What's your response to that?
Speaker 11: Yeah, I mean, you're not going to be one hundred
Speaker 11: percent in it, right, So I feel like these are
Speaker 11: the this is going to be the position.
Speaker 3: That bails you out of like the big draw downs
Speaker 3: that we have.
Speaker 11: Like, yeah, obviously cash is never going to be as
Speaker 11: good as three X and video or two X and video.
Speaker 11: But I think it's a nice ballast compared to other bonds, right,
Speaker 11: like the AG and things like that. I think that
Speaker 11: that stuff has let you down. Cash has actually been
Speaker 11: pretty reliable as like a hedge recently.
Speaker 6: What are the chattering class?
Speaker 4: I just think everybody else is you know, pitching, uh,
Speaker 4: you know, new fangled objects and you know the voice
Speaker 4: of sanity is entered the room.
Speaker 5: Yeah, I mean four cent yield in basically no risk
Speaker 5: is pretty attractive, especially with market really high and people nervous.
Speaker 5: And I agree, I would almost rather own this than
Speaker 5: the agriabond index because this won't go down like the
Speaker 5: AG goes down a lot with stocks. The only thing
Speaker 5: here is if the Fed starts cutting, this will be
Speaker 5: less attractive obviously.
Speaker 6: Yeah, I mean, I just think in general, I mean
Speaker 6: my two cents is what was it was to sell
Speaker 6: off in the bomb market in late twenty twenty two, where.
Speaker 3: The AG went down thirteen percent? Cash did nothing, So
Speaker 3: you did better in cash.
Speaker 6: Like it sort of blew up the whole bond proposition
Speaker 6: at that moment, and as I saw it, and so yeah,
Speaker 6: bills are bills? Are bills? Is it really the first
Speaker 6: and eight years from Vanguard?
Speaker 4: Yeah?
Speaker 5: No, no, well they've done active though, maybe the first passive.
Speaker 11: Yes that I should say you only had per minute that.
Speaker 2: Actually that's like a.
Speaker 5: Great they've actually looked like wait, actually launched Wait a second, no, no, no, no.
Speaker 6: No, no, bactual mistakes. He's got to come up total.
Speaker 3: This year he've launched this year of ETFs this year?
Speaker 11: Yep, this was v buil was their first launch this year?
Speaker 6: It's any of this stuff their first this year?
Speaker 11: No, within the last like what was their last launch
Speaker 11: was like twenty fourteen.
Speaker 2: When they lost last year?
Speaker 6: Bust his chops?
Speaker 11: Are you what active did they they launched? That was
Speaker 11: this year or last year? I think they're all this
Speaker 11: year launches.
Speaker 6: Yeah, so it is a slight Actually.
Speaker 3: You're saying this was the first of many launches they launched.
Speaker 3: Show me what they launched last year? Okay, give me,
Speaker 3: it's gonna take a second. I want my life all right,
Speaker 3: here we go.
Speaker 6: Okay, here's that actually should have been established? You get
Speaker 6: one terminal.
Speaker 5: We got a lot of nerds in here. How many
Speaker 5: ETFs you think van cards launched this year? Let's get
Speaker 5: some guesses here.
Speaker 2: James was close.
Speaker 11: It's like ten or eleven.
Speaker 6: Seven or ten? Not I go eight then seven to.
Speaker 5: One, two, three, four, five, six, seven, eight nine ten eleven.
Speaker 6: Wow, So what are you talking about that?
Speaker 2: Because they haven't?
Speaker 5: Bill, wasn't their first one launch this year? We'll launched
Speaker 5: the same day as Vegas. Okay, so these two but by.
Speaker 6: The way, twenty four.
Speaker 3: Here's the other problem.
Speaker 5: They launched one in November of twenty twenty four and
Speaker 5: another one in January of twenty twenty four.
Speaker 3: Two of them. What wasn't they've launched multiple et like,
Speaker 3: like I should have said, all right, you had.
Speaker 2: You were you were?
