1
00:00:00,040 --> 00:00:03,240
Speaker 1: Well, let's go next to Saudi Arabia, where its flagship

2
00:00:03,400 --> 00:00:07,160
Speaker 1: investment event is drawing some of the world's top executives.

3
00:00:07,200 --> 00:00:10,840
Speaker 1: The Future Investment Initiative this year faces an additional challenge

4
00:00:10,840 --> 00:00:13,440
Speaker 1: on how to define the Middle East relationship with the world,

5
00:00:13,800 --> 00:00:17,560
Speaker 1: as in the wake of the Israel hamas More war.

6
00:00:17,720 --> 00:00:19,599
Speaker 1: Let's take a listen in now to one of the

7
00:00:19,680 --> 00:00:22,600
Speaker 1: key panels taking place there, which is no less than

8
00:00:22,720 --> 00:00:26,520
Speaker 1: eleven of the world's top leaders in finance. It's being

9
00:00:26,560 --> 00:00:28,600
Speaker 1: moderated by Bloomberg's David Rubinstein.

10
00:00:29,320 --> 00:00:33,440
Speaker 2: So welcome to the panel, and thank you very much

11
00:00:33,440 --> 00:00:36,040
Speaker 2: for having us here. And we have eleven people on

12
00:00:36,080 --> 00:00:39,000
Speaker 2: the panel. We have seventy five minutes, so that means

13
00:00:39,040 --> 00:00:42,720
Speaker 2: everybody gets an hour. For all of you who think

14
00:00:42,760 --> 00:00:45,440
Speaker 2: you should be on this panel, we only have eleven.

15
00:00:46,120 --> 00:00:48,440
Speaker 2: We were thinking of having twelve. If we had twelve,

16
00:00:48,520 --> 00:00:51,159
Speaker 2: you would be on the panel. So just imagine that

17
00:00:51,240 --> 00:00:54,080
Speaker 2: if you missed it barely. But thank you all for

18
00:00:54,120 --> 00:00:56,360
Speaker 2: our coming and I want to thank you for hosting us.

19
00:00:56,880 --> 00:00:59,760
Speaker 2: And let me just say at the very beginning, I

20
00:01:00,040 --> 00:01:02,120
Speaker 2: think there's ever been a panel with its big as

21
00:01:02,120 --> 00:01:05,040
Speaker 2: an assemblage of financial talent and skill as you've been

22
00:01:05,080 --> 00:01:07,080
Speaker 2: able to put together here, So thank you for doing this.

23
00:01:08,319 --> 00:01:11,200
Speaker 2: I'll try to go around alphabetically generally, but why don't

24
00:01:11,240 --> 00:01:15,920
Speaker 2: we start with our hosts. So, yeah, sir, tell me

25
00:01:16,400 --> 00:01:19,399
Speaker 2: on AI, and I point out AI is a major

26
00:01:19,440 --> 00:01:24,080
Speaker 2: subjic you're interested in. I noticed that Saudi Arabia has

27
00:01:24,200 --> 00:01:27,840
Speaker 2: in both words AI. Now maybe that's a coincidence, but

28
00:01:28,560 --> 00:01:31,880
Speaker 2: AI is obviously something you've focused on. And how do

29
00:01:31,959 --> 00:01:34,800
Speaker 2: you think that you can make AI and can be

30
00:01:34,880 --> 00:01:38,840
Speaker 2: made inclusive so that people aren't left behind? And are

31
00:01:38,880 --> 00:01:41,200
Speaker 2: you one hundred percent convinced that AI is going to

32
00:01:41,200 --> 00:01:44,720
Speaker 2: be a benefit for society as opposed to a detriment.

33
00:01:46,200 --> 00:01:46,640
Speaker 3: Thank you.

34
00:01:48,200 --> 00:01:52,800
Speaker 4: I mean I decided I think back in twenty fourteen.

35
00:01:52,840 --> 00:01:57,080
Speaker 4: But the generative AI, which is the new thing, and

36
00:01:57,840 --> 00:02:03,560
Speaker 4: it requires a lot it to require is the infrastructure,

37
00:02:03,600 --> 00:02:08,760
Speaker 4: which is the chips. It requires the platforms, the data

38
00:02:08,800 --> 00:02:15,400
Speaker 4: centers and all the other apps.

39
00:02:15,160 --> 00:02:16,000
Speaker 5: To work with it.

40
00:02:16,680 --> 00:02:21,440
Speaker 4: I mean, now, what we're seeing with the you know, CHA,

41
00:02:21,639 --> 00:02:25,720
Speaker 4: g b T and the other AI platforms is just

42
00:02:25,919 --> 00:02:27,400
Speaker 4: a tip of the iceberg.

43
00:02:27,720 --> 00:02:30,799
Speaker 5: This is just the beginning, okay.

44
00:02:31,840 --> 00:02:39,920
Speaker 6: So we need to get all the MHM, all the

45
00:02:39,960 --> 00:02:44,080
Speaker 6: companies that generates the apps with the companies that generates

46
00:02:44,120 --> 00:02:46,919
Speaker 6: the chips, the data.

47
00:02:46,560 --> 00:02:51,560
Speaker 4: Centers to work with the governments to have some kind

48
00:02:51,680 --> 00:02:58,880
Speaker 4: of and accord or some agreement on how to use

49
00:02:59,040 --> 00:03:03,919
Speaker 4: and harness AI for good and to do so, we

50
00:03:04,120 --> 00:03:07,480
Speaker 4: have to be to be more inclusive. We cannot just

51
00:03:08,160 --> 00:03:12,720
Speaker 4: make the AI as an exclusive thing. So you have

52
00:03:13,320 --> 00:03:21,799
Speaker 4: many models, the closed model and the open model, and

53
00:03:22,280 --> 00:03:26,919
Speaker 4: we have seen some of the model. The closed source

54
00:03:27,080 --> 00:03:35,800
Speaker 4: model that is either certain ideology or politics plays a lot.

55
00:03:37,040 --> 00:03:39,880
Speaker 4: And there's a big difference between what the internet is

56
00:03:39,920 --> 00:03:42,600
Speaker 4: today and what AI is doing.

57
00:03:43,480 --> 00:03:46,080
Speaker 5: So it has to be a collaboration.

58
00:03:47,000 --> 00:03:50,320
Speaker 4: Countries have to work to have some kind of a

59
00:03:50,480 --> 00:03:52,320
Speaker 4: strategy or agreements.

60
00:03:53,440 --> 00:03:55,360
Speaker 5: Not only countries, but I think.

61
00:03:57,000 --> 00:04:03,880
Speaker 4: Supernational organization like the United Nations or the World Bank

62
00:04:04,080 --> 00:04:07,240
Speaker 4: or some of these big entities. They have to work

63
00:04:07,240 --> 00:04:13,320
Speaker 4: together with different countries on making AI more inclusive.

64
00:04:13,920 --> 00:04:17,120
Speaker 2: So you pointed out your opening remarks, AI consumes a

65
00:04:17,120 --> 00:04:19,640
Speaker 2: lot of electricity. In other words, to make AI work,

66
00:04:19,760 --> 00:04:22,080
Speaker 2: it's a lot of electricity that has to be consumed.

67
00:04:22,600 --> 00:04:27,560
Speaker 2: Are you convinced that the effects of all the electricity

68
00:04:27,720 --> 00:04:31,040
Speaker 2: electricity has generated all of the climate change that might

69
00:04:31,080 --> 00:04:34,400
Speaker 2: be affected by AI is worth the benefit. In other words,

70
00:04:34,640 --> 00:04:36,919
Speaker 2: is it really going to be beneficial for society to

71
00:04:37,080 --> 00:04:41,160
Speaker 2: use as much additional electricity to get the benefits of AI.

72
00:04:41,279 --> 00:04:43,719
Speaker 4: It is no doubt someone mind, I mean generative of

73
00:04:43,760 --> 00:04:50,279
Speaker 4: AI is the second phase of AI. Then we will

74
00:04:50,279 --> 00:04:53,000
Speaker 4: go maybe to the super AI sometime in the future.

75
00:04:54,680 --> 00:04:58,080
Speaker 4: So all of this would need huge data centers, and

76
00:04:58,120 --> 00:05:00,760
Speaker 4: that's why we were talking to everyone and we started

77
00:05:00,800 --> 00:05:04,480
Speaker 4: building so many data centers, and the world need more

78
00:05:04,560 --> 00:05:05,239
Speaker 4: data centers.

79
00:05:05,279 --> 00:05:05,440
Speaker 7: Now.

80
00:05:05,480 --> 00:05:08,000
Speaker 5: The problem is, to your point.

81
00:05:08,240 --> 00:05:11,880
Speaker 4: The power consumption with the data centers. And as I

82
00:05:11,920 --> 00:05:17,240
Speaker 4: said in my opener remarks, you will just one day

83
00:05:17,520 --> 00:05:22,080
Speaker 4: of chad GBT learning as the equivalent of about twenty

84
00:05:22,640 --> 00:05:26,120
Speaker 4: six thousand homes in the US, which consumes a lot

85
00:05:26,160 --> 00:05:32,560
Speaker 4: of energy. So we have to work on how we

86
00:05:32,720 --> 00:05:36,159
Speaker 4: can balance, you know, the broads and cons of the

87
00:05:36,279 --> 00:05:40,640
Speaker 4: use of AI. What we are doing, for instance in

88
00:05:40,680 --> 00:05:42,920
Speaker 4: Saudi Arabia I think is.

89
00:05:42,839 --> 00:05:44,040
Speaker 5: A good solution.

90
00:05:45,720 --> 00:05:48,599
Speaker 4: And our targets by the year twenty thirty, we want

91
00:05:48,600 --> 00:05:53,840
Speaker 4: to have fifty percent of our power generation to be

92
00:05:53,839 --> 00:05:56,359
Speaker 4: bested on renewable and the other fifty will be based

93
00:05:56,400 --> 00:06:01,760
Speaker 4: on gas which emit less than liquid. So we have

94
00:06:02,080 --> 00:06:07,960
Speaker 4: to invest more and the renewable energy. If you look

95
00:06:08,000 --> 00:06:10,880
Speaker 4: at the targets by twenty forty, I think it's two

96
00:06:10,920 --> 00:06:17,760
Speaker 4: hundred and eighty three trillion dollars needed to be invested

97
00:06:19,000 --> 00:06:23,719
Speaker 4: cumulatively from the year twenty to twenty until twenty forty.

98
00:06:24,120 --> 00:06:27,200
Speaker 4: We haven't achieved much what we have achieved so far

99
00:06:27,400 --> 00:06:30,719
Speaker 4: as like one point seven last year or one point

100
00:06:30,760 --> 00:06:34,720
Speaker 4: two trillion, So that means we have to pay sell

101
00:06:34,760 --> 00:06:39,960
Speaker 4: our investments or deployment by five trillion and annual base globally.

102
00:06:40,320 --> 00:06:41,000
Speaker 7: Final question.

103
00:06:41,040 --> 00:06:44,159
Speaker 2: At this point, you are the chairman of Salia Ramco,

104
00:06:44,279 --> 00:06:47,360
Speaker 2: which is the largest corporate oil producer in the world.

105
00:06:47,800 --> 00:06:50,599
Speaker 2: You're also the head of PIF, which is one of

106
00:06:50,600 --> 00:06:53,520
Speaker 2: the largest sovereign wealth funds in the world. As the

107
00:06:53,560 --> 00:06:57,159
Speaker 2: head of PIF, you're responsible for producing roughly seventy percent

108
00:06:57,200 --> 00:06:59,680
Speaker 2: of the alternative energy that is supposed to be produced

109
00:06:59,720 --> 00:07:02,599
Speaker 2: in this in the Kingdom. Yet you're also producing an

110
00:07:02,680 --> 00:07:07,040
Speaker 2: enormous amount of non alternative energy at Shadi Aramco.

111
00:07:07,120 --> 00:07:08,960
Speaker 7: How do you balance the two? Every day?

112
00:07:08,960 --> 00:07:10,640
Speaker 2: Do you wake up and say, I'm going to do

113
00:07:10,640 --> 00:07:12,520
Speaker 2: a little bit of alternative energy, I'm gonna do some

114
00:07:12,720 --> 00:07:13,880
Speaker 2: for carbon energy.

115
00:07:13,880 --> 00:07:14,720
Speaker 7: How do you balance this.

116
00:07:15,480 --> 00:07:17,920
Speaker 4: That's a great question. Actually, what we were doing in

117
00:07:18,120 --> 00:07:23,920
Speaker 4: ARANCO is should be all the oil and gas companies

118
00:07:23,920 --> 00:07:28,360
Speaker 4: should really consider doing. We are the lowest emitter when

119
00:07:28,400 --> 00:07:31,920
Speaker 4: it comes to the oil and gas production by far.

120
00:07:33,080 --> 00:07:37,240
Speaker 4: If the other oil and gas companies start doing what

121
00:07:37,360 --> 00:07:40,680
Speaker 4: OURANCO is doing in their production, I think we can

122
00:07:41,320 --> 00:07:43,720
Speaker 4: reduce the emission.

123
00:07:47,400 --> 00:07:48,280
Speaker 5: By big numbers.

124
00:07:48,280 --> 00:07:51,120
Speaker 4: I don't remember the exact numbers, but it's the equivalent

125
00:07:51,280 --> 00:07:57,080
Speaker 4: of one third of the both residential and commercial emission

126
00:07:57,120 --> 00:08:00,600
Speaker 4: in the world. So if we can do that, that

127
00:08:00,680 --> 00:08:04,520
Speaker 4: would be a great thing. But the problem that most

128
00:08:04,520 --> 00:08:08,080
Speaker 4: of the oil and gas companies have they're not incentivized

129
00:08:08,240 --> 00:08:12,640
Speaker 4: enough by their governments to do something like that. While

130
00:08:12,680 --> 00:08:16,520
Speaker 4: in PIF we're doing seventy percent, as you said, of

131
00:08:16,600 --> 00:08:21,040
Speaker 4: the renewable energy. We're trying to balance things, and we're

132
00:08:21,080 --> 00:08:25,200
Speaker 4: working a lot with our NCO. They're co investing with

133
00:08:25,400 --> 00:08:29,080
Speaker 4: most of our initiatives in addition to what they're trying

134
00:08:29,120 --> 00:08:32,800
Speaker 4: to do now and the blue hydrogen and the sequestration

135
00:08:33,280 --> 00:08:36,520
Speaker 4: which will reduce all the emissions. So I don't see

136
00:08:36,559 --> 00:08:40,400
Speaker 4: any controduction of what I'm doing in both the intro.

137
00:08:40,440 --> 00:08:42,439
Speaker 2: As they head of PIF do you ever have an

138
00:08:42,480 --> 00:08:44,760
Speaker 2: experience where somebody comes to you and doesn't tell you

139
00:08:44,840 --> 00:08:47,840
Speaker 2: they have a great investment idea for you to invest in?

140
00:08:48,200 --> 00:08:50,040
Speaker 2: You ever have that where somebody doesn't give you a

141
00:08:50,040 --> 00:08:52,280
Speaker 2: great idea when you're talking to you to for you to.

142
00:08:52,160 --> 00:08:57,000
Speaker 5: Invest I'm sorry, I don't understand this question everybody, of course, no,

143
00:08:57,080 --> 00:08:58,240
Speaker 5: I do, and everybody question.

144
00:08:58,400 --> 00:08:59,199
Speaker 7: Everybody does.

145
00:08:59,520 --> 00:09:02,320
Speaker 4: Everybody It comes to us, of course with the greatest

146
00:09:02,400 --> 00:09:07,040
Speaker 4: idea and the face of the earth history, and we

147
00:09:07,240 --> 00:09:10,600
Speaker 4: really invited them to do so. But we do have

148
00:09:10,640 --> 00:09:14,679
Speaker 4: a huge process, big process on you know, filtering all

149
00:09:14,720 --> 00:09:19,520
Speaker 4: the things, looking at the benefits versus the risk. We've done,

150
00:09:19,640 --> 00:09:22,760
Speaker 4: of course, really some great investments and we're.

151
00:09:22,600 --> 00:09:23,480
Speaker 5: Really proud of it.

152
00:09:24,840 --> 00:09:28,920
Speaker 4: We have less failure investments, which is a good. That

153
00:09:29,000 --> 00:09:31,800
Speaker 4: means our system and framework on governance.

154
00:09:31,480 --> 00:09:33,679
Speaker 7: Is Workay, let me turn to Ray Dalio.

155
00:09:33,960 --> 00:09:38,199
Speaker 2: Ray, you've built the largest hedge fund in the world, Bridgewater,

156
00:09:38,720 --> 00:09:41,800
Speaker 2: and you're also in your new career also an author.

157
00:09:41,880 --> 00:09:44,480
Speaker 2: You've written a number of New York Times bestselling books.

158
00:09:44,880 --> 00:09:47,480
Speaker 2: In one of your recent books, you talked about five

159
00:09:47,600 --> 00:09:51,080
Speaker 2: forces that are affecting the global economy. So can you

160
00:09:51,160 --> 00:09:53,880
Speaker 2: so synctly tell us how these forces are going to

161
00:09:53,920 --> 00:09:56,000
Speaker 2: move the economy forward the next couple of years or so,

162
00:09:56,320 --> 00:09:58,360
Speaker 2: adversely or positively.

163
00:10:00,600 --> 00:10:05,920
Speaker 8: Adversely on the fear, but positively potentially. Yeah. As a

164
00:10:05,960 --> 00:10:08,760
Speaker 8: global macro investor, for the last fifty years, my job

165
00:10:08,800 --> 00:10:11,240
Speaker 8: has been to bet on what is going to happen

166
00:10:11,840 --> 00:10:16,320
Speaker 8: globally macro. And what I learned in my lifetime is

167
00:10:16,320 --> 00:10:19,960
Speaker 8: that many of the things that surprised may happened worth

168
00:10:20,200 --> 00:10:22,640
Speaker 8: because they didn't happen in my lifetime, but they happened

169
00:10:22,640 --> 00:10:28,440
Speaker 8: many times in history, particularly in nineteen thirty five nineteen

170
00:10:29,320 --> 00:10:33,280
Speaker 8: thirty to forty five period. So these five forces have

171
00:10:33,400 --> 00:10:35,960
Speaker 8: always interacted, and I think everything that we're going to

172
00:10:36,000 --> 00:10:39,400
Speaker 8: talk about today will be related to those five forces.

173
00:10:39,679 --> 00:10:42,800
Speaker 8: And they interact. And those five forces, of course are

174
00:10:42,880 --> 00:10:50,080
Speaker 8: the debt, money, interest rate, economy force. The second is

175
00:10:50,120 --> 00:10:54,000
Speaker 8: the internal order or disorder force. In other words, the

176
00:10:54,040 --> 00:10:58,440
Speaker 8: internal conflicts that we are having today and the debts

177
00:10:58,480 --> 00:11:02,320
Speaker 8: that we are having today are the largest since the

178
00:11:02,400 --> 00:11:05,600
Speaker 8: nineteen thirty to forty five period. And also you go

179
00:11:05,640 --> 00:11:08,880
Speaker 8: back in history and you've seen enormous amounts of those

180
00:11:08,920 --> 00:11:12,360
Speaker 8: They have implications. The third great force, of course is

181
00:11:12,400 --> 00:11:18,640
Speaker 8: the international geopolitical force, two great powers that are rival powers.