Speaker 6: I was going so well, I should have for the
Speaker 6: kids listening at like.
Speaker 5: The bond Lance Armstrong doping, it's like it's all ruined.
Speaker 2: It was their first bond, first bond launch.
Speaker 3: Don't worry, I got your back with mine.
Speaker 6: Do you want to you want to try that again?
Speaker 2: No?
Speaker 3: I want to stay with the doping allegations. Okay, So
Speaker 3: if I win, is this going to come back?
Speaker 2: Probably?
Speaker 6: Bro? He did?
Speaker 3: I love that. He took the whole like moral high horse.
Speaker 5: He's like they never launched any ETF and so for
Speaker 5: them to launch. It came down from the heavens and
Speaker 5: they said there shall be an ETF today, And it's like, oh,
Speaker 5: actually there's been twenty in like two years.
Speaker 2: I think before that they didn't have a launch for
Speaker 2: like seven.
Speaker 3: At some point there was a year or two at
Speaker 3: some point here.
Speaker 6: The more yeah, he won't give it up. Yeah yeah,
Speaker 6: the more you talk together.
Speaker 4: All right, I got one final pitch. Eric, You've got
Speaker 4: a mess on your hands.
Speaker 2: Intelligence. You're gonna mop that up.
Speaker 6: Your guys are uh yeah, the least by the way, Eric,
Speaker 6: I'll say you so far. I feel like the least
Speaker 6: factual pitch is so far I've come from your crew.
Speaker 2: Okay, Leric, you got a pitch I do?
Speaker 6: All right, Eric, you are on the clock, sir.
Speaker 5: All right, this one is just as boring as Athanasio says.
Speaker 5: I know you thought I was gonna pick like a
Speaker 5: two x quantum ETF, but this really stuck out to
Speaker 5: me this year global x.
Speaker 3: Us five hundred ETF. Okay, well, who cares?
Speaker 5: Right, Here's why this is interesting. First of all, it's
Speaker 5: only two basis porta picker g x LC two basis points. Really,
Speaker 5: the ticker on an s and P five hundred should
Speaker 5: mean nothing.
Speaker 3: Okay, anyway, the reason this is.
Speaker 6: Interesting, respond to the crowd, Yeah.
Speaker 5: This tracks the five hundred biggest thoughts in America. You
Speaker 5: may be like, well, so does the SMP.
Speaker 3: No, it doesn't.
Speaker 5: The S and P is an active fund. That index
Speaker 5: you need to have four quarters of positive earnings. Then
Speaker 5: there's this secret committee that meets in a smoky room
Speaker 5: somewhere and decides what can go in route. Remember when
Speaker 5: they wouldn't let Tesla in. Well, over the last ten years,
Speaker 5: the index this GXLC tracks is beating the S and
Speaker 5: P by seven percentage points. Why mostly because they didn't
Speaker 5: let Tesla in. This one did same with Strategy, and
Speaker 5: there's been many others where this will have all the
Speaker 5: stocks when they're big enough and you're not relying on
Speaker 5: a secret committee of who knows who?
Speaker 2: Okay, how do.
Speaker 6: You respond to here?
Speaker 2: What are the assets there? Let's just hear Eric admit it.
Speaker 6: I gotta get then abound a battery.
Speaker 3: Yes, there's only four million now.
Speaker 5: Because global x is not known for beta, it'd be
Speaker 5: like Vanguard launching like a humanoid ETF. It probably would
Speaker 5: take a minute, but still, I'm just going on the
Speaker 5: idea and the launch and the novelty.
Speaker 3: And it's a fact.
Speaker 2: It is.
Speaker 5: And also this is truly passive. If you're in the
Speaker 5: S and PIF hundred, you're not really passive. You are again,
Speaker 5: you're giving that you're close to passive.
Speaker 6: So you're saying that essentially all of us out there,
Speaker 6: all of us who think we're passive investors, were actually
Speaker 6: investing in active fund.