182
00:11:19,040 --> 00:11:22,160
Speaker 8: And then of course the fact that there isn't a

183
00:11:22,240 --> 00:11:25,680
Speaker 8: single world order, there isn't a single world power. It's

184
00:11:25,720 --> 00:11:28,520
Speaker 8: very different than in nineteen forty five when the New

185
00:11:28,559 --> 00:11:32,080
Speaker 8: World Order was created, because you have a war, a

186
00:11:32,120 --> 00:11:34,960
Speaker 8: dominant power comes out or dominant powers, and they set

187
00:11:35,000 --> 00:11:36,920
Speaker 8: the rules and everybody goes by the rules.

188
00:11:36,960 --> 00:11:40,280
Speaker 9: Well, this is a very different world. And so those

189
00:11:40,360 --> 00:11:41,320
Speaker 9: three forces.

190
00:11:42,360 --> 00:11:45,880
Speaker 8: I wanted to examine those over the last five hundred

191
00:11:45,920 --> 00:11:50,040
Speaker 8: years because to think about rises and declines of reserve currencies,

192
00:11:50,960 --> 00:11:53,640
Speaker 8: rises in declines of empires and so on, I needed

193
00:11:53,679 --> 00:11:56,920
Speaker 8: to get the perspective over that. And I discovered that

194
00:11:57,000 --> 00:12:01,600
Speaker 8: the other two great big forces were acts of nature,

195
00:12:02,800 --> 00:12:06,640
Speaker 8: which drought, floods, and pandemics have killed more people than

196
00:12:06,760 --> 00:12:12,600
Speaker 8: wars and are certainly a dominant force at this time.

197
00:12:12,679 --> 00:12:15,800
Speaker 8: And then the fifth grade force has always been man's

198
00:12:15,840 --> 00:12:22,160
Speaker 8: inventiveness and technologies. So we have these five forces interacting.

199
00:12:22,440 --> 00:12:24,520
Speaker 8: So everything that we're going to talk about will be

200
00:12:24,640 --> 00:12:26,959
Speaker 8: related to each one of those. And I think if

201
00:12:26,960 --> 00:12:29,960
Speaker 8: we step back and we put that each one of

202
00:12:29,960 --> 00:12:35,760
Speaker 8: those in a historic perspective, say, how are there degrees

203
00:12:36,440 --> 00:12:41,960
Speaker 8: of influence compared to those in history, the largest wealth

204
00:12:42,040 --> 00:12:46,319
Speaker 8: gaps since the nineteen thirty to forty five period, populism,

205
00:12:46,360 --> 00:12:46,720
Speaker 8: and so on.

206
00:12:47,320 --> 00:12:48,920
Speaker 9: So those are the five forces.

207
00:12:49,040 --> 00:12:51,800
Speaker 8: I think if we're looking at them and their evolution,

208
00:12:52,480 --> 00:12:55,199
Speaker 8: it's like watching a movie play out over and over again.

209
00:12:55,200 --> 00:12:58,400
Speaker 8: If you have that historical perspective, and as we're looking

210
00:12:58,440 --> 00:13:02,000
Speaker 8: at it, what we're seeing around the world today as

211
00:13:02,000 --> 00:13:04,480
Speaker 8: we go into the elections, so we're going to see

212
00:13:04,480 --> 00:13:07,280
Speaker 8: in the United States, which are going to be over

213
00:13:07,480 --> 00:13:13,079
Speaker 8: irreconcilable differences about wealth and power. And then we look

214
00:13:13,120 --> 00:13:17,000
Speaker 8: at the geopolitical situation, and then we look at the

215
00:13:17,040 --> 00:13:19,600
Speaker 8: climate issue. The climate issue is going to cost us.

216
00:13:19,960 --> 00:13:23,440
Speaker 8: It's estimated between five and ten trillion dollars a year

217
00:13:23,920 --> 00:13:27,720
Speaker 8: in a world GDP that produces one hundred trillion. So anyway,

218
00:13:27,880 --> 00:13:30,960
Speaker 8: I think that those five big forces, as we look

219
00:13:31,000 --> 00:13:34,560
Speaker 8: at if we look at historical perspectives and analogous periods,

220
00:13:34,760 --> 00:13:37,000
Speaker 8: I think that that'll help us. I think we have

221
00:13:37,080 --> 00:13:40,000
Speaker 8: to be concerned about that dynamic that's taking place.

222
00:13:40,200 --> 00:13:42,719
Speaker 2: Put put it simply for next year, are you optimistic

223
00:13:42,760 --> 00:13:44,719
Speaker 2: about the global economy or pessimistic?

224
00:13:45,720 --> 00:13:46,400
Speaker 9: Pessimistic?

225
00:13:47,080 --> 00:13:54,120
Speaker 8: Pessimistic pessimistic about the look, you have a political you

226
00:13:54,200 --> 00:13:58,440
Speaker 8: have a monetary you have a conflict type of environment.

227
00:13:59,160 --> 00:14:02,200
Speaker 8: At the same time, you have the greatest inventiveness. We

228
00:14:02,240 --> 00:14:06,000
Speaker 8: talk about this fabulous technology development that has so much

229
00:14:06,040 --> 00:14:12,320
Speaker 8: potential to produce wonderful things, and then as it could

230
00:14:12,320 --> 00:14:15,000
Speaker 8: be a problem. So if you take the time horizon,

231
00:14:15,040 --> 00:14:18,120
Speaker 8: the monetary policies that we're going to see and so on,

232
00:14:18,280 --> 00:14:21,120
Speaker 8: we'll have greater effects on the world. And you look

233
00:14:21,160 --> 00:14:23,640
Speaker 8: at the world gaps, so you can it's difficult to

234
00:14:23,640 --> 00:14:27,920
Speaker 8: be optimistic on that. And I think that now the

235
00:14:27,960 --> 00:14:31,720
Speaker 8: real issue, I think is how we deal with each other. Okay,

236
00:14:31,880 --> 00:14:36,360
Speaker 8: if we it was said earlier, very well, you know peace,

237
00:14:37,000 --> 00:14:39,040
Speaker 8: if we can, if we can keep a piece, if

238
00:14:39,040 --> 00:14:44,160
Speaker 8: we can have a healthy competitive environment without having a

239
00:14:44,320 --> 00:14:47,320
Speaker 8: war with each other, we will be in good shape.

240
00:14:47,320 --> 00:14:49,680
Speaker 9: We will make adaptations.

241
00:14:50,000 --> 00:14:53,520
Speaker 2: Okay, Jamie Diamond, you have led for quite more than

242
00:14:53,560 --> 00:14:57,320
Speaker 2: a decade most profitable and largest market cap bank in

243
00:14:57,360 --> 00:15:00,720
Speaker 2: the world, JP Morgan. So are you op mystic about

244
00:15:00,760 --> 00:15:03,800
Speaker 2: the economy going forward? And are you as obsessed as

245
00:15:03,840 --> 00:15:06,120
Speaker 2: many people are in the financial world about whether the

246
00:15:06,160 --> 00:15:08,400
Speaker 2: Fed is going to increase interest rates again or cut

247
00:15:08,400 --> 00:15:10,520
Speaker 2: interest rates? Is to make that much difference to the

248
00:15:10,560 --> 00:15:11,600
Speaker 2: economy as you see it.

249
00:15:11,840 --> 00:15:14,280
Speaker 10: Yeah, so David, thank you folks, thank you for having

250
00:15:14,280 --> 00:15:17,440
Speaker 10: me here again. And I'll give you the optimistic thing.

251
00:15:17,480 --> 00:15:20,040
Speaker 10: I think it's wonderful. I've been coming to Saudi Arabia

252
00:15:20,120 --> 00:15:23,200
Speaker 10: since two thousand and five, and which changed here is

253
00:15:23,240 --> 00:15:26,120
Speaker 10: so dramatic and so good, and not just what they've

254
00:15:26,160 --> 00:15:28,520
Speaker 10: done inside Saudi Arabia, but trying to bring peace to

255
00:15:28,600 --> 00:15:32,240
Speaker 10: the Middle East. And please, inspite of what happened in Israel,

256
00:15:32,320 --> 00:15:34,520
Speaker 10: I urge you all to keep up that effort. It

257
00:15:34,640 --> 00:15:36,680
Speaker 10: is the only way to get there with some leadership

258
00:15:36,720 --> 00:15:39,520
Speaker 10: from Saudi Arabia for all the folks in the Middle East.

259
00:15:39,520 --> 00:15:43,160
Speaker 10: And I'm generally an optimist, I think you'd be foolish

260
00:15:43,240 --> 00:15:45,080
Speaker 10: not to look at some of these things taking place

261
00:15:45,080 --> 00:15:49,080
Speaker 10: today in Ukraine Middle East. Obviously my heart goes out

262
00:15:49,120 --> 00:15:55,720
Speaker 10: for Ukraine, but also it's affecting oil, food, food, gas prices, migration,

263
00:15:55,880 --> 00:15:59,200
Speaker 10: potential starvation is probably the most serious thing we've faced.

264
00:15:59,400 --> 00:16:01,200
Speaker 10: And I hear people talking about the ESG all the time.

265
00:16:01,240 --> 00:16:03,360
Speaker 10: I just would put on your table the most serious

266
00:16:03,400 --> 00:16:06,880
Speaker 10: thing facing mankind is nuclear pliferation. If we're not sitting

267
00:16:06,920 --> 00:16:09,480
Speaker 10: here one hundred years from now, it will be nuclear proliferation.

268
00:16:09,560 --> 00:16:13,320
Speaker 3: It's not a climate and so I think when you.