Speaker 5: Yeah, there's a committee of like nine people who you
Speaker 5: don't know, nobody knows. It's like remember see the Mob documentaries,
Speaker 5: where like the committee meets and like decides like who's
Speaker 5: gonna die that year.
Speaker 6: It's a sectually who's going to vote on this?
Speaker 8: Uh?
Speaker 2: Yes, pitch if actually does.
Speaker 3: That's what this does.
Speaker 5: That's why like Strategy did again they caught they checked
Speaker 5: every box. Tesla checked every box. Microsoft was famously not
Speaker 5: let in when they checked every box.
Speaker 6: So it's interesting, But is there is there a company
Speaker 6: or two or five right now that you could think
Speaker 6: of it that is unfairly being left out as a result.
Speaker 6: Wait a minute, the crowd has a thought.
Speaker 9: Erics twenty stocks that are that are eligible but not
Speaker 9: in there, and there's over sixty stocks in the index
Speaker 9: that are technically wouldn't be eligible today.
Speaker 6: At that So this is interesting.
Speaker 11: This is a backdoor crypto pitch for her strategy, that's what,
Speaker 11: because he wants strategy to be in the index.
Speaker 2: So what's the methodology here?
Speaker 3: The five hundred biggest stocks in five hundred biggest done?
Speaker 5: Okay, ask someone to ask somebody on the street to
Speaker 5: describe the S and P five hundred.
Speaker 3: They can.
Speaker 5: Now I'm going to say, as an investor who does
Speaker 5: own the S and P five hundred in my four
Speaker 5: one K, I'm fine owning it. I'm just saying this
Speaker 5: is a little potentially tighter and more passive, and it's
Speaker 5: even cheap than two BIPs.
Speaker 6: Do you own this one? No? It just came that
Speaker 6: four million dollars your.
Speaker 3: I'm not allowed to give investment.
Speaker 4: Okay, speaking of mysterious processes, and uh, you know, smoke
Speaker 4: filled the rooms with heavy curtains, h David Pappadopolis.
Speaker 6: Uh you then, can I have a minute.
Speaker 4: Looking gars and considering your options you take, We're going
Speaker 4: to give you one minute with your thoughts.
Speaker 2: Yeah, so we'll be back in a minute. Welcome back, David.
Speaker 6: Thanks?
Speaker 2: How is that smoke filled room two?
Speaker 6: Cigars later, Yeah, some more stting, right, yeah, I uh
Speaker 6: I no, no, there's no horse, no no no. And
Speaker 6: after after great thought, I have I have a verdict.
Speaker 2: Do you want to start with that or do you
Speaker 2: want to? I want to.
Speaker 6: I've graded everyone and we'll go from worst or last
Speaker 6: to best least best, right, and.
Speaker 5: There is I do feel like there's some millennials in
Speaker 5: the room. Okay, I know you guys can't handle just
Speaker 5: pure worst. Okay, so least best to best best.
Speaker 6: Least best a k biggest flop our pal bill Donna, damn,
Speaker 6: it was the shade. It was just basically it was
Speaker 6: just just too angry. Your pitch was just too angry.
Speaker 6: I couldn't It was just too angry, too angry, all right,
Speaker 6: you know you're trying to sell me on something. You
Speaker 6: can't be that angry.
Speaker 2: But you're in good.
Speaker 6: Company because your pal and it's just too just too
Speaker 6: much of.
Speaker 2: A mouthful, the whole cop kind of like a.
Speaker 6: Fish, a fish called Wanda, Like I just couldn't get
Speaker 6: it out. And it's the dividend, the whole dividen fourteen percent.
Speaker 2: Obviously, right, what you beat your pals? Uh? Next?
Speaker 6: Uh uh, mister bell cheernis what four million dollars?
Speaker 3: I crushed it like I legit, objectively crushed it. Okay, okay,
Speaker 3: well listen listen here.
Speaker 6: You can't you can't beat all the one last time.
Speaker 3: Don't know.
Speaker 5: All I want is I want to see a copy
Speaker 5: of his trading report in the next year. He's gonna
Speaker 5: legit buy the ticker I went over.
Speaker 6: I'm just saying, all right, now, we're starting to get
Speaker 6: up towards the top. I got James next, right off
Speaker 6: the right, off the bus or the subway, right in
Speaker 6: solid pitch Crypto though, as the crowd, you know, as
Speaker 6: the crowd was pointing out, though it was simultaneously greatly
Speaker 6: courageous and a little kind of reckless to pitch Crypto
Speaker 6: at a moment like this when it's puke and its
Speaker 6: guts out. But that was all right, mister humanoid himself.
Speaker 6: Andre's up next. Kind of fun sal But you know,
Speaker 6: I'm still maybe just me being stupid. I just don't
Speaker 6: know about the human ticker for a robot.
Speaker 12: Have you seen the terminator?
Speaker 6: I don't know, have youator.
Speaker 3: Even like the ones?
Speaker 6: But you see what I'm saying. She remains She remains salty.
Speaker 6: And angry.
Speaker 2: This is what you know.
Speaker 5: You just have to I gotta say, though, the idea
Speaker 5: of disqualifying him because human is a bad ticker.
Speaker 6: It is.
Speaker 3: They are called humanoids. I'm still name the industry gave them.
Speaker 2: I'm aware of the he's not.
Speaker 6: I'm just not feeling. I mean, there's a lot of
Speaker 6: stuff that the industry pitches. Private credit will also tell
Speaker 6: you a lot of things about private credit.
Speaker 2: But I noticed Prove did not have a have a cameo.
Speaker 6: Joel comes in third. I think the bronze just because
Speaker 6: Textan Now Textan is kind of I feel like that
Speaker 6: was fun, unlike human. I just thought Textan was good.
Speaker 6: It's gonna go nowhere. To be clear, thea's got no chance,
Speaker 6: but it's fine.
Speaker 2: Black Rock says otherwise.
Speaker 6: But okay, Isabelle Lee runner up?
Speaker 9: No?
Speaker 2: You would?
Speaker 6: You know, we're only down to two people, so you propose.
Speaker 3: You you give it to Lance Armstrong.
Speaker 2: The cast their negative don't.
Speaker 6: Well, here's another final thing.
Speaker 2: You know.
Speaker 6: That was what put it over the top of the
Speaker 6: lancing because Lance and I actually share the exact same
Speaker 6: birthday month. No v Bill, I mean, come on, what's wet? Yeah,
Speaker 6: it's what wait a minute, it's one of many factors.
Speaker 5: Right listen, I bet you their favorite actor is John Stamos.
Speaker 5: That's how messed up they both are.
Speaker 6: But we will we will be getting lunch together at
Speaker 6: at uh. Yes, clearly, well, I like, I mean at
Speaker 6: a time all the I mean you no, basically, among
Speaker 6: other things, you could take the au m of all
Speaker 6: these other a TF combined and it would not even order.
Speaker 3: Oh okay, so it was an a competition.
Speaker 2: Okay, all right, Ethan, Uh, do you have anything else
Speaker 2: you'd like to say? Any final word?
Speaker 11: I'm clear of the doping allegations.
Speaker 6: And let me ask, let me ask the trillion's host,
Speaker 6: who would you not choosing your own, who would you
Speaker 6: have chosen for this one?
Speaker 5: Me?
Speaker 3: I probably would have chosen Andres because because I think
Speaker 3: this is a thematic etf. When I'm out in my
Speaker 3: regular life, a lot of people are like, what's a
Speaker 3: good stock pick?
Speaker 5: And I'm like, I don't cover stocks. But when I
Speaker 5: eventually say I cover the markets or whatever, They're.
Speaker 3: Like, I want AI exposure. That's what everybody says.
Speaker 5: That's the thing this I like because it's going, it
Speaker 5: is even going further, and there's so much money being
Speaker 5: poured into it, and it doesn't have a lot of overlap.