269
00:16:13,240 --> 00:16:15,920
Speaker 10: Look at the geopolitical situations as complex as we've seen,

270
00:16:16,200 --> 00:16:19,320
Speaker 10: I don't know if it's nineteen forty eight or nineteen

271
00:16:19,400 --> 00:16:22,720
Speaker 10: thirty eight. Obviously we all hope it goes away. I

272
00:16:22,720 --> 00:16:24,840
Speaker 10: think it's a little bit of wishful thinking. It's going

273
00:16:24,880 --> 00:16:26,920
Speaker 10: to take real leadership on the part of many people

274
00:16:26,960 --> 00:16:30,000
Speaker 10: out there. And then I look at the financial situation,

275
00:16:30,200 --> 00:16:33,240
Speaker 10: the fiscal spending, which is more than I'm talking about

276
00:16:33,240 --> 00:16:35,360
Speaker 10: the United States, but it's almost true around the world.

277
00:16:35,560 --> 00:16:38,360
Speaker 10: It's more than it's ever been in peacetime by a

278
00:16:38,400 --> 00:16:40,440
Speaker 10: long shot, with the highest debt levels we ever had

279
00:16:40,480 --> 00:16:43,040
Speaker 10: by government, and there's this kind of omnipping and feeling

280
00:16:43,040 --> 00:16:46,280
Speaker 10: that central banks and governments can manage through all this stuff.

281
00:16:46,440 --> 00:16:50,960
Speaker 10: I'm cautious. I don't think it makes a piece of

282
00:16:51,000 --> 00:16:53,160
Speaker 10: difference whether the race goo of twenty five basis points

283
00:16:53,240 --> 00:16:54,040
Speaker 10: or more like.

284
00:16:54,200 --> 00:16:55,440
Speaker 3: Zero none not.

285
00:16:56,120 --> 00:16:58,320
Speaker 10: I think whether the whole curve goes up one hundred

286
00:16:58,320 --> 00:17:01,320
Speaker 10: basis points, you know I would be prepared for it.

287
00:17:01,360 --> 00:17:03,160
Speaker 3: I don't know if it's gonna happen, but I.

288
00:17:03,160 --> 00:17:05,359
Speaker 10: Look at what we're seeing today more like the seventies,

289
00:17:05,600 --> 00:17:08,120
Speaker 10: a lot of spending, a lot of it's gonna be wasted.

290
00:17:08,160 --> 00:17:11,320
Speaker 10: I'm in favor of this whole esg effort. On the

291
00:17:11,320 --> 00:17:12,880
Speaker 10: other hand, if you look at the way we're going

292
00:17:12,920 --> 00:17:16,240
Speaker 10: about it, it's almost like governments want to whack them

293
00:17:16,240 --> 00:17:19,880
Speaker 10: all and force it, but no carbon taxes, no rational

294
00:17:19,920 --> 00:17:22,119
Speaker 10: way to go about it. There would be more important

295
00:17:22,119 --> 00:17:24,400
Speaker 10: in the United States, for example, you know you can't

296
00:17:24,400 --> 00:17:28,760
Speaker 10: build pipelines to reduce coal emissions. You can't build, you

297
00:17:28,840 --> 00:17:32,960
Speaker 10: can't build get the permise to build solar and wind and.

298
00:17:32,880 --> 00:17:35,439
Speaker 3: Things like that. So we better get her act together.

299
00:17:35,600 --> 00:17:37,600
Speaker 10: I'm hopeful when I listen to all the R and

300
00:17:37,680 --> 00:17:40,560
Speaker 10: D see it to render, we will make the breakthroughs

301
00:17:40,560 --> 00:17:42,560
Speaker 10: we need to be climate, but it's gonna be a

302
00:17:42,640 --> 00:17:44,840
Speaker 10: day later and longer than it should because of their

303
00:17:44,880 --> 00:17:48,800
Speaker 10: own basic incompetence. I also want to add one last thing.

304
00:17:48,800 --> 00:17:51,120
Speaker 10: I'm taking it from Bob Gates. To fix this, it's

305
00:17:51,160 --> 00:17:55,720
Speaker 10: gonna take real leadership from the Western world, in particular America,

306
00:17:55,800 --> 00:18:00,639
Speaker 10: but leadership which is not just military diplomatic development and

307
00:18:00,680 --> 00:18:03,439
Speaker 10: this development fans another Adjay is still here. What we

308
00:18:03,520 --> 00:18:06,760
Speaker 10: need in development finance dwarfs what governments can do, so

309
00:18:07,080 --> 00:18:09,800
Speaker 10: it can't be done without private capital, and private capital,

310
00:18:10,040 --> 00:18:11,880
Speaker 10: you know, isn't going to come in if they you know,

311
00:18:12,000 --> 00:18:13,960
Speaker 10: you build something that gets taken from a government or

312
00:18:14,000 --> 00:18:14,399
Speaker 10: something like that.

313
00:18:14,480 --> 00:18:16,159
Speaker 3: So we have a lot of work to do.

314
00:18:16,280 --> 00:18:18,560
Speaker 10: It's one of the reasons I think these events are positive,

315
00:18:19,200 --> 00:18:21,760
Speaker 10: but I would be quite concerned. And the other thing

316
00:18:21,760 --> 00:18:23,960
Speaker 10: about when you look at economics, I think people prepare

317
00:18:23,960 --> 00:18:28,400
Speaker 10: for possibilities and probabilities, not calling one course of action,

318
00:18:28,560 --> 00:18:29,920
Speaker 10: since I've never seen.

319
00:18:29,680 --> 00:18:30,480
Speaker 3: Anyone call it.

320
00:18:30,640 --> 00:18:32,960
Speaker 10: I want to point out that central banks eighteen months

321
00:18:33,000 --> 00:18:36,480
Speaker 10: ago were one hundred percent dead wrong. Okay, so maybe

322
00:18:36,480 --> 00:18:40,880
Speaker 10: there's humility about financial forecasting. I would be quite cautious

323
00:18:40,920 --> 00:18:42,080
Speaker 10: about what might happen next year.

324
00:18:42,160 --> 00:18:44,800
Speaker 2: It's been said, I think you've commented on us that

325
00:18:44,840 --> 00:18:47,280
Speaker 2: you would like to be president of the United States

326
00:18:47,520 --> 00:18:49,959
Speaker 2: if you could be appointed, maybe not run for it.

327
00:18:50,280 --> 00:18:51,919
Speaker 2: Do you think you're old enough. You're only in your

328
00:18:51,960 --> 00:18:54,560
Speaker 2: mid sixties. You think that's old enough to be president

329
00:18:54,560 --> 00:18:55,159
Speaker 2: of United States?

330
00:18:56,640 --> 00:19:00,640
Speaker 3: I'm still maturing, Larry Fink.

331
00:19:01,160 --> 00:19:04,560
Speaker 2: I've started and it still runs, the largest asset management

332
00:19:04,560 --> 00:19:08,080
Speaker 2: firm in the world, called black Rock. Larry do you

333
00:19:08,119 --> 00:19:12,320
Speaker 2: see a title way shifting to fixed income investments from

334
00:19:12,320 --> 00:19:14,760
Speaker 2: equity investments and do you think that will continue for

335
00:19:14,840 --> 00:19:17,080
Speaker 2: quite some time or do you think that's really not

336
00:19:17,200 --> 00:19:19,679
Speaker 2: a tidal wave and people are basically still investing in

337
00:19:19,680 --> 00:19:21,240
Speaker 2: equities as much as they did before.

338
00:19:22,160 --> 00:19:24,440
Speaker 11: Well, again, thank you for being here. It's always great

339
00:19:24,480 --> 00:19:28,040
Speaker 11: to be in the Kingdom. As Jamie said, the transformation

340
00:19:28,080 --> 00:19:32,320
Speaker 11: of the Kingdom in the last seven years is totally heartwarming.

341
00:19:33,119 --> 00:19:36,880
Speaker 11: And I would also just want to echo as capitalists,

342
00:19:37,800 --> 00:19:41,240
Speaker 11: as business leaders, we all have a responsibility to speak

343
00:19:41,240 --> 00:19:45,000
Speaker 11: a little louder today in a polarizing world, in a

344
00:19:45,000 --> 00:19:50,440
Speaker 11: polarizing world where we're seeing terrorism, we're watching two wars,

345
00:19:50,480 --> 00:19:52,959
Speaker 11: and here we are trying to talk about, you know,

346
00:19:53,240 --> 00:19:56,159
Speaker 11: how to make it a better world. That's what this

347
00:19:56,600 --> 00:20:00,760
Speaker 11: THII is about. And so we also have to then

348
00:20:00,800 --> 00:20:04,600
Speaker 11: focus on the unpleasant parts of what's deniging the world

349
00:20:05,119 --> 00:20:09,520
Speaker 11: for better growth. So we all have to be better humanitarians,

350
00:20:09,560 --> 00:20:11,600
Speaker 11: and we all have to be more focused on how

351
00:20:11,640 --> 00:20:15,040
Speaker 11: to make sure that the political side of the world

352
00:20:15,520 --> 00:20:19,960
Speaker 11: understands that peace and prosperity does work a lot longer

353
00:20:20,080 --> 00:20:24,440
Speaker 11: and does shape and list more human beings to middle

354
00:20:24,480 --> 00:20:29,880
Speaker 11: class and higher standard of living and conflicts actually creat

355
00:20:29,960 --> 00:20:37,000
Speaker 11: much more global problems for the majority of the world.

356
00:20:38,720 --> 00:20:40,639
Speaker 11: We're going to see higher interest rates, David. We're going

357
00:20:40,680 --> 00:20:44,840
Speaker 11: to see higher interest rates for longer. This reminds me

358
00:20:44,920 --> 00:20:48,520
Speaker 11: of the seventies. I think some of us on trading

359
00:20:48,640 --> 00:20:55,680
Speaker 11: US in the seventies and the seventies was all about

360
00:20:56,200 --> 00:21:01,760
Speaker 11: bad policy. Today it's about bad policy again and big

361
00:21:01,920 --> 00:21:08,159
Speaker 11: macro shifts. As Ray spoke about it, The polarization, the

362
00:21:08,200 --> 00:21:12,359
Speaker 11: polittization of supply chains, the fragmentation is a big result

363
00:21:12,400 --> 00:21:17,520
Speaker 11: of it. That is inflationary. I mean also, a populism

364
00:21:17,600 --> 00:21:20,639
Speaker 11: is very inflationary because we respond to the immediacy of

365
00:21:20,680 --> 00:21:25,040
Speaker 11: the moment. We don't talk about long term issues. As

366
00:21:25,080 --> 00:21:27,840
Speaker 11: we see more and more countries move to the far right, we.

367
00:21:27,800 --> 00:21:30,960
Speaker 12: See more threats towards immigration.

368
00:21:34,560 --> 00:21:38,560
Speaker 11: The lack of immigration is very inflationary, especially in economies

369
00:21:38,600 --> 00:21:39,560
Speaker 11: like the United States.

370
00:21:39,680 --> 00:21:41,600
Speaker 12: I'm talking about legal immigration.

371
00:21:42,720 --> 00:21:47,360
Speaker 11: And so and then we have we've had a government

372
00:21:47,359 --> 00:21:49,960
Speaker 11: I'm talking about the US now and in two thousand

373
00:21:50,320 --> 00:21:53,879
Speaker 11: with an eight trillion dollar deficit, and today we have

374
00:21:53,920 --> 00:21:57,160
Speaker 11: a thirty three trillion dollar deficit. So the deficits grown

375
00:21:57,200 --> 00:21:59,200
Speaker 11: by more than a trillion dollars each year over the

376
00:21:59,280 --> 00:22:03,520
Speaker 11: last twenty three That is highly inflationary. The balance sheet

377
00:22:03,560 --> 00:22:09,040
Speaker 11: of the Better Reserve is highly inflationary, and so all

378
00:22:09,080 --> 00:22:10,960
Speaker 11: these different measures.

379
00:22:12,600 --> 00:22:14,880
Speaker 12: Are much more structural, much more difficult.

380
00:22:14,880 --> 00:22:17,719
Speaker 11: So as a result of that, interest rates are going

381
00:22:17,720 --> 00:22:21,720
Speaker 11: to remain higher, opportunities for investors are going to be able.

382
00:22:21,480 --> 00:22:27,959
Speaker 12: To be very patient. You could do nothing and enjoy

383
00:22:28,280 --> 00:22:29,320
Speaker 12: a positive return.

384
00:22:30,040 --> 00:22:33,280
Speaker 2: Right, So are you expecting a hard landing or a

385
00:22:33,400 --> 00:22:36,840
Speaker 2: soft landing in the United States or you just can't project?

386
00:22:37,280 --> 00:22:38,159
Speaker 12: I would, I do not.

387
00:22:38,440 --> 00:22:41,000
Speaker 11: We will not see a hard hour of soft landing

388
00:22:41,000 --> 00:22:44,919
Speaker 11: in twenty twenty four. The amount of fiscal stimulus that

389
00:22:45,000 --> 00:22:48,199
Speaker 11: is just entering the economy, which is very inflationary. The

390
00:22:48,280 --> 00:22:51,280
Speaker 11: Chips Act, the IRA and the Infrastructure Acted about nine

391
00:22:51,359 --> 00:22:57,399
Speaker 11: hundred and seventy billion dollars, the largest peacetime, non pandemic

392
00:22:57,480 --> 00:23:00,680
Speaker 11: moment of fiscal stimulus. At the same time, our central

393
00:23:00,720 --> 00:23:05,320
Speaker 11: bank is trying to arrest the economy, and so that's just.

394
00:23:05,320 --> 00:23:06,200
Speaker 12: Hitting the J curve.

395
00:23:09,200 --> 00:23:12,400
Speaker 11: And you see in labor settlements right now, what's going

396
00:23:12,400 --> 00:23:16,160
Speaker 11: on in labor talk twenty twenty five percent increases in wages.

397
00:23:16,680 --> 00:23:21,160
Speaker 11: So I don't see a problem, but I do believe

398
00:23:21,200 --> 00:23:23,240
Speaker 11: the Federal Reserve is going to have to raise rates higher,

399
00:23:23,359 --> 00:23:26,000
Speaker 11: which probably will mean by twenty five we may have

400
00:23:26,160 --> 00:23:28,119
Speaker 11: US soft, we may have a hard landing. That is

401
00:23:28,160 --> 00:23:29,920
Speaker 11: the only way I see how we're going to be

402
00:23:30,040 --> 00:23:35,679
Speaker 11: arresting this, but I don't expect it anytime soon. I

403
00:23:35,720 --> 00:23:37,480
Speaker 11: think the power of the economy, the power of the

404
00:23:37,480 --> 00:23:41,560
Speaker 11: consumer that Jamie about a lot, is giving me comfort

405
00:23:41,560 --> 00:23:44,480
Speaker 11: that the economy is fine. Obviously, other parts of the world,

406
00:23:44,960 --> 00:23:49,320
Speaker 11: the European economy is facing much more severe headwinds.

407
00:23:50,040 --> 00:23:51,600
Speaker 12: And the one thing that I would.

408
00:23:51,440 --> 00:23:55,760
Speaker 11: Say about the US economy, we have a spectacular capital markets.

409
00:23:55,840 --> 00:23:58,120
Speaker 12: We have the greatest capital markets in the world.

410
00:23:58,440 --> 00:24:01,560
Speaker 11: Every country is trying to build their own capital markets.

411
00:24:01,720 --> 00:24:04,560
Speaker 11: I had many conversations yesterday about how the Kingdom is

412
00:24:04,600 --> 00:24:04,960
Speaker 11: trying to.

413
00:24:04,920 --> 00:24:06,200
Speaker 12: Raise its capital markets.

414
00:24:07,240 --> 00:24:09,640
Speaker 11: In our capital markets, we have the most unique mortgage

415
00:24:09,680 --> 00:24:15,800
Speaker 11: market of all. Mortgages are fixed, thirty year fixed. So

416
00:24:15,880 --> 00:24:18,960
Speaker 11: the transmission of high rates in the US economy just

417
00:24:19,040 --> 00:24:23,560
Speaker 11: takes much longer to impact the economy, and so that

418
00:24:23,600 --> 00:24:27,840
Speaker 11: transmission is not being impacted as fast as the transmission

419
00:24:27,840 --> 00:24:30,120
Speaker 11: of higher rates in other parts of the world. That's

420
00:24:30,200 --> 00:24:33,120
Speaker 11: in Europe where they have more five year fix and floating,

421
00:24:33,320 --> 00:24:36,680
Speaker 11: especially in the UK, you see the transmission of higher

422
00:24:36,760 --> 00:24:38,560
Speaker 11: rates impacting economies faster.

423
00:24:38,720 --> 00:24:43,160
Speaker 12: So we you know, And I would just say.

424
00:24:42,960 --> 00:24:47,040
Speaker 11: One last thing, intersecting what Gosser said, intersecting.

425
00:24:48,320 --> 00:24:49,879
Speaker 12: What Ajay said.

426
00:24:50,760 --> 00:24:55,880
Speaker 11: When you intersect what technology is going to do robotics

427
00:24:56,000 --> 00:25:00,720
Speaker 11: and the intersection of AI and robotics, we are going

428
00:25:00,760 --> 00:25:04,040
Speaker 11: to have a boost in productivity and that is going

429
00:25:04,080 --> 00:25:06,240
Speaker 11: to be the next way for deflation. That is not

430
00:25:06,280 --> 00:25:08,840
Speaker 11: going to happen anytime in the next few years. So

431
00:25:09,320 --> 00:25:12,560
Speaker 11: I'm more optimistic today than I was four years ago.

432
00:25:13,720 --> 00:25:19,320
Speaker 11: The transformation in medicine, how we are shaping lives through

433
00:25:19,800 --> 00:25:25,680
Speaker 11: diabetic therapies that are now showing total impact on the

434
00:25:25,680 --> 00:25:30,840
Speaker 11: health of heart disease, of diabetes, of kidney disease. And

435
00:25:31,680 --> 00:25:36,840
Speaker 11: I know something quite personally to me, the medicines for

436
00:25:38,240 --> 00:25:43,280
Speaker 11: dementia and Alzheimer's is changing the curve of decline by

437
00:25:43,400 --> 00:25:44,360
Speaker 11: fifty percent.

438
00:25:45,160 --> 00:25:46,800
Speaker 12: There are so many reasons to be.

439
00:25:46,840 --> 00:25:51,800
Speaker 11: Optimistic, and the pages on the newspapers on websites is

440
00:25:51,840 --> 00:25:55,879
Speaker 11: all about the pessimism. And I'm more of a believer

441
00:25:56,000 --> 00:26:00,760
Speaker 11: how technology is going to shape these economies help us out.

442
00:26:00,840 --> 00:26:02,879
Speaker 11: We may have one or two years of struggling, but

443
00:26:02,920 --> 00:26:06,320
Speaker 11: I am powerfully optimistic about how technology going to be

444
00:26:06,440 --> 00:26:07,720
Speaker 11: rapidly shaped our world.

445
00:26:07,760 --> 00:26:12,159
Speaker 2: Hey, Jane Fraser is running Running City, the CEO of

446
00:26:12,200 --> 00:26:14,800
Speaker 2: City and one of the largest banks in the United States,

447
00:26:14,840 --> 00:26:17,160
Speaker 2: and I think the first woman to run a major

448
00:26:17,200 --> 00:26:19,760
Speaker 2: money center bank in the United States. Well, we had

449
00:26:19,800 --> 00:26:21,879
Speaker 2: to go outside the United States to find a woman

450
00:26:21,880 --> 00:26:23,439
Speaker 2: to do that. But you're right of.