Speaker 5: You add like one percent of a humanoid ETF to
Speaker 5: your otherwise boring vanilla, it's a nice little spice. So
Speaker 5: I just I just think that's a and human is
Speaker 5: a good ticker. That's why I would have given it
Speaker 5: to him. And the whole Terminator thing. I think about
Speaker 5: that constantly when I see these videos. I think about Terminator,
Speaker 5: and I think about Minority Report. Remember when they sent
Speaker 5: the spider robots and to get the guy. I'm like,
Speaker 5: the futures gonna be a combination of Minority Report in idiocracy.
Speaker 3: That's my theory. I know it's a weird mashup, but.
Speaker 6: So for posterity. If Paulus was the judge, Yeah, Winter Joel.
Speaker 2: You know, I kind of liked Meme.
Speaker 4: I thought that was you know, of all the things
Speaker 4: that you could have thought would have happened this year,
Speaker 4: like the resurrection of a meme stock ETF, Like that's
Speaker 4: just kind of you know, bonkers.
Speaker 6: But I mean, like Texan, it's also gonna puke it
Speaker 6: scots out.
Speaker 2: But that's the point.
Speaker 4: It's like, you know, there's there's a there's an indicator there.
Speaker 5: The other thing for meme is uh, if you again,
Speaker 5: if you're a boring investor, you add a little meme.
Speaker 5: You have to worry about what these whack job traders
Speaker 5: are doing. It just covers the stocks they're into and
Speaker 5: you get a little taste of it. Which of these
Speaker 5: ets are you most likely to invest in?
Speaker 6: Oh?
Speaker 2: He knew, he gave it to it already.
Speaker 3: Besides, besides g x LC do.
Speaker 6: You like g XLC? All right, so the dividends will no?
Speaker 3: Man, basically just say so we can all leave, maybe
Speaker 3: maybe yours.
Speaker 6: Eric, meme, not a chance in hell. The bell I
Speaker 6: already got plenty of best new lunch text texting is fun,
Speaker 6: but no, like I mean, actually no, this I should ask.
Speaker 6: Eric's gonna be like, I really want And that's.
Speaker 2: Why he's like, I really want that.
Speaker 6: What about some of the venezuela and bolvars are hand
Speaker 6: I hand you just cut edit.
Speaker 2: We're just gonna turn the volume down.
Speaker 3: Hold on one other question.
Speaker 5: Yeah, Let's say I know you're a horse track guy
Speaker 5: and you like gambling. Let's say you had a ten
Speaker 5: thousand dollars of your money right and you had to
Speaker 5: place it right now, even money on all these Which
Speaker 5: of these were the best performance?
Speaker 6: Twelve months from now, twelve months from now, just twelve.
Speaker 3: Yeah, this is an investment advice.
Speaker 6: Yo.
Speaker 3: Oh you think cash is gonna win over the next Wow?
Speaker 3: He No, you could be right. That's that's just a
Speaker 3: barish call basics.
Speaker 6: So that's why it's taking months. If you alread to
Speaker 6: give me a longer period, I wouldn't go be your bill.
Speaker 3: But yeah, twelve months, Okay, you might be right.
Speaker 2: Maybe we'll come back in twelve months. Clock starts now. David,
Speaker 2: thank you very much for joining us. Everybody else thank
Speaker 2: you as well.
Speaker 4: Thanks for listening to Trillions until next time. You can
Speaker 4: find us on the Bloomberg terminal, Bloomberg dot com, Apple Podcasts, Spotify,
Speaker 4: or wherever else you'd like to listen. We'd love to
Speaker 4: hear from you. Hit us up on social I'm at
Speaker 4: Joe Weber Show, He's at Eric Balcina's. Trillions is produced
Speaker 4: by Magnus Hendrickson. Brendan Newman is our executive producer. Sage
Speaker 4: Bauman is the head of Bloomberg Podcasts.