451
00:26:25,320 --> 00:26:28,560
Speaker 13: Ireland, Scott David.

452
00:26:29,320 --> 00:26:35,320
Speaker 2: Okay, So are you optimistic or you're pestimic pessimistic going forward?

453
00:26:35,760 --> 00:26:38,600
Speaker 2: And what's the biggest challenge in running City these days?

454
00:26:38,600 --> 00:26:39,880
Speaker 2: Are a major money center bank?

455
00:26:42,480 --> 00:26:45,320
Speaker 14: It's it's we're sitting here with the backdrop which I

456
00:26:45,320 --> 00:26:49,000
Speaker 14: think we all acknowledge of the aftermath of the terrorist

457
00:26:49,040 --> 00:26:52,880
Speaker 14: attack in Israel and the events have been unfolding since,

458
00:26:52,920 --> 00:26:55,919
Speaker 14: and it's desperately sad. So it's hard not to be

459
00:26:55,920 --> 00:26:59,080
Speaker 14: a little pessimistic given that. On the other hand, we're

460
00:26:59,080 --> 00:27:01,000
Speaker 14: all sin as we talk about in a world where

461
00:27:02,200 --> 00:27:06,679
Speaker 14: there is a new s in ESG, which is security,

462
00:27:07,320 --> 00:27:11,600
Speaker 14: food security, energy security. It can be defense, it can

463
00:27:11,640 --> 00:27:15,000
Speaker 14: be financial security. And that's certainly a theme that all

464
00:27:15,640 --> 00:27:18,000
Speaker 14: the CEOs around the world are talking about how to

465
00:27:18,040 --> 00:27:22,919
Speaker 14: build more resilience countries. Companies are doing so from cities perspective,

466
00:27:23,680 --> 00:27:27,040
Speaker 14: as we operate in many different geographies around the world,

467
00:27:27,040 --> 00:27:30,760
Speaker 14: as do many colleagues around the table. It's coping with

468
00:27:30,800 --> 00:27:35,080
Speaker 14: a world where globalization is becoming more fragmented, the risks

469
00:27:35,280 --> 00:27:39,880
Speaker 14: associated with globalization are getting more connected together and how

470
00:27:39,920 --> 00:27:44,720
Speaker 14: do we manage to navigate that? And as Ray said,

471
00:27:45,520 --> 00:27:49,680
Speaker 14: you've got multiple different forces that every company, every leader

472
00:27:49,720 --> 00:27:51,960
Speaker 14: has to navigate. So I think it's important to have

473
00:27:52,400 --> 00:27:56,600
Speaker 14: big ears and thick skin these days in running any enterprise.

474
00:27:56,960 --> 00:28:00,239
Speaker 2: So for the women that are watching, they're here, what

475
00:28:00,240 --> 00:28:02,359
Speaker 2: would you say is the biggest challenge for a woman

476
00:28:02,400 --> 00:28:05,679
Speaker 2: to rise up in a major financial service institution? Is

477
00:28:05,720 --> 00:28:08,520
Speaker 2: there any discrimination anymore or is there more than there

478
00:28:08,600 --> 00:28:10,479
Speaker 2: used to be? And what was the secret to your

479
00:28:10,560 --> 00:28:11,120
Speaker 2: rising up?

480
00:28:11,480 --> 00:28:11,640
Speaker 7: Oh?

481
00:28:11,640 --> 00:28:15,440
Speaker 14: Well, let me just point out quite an odder remarkable

482
00:28:15,920 --> 00:28:18,640
Speaker 14: job the Kingdom has done on this front. I've been

483
00:28:18,680 --> 00:28:21,280
Speaker 14: coming here, not quite as long as Jamie, but fifteen

484
00:28:21,359 --> 00:28:24,560
Speaker 14: years and the last four years have just been spectacular

485
00:28:24,960 --> 00:28:28,480
Speaker 14: in the change that's happened since coming from COVID. It's

486
00:28:28,520 --> 00:28:31,800
Speaker 14: exciting to see and I think this country is a

487
00:28:31,840 --> 00:28:34,720
Speaker 14: good model for how to make sure that there is

488
00:28:34,760 --> 00:28:38,920
Speaker 14: the education, the access to opportunity. And it's not to congestures,

489
00:28:38,960 --> 00:28:42,880
Speaker 14: but it's focusing on recruitment, it's focusing on development, it's

490
00:28:42,960 --> 00:28:47,080
Speaker 14: focusing on the promotion of women and providing access to opportunities.

491
00:28:47,360 --> 00:28:50,440
Speaker 14: And I have to say male allies are very important

492
00:28:50,440 --> 00:28:53,200
Speaker 14: in that rise and several of you around the table

493
00:28:53,280 --> 00:28:54,760
Speaker 14: have been wonderful allies to me.

494
00:28:55,160 --> 00:28:59,320
Speaker 2: Okay, so Patrice much happy. Patrece is I think one

495
00:28:59,320 --> 00:29:02,080
Speaker 2: of the most prominent business people in Africa and very

496
00:29:02,080 --> 00:29:06,400
Speaker 2: actively involved in philanthropy and business in South Africa. But Trees,

497
00:29:06,520 --> 00:29:09,640
Speaker 2: why do does the Western world not really invest that

498
00:29:09,760 --> 00:29:13,360
Speaker 2: much in Africa? Relatively speaking? I think only one percent

499
00:29:13,360 --> 00:29:15,960
Speaker 2: of private acquy dollars around the world go to Africa

500
00:29:16,040 --> 00:29:16,560
Speaker 2: every year.

501
00:29:16,880 --> 00:29:18,560
Speaker 7: Do you see any change occurring in.

502
00:29:18,640 --> 00:29:21,240
Speaker 2: Africa going to be more attractive to Western investors or

503
00:29:21,240 --> 00:29:23,640
Speaker 2: do you think it's actually going up opposite way.

504
00:29:24,160 --> 00:29:24,920
Speaker 7: It's very simple.

505
00:29:25,280 --> 00:29:28,560
Speaker 15: I mean Africa has to continue to be globally competitive,

506
00:29:29,000 --> 00:29:34,760
Speaker 15: an exciting destination for investment, both domestically and globally. Investments

507
00:29:34,840 --> 00:29:37,560
Speaker 15: doing to investors worldwide don't have to invest in any

508
00:29:37,560 --> 00:29:40,760
Speaker 15: specific country or continent. There's a lot of exceptional work

509
00:29:40,800 --> 00:29:44,640
Speaker 15: that has been done in Africa, like many other developing countries,

510
00:29:44,680 --> 00:29:47,280
Speaker 15: will there be challenges in the future through the yes,

511
00:29:47,800 --> 00:29:51,440
Speaker 15: I mean we've invested billions of dollars in Africa. We

512
00:29:51,480 --> 00:29:53,480
Speaker 15: could have invested in other parts of the world. We've

513
00:29:53,520 --> 00:29:56,720
Speaker 15: invested in India and in Europe and in America. So

514
00:29:56,760 --> 00:30:00,160
Speaker 15: I think overall there's a new group of young, young

515
00:30:00,360 --> 00:30:04,120
Speaker 15: African leaders. Some of the smartest rights is African study

516
00:30:04,760 --> 00:30:06,960
Speaker 15: in America. You and I are part of the Harvard

517
00:30:07,040 --> 00:30:12,800
Speaker 15: University Global Advisory Council Exceptional Talent write Young African study

518
00:30:12,800 --> 00:30:15,680
Speaker 15: in London and in other possible world I think the

519
00:30:15,680 --> 00:30:16,560
Speaker 15: future looks great.

520
00:30:17,600 --> 00:30:20,240
Speaker 2: And what area would somebody wants to invest in Africa?

521
00:30:20,280 --> 00:30:23,160
Speaker 2: Where would you recommend it? What type of things venture capital,

522
00:30:23,240 --> 00:30:26,840
Speaker 2: buyout technology? What are the areas you think are particularly attractive?

523
00:30:27,120 --> 00:30:30,560
Speaker 15: Well, I think the key issues you've got to find

524
00:30:30,560 --> 00:30:35,840
Speaker 15: the right partners. And as I said, the bottom line

525
00:30:35,880 --> 00:30:40,640
Speaker 15: is the perception that there isn't any capital in Africa

526
00:30:40,720 --> 00:30:45,000
Speaker 15: is misfounded. The financial services company that we are the

527
00:30:45,040 --> 00:30:49,520
Speaker 15: biggest shell in excess of eighty billion dollars. I think

528
00:30:49,520 --> 00:30:50,560
Speaker 15: part of the challenges.

529
00:30:50,680 --> 00:30:51,479
Speaker 7: We have to diverse.

530
00:30:51,560 --> 00:30:53,400
Speaker 15: We have to invest in other parts of the world,

531
00:30:53,880 --> 00:30:56,400
Speaker 15: but which means we also have to invest outside Africa.

532
00:30:56,800 --> 00:31:00,280
Speaker 15: Which are the best opportunities. I think technology is in

533
00:31:00,360 --> 00:31:04,720
Speaker 15: the face the opportunities in Africa in the developing world,

534
00:31:04,920 --> 00:31:11,280
Speaker 15: and if you look at the impact, the fastest growing

535
00:31:11,320 --> 00:31:14,040
Speaker 15: economies in the world are from the continent, but of

536
00:31:14,080 --> 00:31:17,800
Speaker 15: course they start from a low base, so there's lots

537
00:31:17,840 --> 00:31:21,440
Speaker 15: of investment in agriculture. We will continue in the mining industry.

538
00:31:22,200 --> 00:31:24,680
Speaker 15: That the challenge for us now is to beneficiate in

539
00:31:24,720 --> 00:31:29,880
Speaker 15: the continent and those beneficiation opportunities have to make commercial sense.

540
00:31:30,200 --> 00:31:33,800
Speaker 15: But overall, you know, the partnerships globally and there's a

541
00:31:33,920 --> 00:31:36,920
Speaker 15: significant amount of investments that's not just going to Africa

542
00:31:36,920 --> 00:31:38,320
Speaker 15: but to the rest of the developing world.

543
00:31:38,600 --> 00:31:44,720
Speaker 2: Okay, So no Quinn is the CEO of HSBC, a

544
00:31:44,840 --> 00:31:48,440
Speaker 2: major European bank, I think the largest bank, one of

545
00:31:48,480 --> 00:31:50,640
Speaker 2: the largest banks in Europe that did not take any

546
00:31:50,640 --> 00:31:51,800
Speaker 2: assistance from the government.

547
00:31:52,000 --> 00:31:52,160
Speaker 3: You know.

548
00:31:52,280 --> 00:31:55,280
Speaker 2: Seven away. So as you wake up every morning, are

549
00:31:55,280 --> 00:31:58,120
Speaker 2: you worried about the European economy? Are you more worried

550
00:31:58,120 --> 00:32:00,240
Speaker 2: about the Chinese economy? You have a big pressent in

551
00:32:00,320 --> 00:32:02,840
Speaker 2: China as well. So what worries you were, the Chinese

552
00:32:02,920 --> 00:32:04,520
Speaker 2: economy or the European economy.

553
00:32:05,200 --> 00:32:07,360
Speaker 16: Well, let me talk about the European economy first look,

554
00:32:07,440 --> 00:32:11,400
Speaker 16: it clearly had a massive inflationary shock with the gas

555
00:32:11,520 --> 00:32:15,640
Speaker 16: the dependency on the gas price. That then led to

556
00:32:16,200 --> 00:32:18,520
Speaker 16: a big shift in some of the demand curve for

557
00:32:18,560 --> 00:32:21,080
Speaker 16: a number of industries in Europe, anything to do with

558
00:32:21,160 --> 00:32:27,360
Speaker 16: consumption High street, massive demand curve shift. Europe at the

559
00:32:27,360 --> 00:32:30,480
Speaker 16: moment is still in terms of real rates, it's still negative.

560
00:32:30,840 --> 00:32:32,960
Speaker 16: And if you contrasted with the US, the real rates

561
00:32:33,000 --> 00:32:35,200
Speaker 16: and the US are positive, So you then got the

562
00:32:35,200 --> 00:32:38,720
Speaker 16: currency pressure in Europe as well. But that demand shift

563
00:32:39,040 --> 00:32:41,840
Speaker 16: has created a very low growth economy in Europe, still

564
00:32:41,840 --> 00:32:45,120
Speaker 16: with high inflation but coming down. And the real shock

565
00:32:45,240 --> 00:32:48,320
Speaker 16: was the resilience issue. The real shock was the dependency

566
00:32:48,520 --> 00:32:52,760
Speaker 16: on a single source of energy. And I think if

567
00:32:52,800 --> 00:32:56,720
Speaker 16: you if you play that into post COVID, all industries

568
00:32:56,760 --> 00:32:59,600
Speaker 16: in the world, all governments of the world have had

569
00:32:59,640 --> 00:33:01,160
Speaker 16: that shock on resilience.

570
00:33:01,760 --> 00:33:02,600
Speaker 7: So I've seen a.

571
00:33:02,680 --> 00:33:07,360
Speaker 16: Huge amount of diversification and supply chains taking place, and

572
00:33:07,440 --> 00:33:11,080
Speaker 16: that is impacting China as well. The exports from China

573
00:33:11,120 --> 00:33:15,920
Speaker 16: are impacted by geopolitics, the need for resilience in supply chain,

574
00:33:16,320 --> 00:33:18,680
Speaker 16: and the need for diversifications. But I think the real

575
00:33:18,760 --> 00:33:23,640
Speaker 16: challenge for Europe is near term and probably medium term growth.

576
00:33:24,240 --> 00:33:27,239
Speaker 16: It will get inflation under control, although there is the

577
00:33:27,240 --> 00:33:30,840
Speaker 16: potential for a second wave. Wage inflation is still not

578
00:33:30,960 --> 00:33:34,080
Speaker 16: under control in Europe and particularly in the UK. I

579
00:33:34,080 --> 00:33:36,720
Speaker 16: think we're all seeing evidence of that biting now in

580
00:33:36,760 --> 00:33:41,440
Speaker 16: our economies, and so therefore there is the potential for

581
00:33:41,560 --> 00:33:46,680
Speaker 16: persistent high interest rates and high inflation in Europe. In China,

582
00:33:46,800 --> 00:33:50,160
Speaker 16: I think it's more near term pressures as they've corrected

583
00:33:50,160 --> 00:33:53,880
Speaker 16: the economy with some massive policy correction. But medium term

584
00:33:53,960 --> 00:33:56,800
Speaker 16: I'm still very confident of the growth opportunities in China.

585
00:33:57,000 --> 00:34:01,320
Speaker 2: Hindsight is usually twenty twenty, but that's tell us in hindsight.

586
00:34:01,520 --> 00:34:04,000
Speaker 2: Was Brexit a good thing for England and a good

587
00:34:04,000 --> 00:34:06,120
Speaker 2: thing for Europe or I'm gonna.

588
00:34:05,880 --> 00:34:08,720
Speaker 16: I'm gonna, I'm gonna. I'm gonna put a different slant

589
00:34:08,760 --> 00:34:12,000
Speaker 16: on that. The time in a Brexit was very fortunate

590
00:34:12,000 --> 00:34:14,960
Speaker 16: in that it coincided with COVID. I think if you

591
00:34:15,000 --> 00:34:17,760
Speaker 16: look at it from a political point of view, Boris

592
00:34:17,840 --> 00:34:21,600
Speaker 16: Johnson achieved Brexit at a time when the economy was

593
00:34:21,640 --> 00:34:25,880
Speaker 16: already flat, and actually the economic impact of COVID was

594
00:34:25,960 --> 00:34:27,440
Speaker 16: more damaging than the economy.

595
00:34:27,440 --> 00:34:28,920
Speaker 7: And actually the economic.

596
00:34:28,600 --> 00:34:31,520
Speaker 16: Impact of Brexit was muted because it was already a

597
00:34:31,600 --> 00:34:34,880
Speaker 16: very suppressed economy. So when we run stress tests on

598
00:34:34,920 --> 00:34:39,040
Speaker 16: the UK economy for Brexit on top of COVID, it

599
00:34:39,040 --> 00:34:40,080
Speaker 16: didn't make a lot of difference.

600
00:34:40,080 --> 00:34:41,560
Speaker 7: You were already at rock bottom.

601
00:34:41,760 --> 00:34:44,280
Speaker 16: What you're now seeing is the emergence of the Brexit

602
00:34:44,360 --> 00:34:47,920
Speaker 16: overhang coming as the economy is rebooting in Europe and

603
00:34:47,960 --> 00:34:48,960
Speaker 16: the economy.

604
00:34:48,600 --> 00:34:49,560
Speaker 7: Rebooting in the UK.

605
00:34:50,280 --> 00:34:52,759
Speaker 16: The UK at the moment, if you listen to the

606
00:34:52,840 --> 00:34:55,920
Speaker 16: chance of the UK is still doing its low GDP growth,

607
00:34:56,160 --> 00:34:58,280
Speaker 16: it's still better at the moment than Germany or France.

608
00:34:58,680 --> 00:35:00,719
Speaker 16: Will it be long term a different manta.

609
00:35:01,880 --> 00:35:06,080
Speaker 2: Steve Schwartzman built Blackstone into the largest market cap alternative

610
00:35:06,120 --> 00:35:09,600
Speaker 2: investment company and the largest in terms of assets and

611
00:35:09,719 --> 00:35:13,120
Speaker 2: management market cap and so forth. Steve, a lot of

612
00:35:13,160 --> 00:35:16,400
Speaker 2: money has come into alternative investments in recent years, particularly

613
00:35:16,400 --> 00:35:21,360
Speaker 2: in Blackstone, from retail investors. Is that going to continue

614
00:35:21,440 --> 00:35:23,759
Speaker 2: as the economy maybe slows down a little bit in

615
00:35:23,760 --> 00:35:26,000
Speaker 2: the United States? Or you think retail is a great

616
00:35:26,040 --> 00:35:29,080
Speaker 2: source of incastment capital for alternative investment firms in the

617
00:35:29,120 --> 00:35:31,560
Speaker 2: future as well.

618
00:35:31,960 --> 00:35:40,440
Speaker 17: David, there's eighty trillion dollars in retail investors and they

619
00:35:40,440 --> 00:35:46,880
Speaker 17: are only invested in our area alternatives maybe one percent,

620
00:35:47,120 --> 00:35:51,640
Speaker 17: maybe two When I started in the alternative business in

621
00:35:51,760 --> 00:35:57,520
Speaker 17: nineteen eighty five, institutions at that time had one percent

622
00:35:57,640 --> 00:35:58,400
Speaker 17: or two percent.

623
00:35:58,719 --> 00:35:59,319
Speaker 7: That was it.

624
00:36:00,160 --> 00:36:06,279
Speaker 17: Now they're twenty five percent, so I think. And I've

625
00:36:06,320 --> 00:36:11,680
Speaker 17: been planning on this since twenty ten, which shows you

626
00:36:11,800 --> 00:36:18,560
Speaker 17: my timing may be off. There's no reason why retail

627
00:36:18,640 --> 00:36:22,520
Speaker 17: investors wouldn't want to get the same type of positive

628
00:36:22,600 --> 00:36:30,160
Speaker 17: experience that institutions do. Alternatives should be able to generate

629
00:36:30,840 --> 00:36:36,680
Speaker 17: five hundred basis points or more than not using them,

630
00:36:37,000 --> 00:36:40,200
Speaker 17: so why wouldn't you use them? So there were some

631
00:36:40,360 --> 00:36:45,520
Speaker 17: regulatory inhibitions, but now I can tell you from talking

632
00:36:45,560 --> 00:36:49,000
Speaker 17: to the people who run these systems that they want

633
00:36:49,640 --> 00:36:57,839
Speaker 17: really dramatic increases in alternatives for their customers. Institutions are

634
00:36:57,960 --> 00:37:03,720
Speaker 17: in one way, much more stable source of capital because

635
00:37:05,080 --> 00:37:10,800
Speaker 17: they're very disciplined. They take advantage of dips. The retail

636
00:37:10,920 --> 00:37:16,719
Speaker 17: investor has more volatility. Sometimes when the world gets in

637
00:37:16,760 --> 00:37:19,920
Speaker 17: a bad position, they just don't want to invest.

638
00:37:20,360 --> 00:37:21,160
Speaker 3: So you have to.

639
00:37:21,120 --> 00:37:25,800
Speaker 17: Look at the growth over a cycle. And we're doing

640
00:37:25,880 --> 00:37:31,400
Speaker 17: like really well with this. We have probably a quarter

641
00:37:32,160 --> 00:37:37,320
Speaker 17: of the trillion dollars we manage that comes from retail

642
00:37:37,880 --> 00:37:42,000
Speaker 17: high net worth investors. I think that's going to grow

643
00:37:42,440 --> 00:37:45,719
Speaker 17: as long as you give them a good experience, and

644
00:37:45,760 --> 00:37:49,280
Speaker 17: it's also you have to have very good sales and service.

645
00:37:49,560 --> 00:37:52,799
Speaker 17: It's much more service intensive than you would think.

646
00:37:53,160 --> 00:37:53,480
Speaker 7: Steve.

647
00:37:53,520 --> 00:37:55,720
Speaker 2: You also have one of the biggest real estate investment

648
00:37:55,760 --> 00:37:59,640
Speaker 2: operations in the Western world. Many people think that the

649
00:37:59,680 --> 00:38:03,280
Speaker 2: real state world is going to suffer decline because interest

650
00:38:03,320 --> 00:38:05,879
Speaker 2: rates have been high. People aren't coming back to work

651
00:38:06,000 --> 00:38:08,080
Speaker 2: physically so much that maybe people don't need as much

652
00:38:08,080 --> 00:38:10,960
Speaker 2: office space. Are you expecting a big decline in the

653
00:38:11,080 --> 00:38:13,840
Speaker 2: value of commercial real estate in major cities or do

654
00:38:13,840 --> 00:38:15,480
Speaker 2: you think it's been exaggerated.

655
00:38:15,880 --> 00:38:20,319
Speaker 17: I think it depends on the subass class. David, so

656
00:38:21,160 --> 00:38:25,480
Speaker 17: office buildings in the United States to some degree, also

657
00:38:26,400 --> 00:38:30,040
Speaker 17: around the world. Because the pandemic, people got used to,

658
00:38:30,440 --> 00:38:34,919
Speaker 17: you know, staying at home, and it was actually more

659
00:38:34,960 --> 00:38:39,239
Speaker 17: profitable for them to stay at home because one they

660
00:38:39,239 --> 00:38:41,759
Speaker 17: didn't work as hard. Regardless of what they tell you

661
00:38:42,600 --> 00:38:47,240
Speaker 17: and the second is they don't spend money to commute.

662
00:38:48,560 --> 00:38:51,960
Speaker 17: You know, they can make their lunch at home, they

663
00:38:52,000 --> 00:38:55,920
Speaker 17: don't have to buy expensive clothes, and so their incomes

664
00:38:56,640 --> 00:38:57,360
Speaker 17: are higher.

665
00:38:58,000 --> 00:38:59,799
Speaker 14: So just.

666
00:39:01,400 --> 00:39:05,640
Speaker 17: One or two quick statistics. In the US, in the

667
00:39:06,000 --> 00:39:16,200
Speaker 17: office market, buildings are twenty percent vacant unleased. Actually there's

668
00:39:16,239 --> 00:39:20,120
Speaker 17: another twenty percent that somebody's leased, but the people don't

669
00:39:20,160 --> 00:39:24,680
Speaker 17: come in. So you're looking at office buildings that basically

670
00:39:25,880 --> 00:39:30,360
Speaker 17: are forty percent unused. So I expect when those leases

671
00:39:30,520 --> 00:39:34,120
Speaker 17: roll off, the companies will cut back the amount of space.

672
00:39:34,719 --> 00:39:40,800
Speaker 17: So say you have thirty percent unused space and office buildings,

673
00:39:41,160 --> 00:39:45,480
Speaker 17: that means those office buildings are not survivable, you know,

674
00:39:45,520 --> 00:39:50,720
Speaker 17: as economic entities. Now that the exception is office buildings

675
00:39:50,760 --> 00:39:54,160
Speaker 17: that are ten years old or less. People like being

676
00:39:54,200 --> 00:39:58,520
Speaker 17: in those, so that's going to have a very bad end.

677
00:39:59,040 --> 00:40:03,640
Speaker 17: On the other hand, there are other categories of real estate,

678
00:40:03,719 --> 00:40:07,600
Speaker 17: like warehouses. They're still going up, you know, like eight

679
00:40:07,760 --> 00:40:10,440
Speaker 17: nine percent a year in terms of leases.

680
00:40:10,920 --> 00:40:13,520
Speaker 12: When somebody rolls off an old lease.

681
00:40:13,880 --> 00:40:17,879
Speaker 17: They've gone up so much, there's an increase to them

682
00:40:17,920 --> 00:40:22,520
Speaker 17: of fifty to sixty percent. So there are a variety

683
00:40:22,560 --> 00:40:27,839
Speaker 17: of areas, whether it's student housing, whether it's actually even

684
00:40:27,960 --> 00:40:33,160
Speaker 17: affordable housing. All kinds of commercial real estate are doing

685
00:40:33,840 --> 00:40:38,640
Speaker 17: very well. And so the broad brush that people paint

686
00:40:38,920 --> 00:40:43,399
Speaker 17: with commercial real estate, which basically because office buildings are

687
00:40:43,480 --> 00:40:47,360
Speaker 17: very tall, you can't see them, and that's sort of

688
00:40:47,360 --> 00:40:51,080
Speaker 17: your vision. So you're going to have a mixed outcome.

689
00:40:51,560 --> 00:40:51,880
Speaker 7: Jamie.

690
00:40:51,960 --> 00:40:54,279
Speaker 2: You ask your employees that are maybe told all your

691
00:40:54,280 --> 00:40:56,520
Speaker 2: employees to come back to work five days a week.

692
00:40:56,640 --> 00:40:57,440
Speaker 7: Are they doing that.

693
00:40:58,080 --> 00:41:01,400
Speaker 10: Sixty percent five days a week or three days a

694
00:41:01,400 --> 00:41:04,000
Speaker 10: week I mean three days a week mandatory. We drack

695
00:41:04,080 --> 00:41:07,200
Speaker 10: it and it includes coming in on Friday. Ten percent

696
00:41:07,239 --> 00:41:09,879
Speaker 10: have always been working from home if it makes sense,

697
00:41:09,880 --> 00:41:11,680
Speaker 10: one hundred percent or MD is required to go to

698
00:41:11,719 --> 00:41:13,920
Speaker 10: work every day. I don't think you can lead people

699
00:41:13,960 --> 00:41:15,560
Speaker 10: and work from home, Okay.

700
00:41:16,320 --> 00:41:19,760
Speaker 2: Neil Shan Neil built the biggest and most successful venture

701
00:41:19,800 --> 00:41:23,440
Speaker 2: capital business in China under the Sequoia China name.

702
00:41:23,560 --> 00:41:24,840
Speaker 7: Now he has his own company.

703
00:41:25,640 --> 00:41:28,480
Speaker 2: So is it easy as it was ten years ago

704
00:41:28,520 --> 00:41:31,839
Speaker 2: to invest in China? And do you think it's going

705
00:41:31,840 --> 00:41:34,719
Speaker 2: to be more complicated for Western investors to invest in

706
00:41:34,800 --> 00:41:36,080
Speaker 2: China in the near future.

707
00:41:36,680 --> 00:41:39,759
Speaker 18: Well, in never being easy investing in China, you.

708
00:41:39,800 --> 00:41:40,560
Speaker 7: Made it look easy.

709
00:41:40,800 --> 00:41:43,879
Speaker 18: You all, you have to work very hot because they're

710
00:41:43,920 --> 00:41:47,520
Speaker 18: choosing there one that you know, there's a lot of competitions.

711
00:41:47,680 --> 00:41:50,279
Speaker 18: If you're looking at the you know, the work ethics, right,

712
00:41:50,480 --> 00:41:53,480
Speaker 18: people talk about nine nine six nine am to nine

713
00:41:53,520 --> 00:41:56,360
Speaker 18: pm and six days a week.

714
00:41:57,160 --> 00:41:57,920
Speaker 19: I think that's.

715
00:41:57,760 --> 00:42:00,920
Speaker 18: Probably to many of those you know, startup companies and

716
00:42:01,200 --> 00:42:02,480
Speaker 18: also too large companies.

717
00:42:02,960 --> 00:42:04,520
Speaker 7: And the competition is fierce.

718
00:42:05,040 --> 00:42:08,520
Speaker 18: So in order for you to creating a strong returns,

719
00:42:08,600 --> 00:42:11,040
Speaker 18: you really have to, uh, you know, find a way

720
00:42:11,080 --> 00:42:13,879
Speaker 18: to position yourself to provide the value, and you need

721
00:42:13,920 --> 00:42:17,520
Speaker 18: to work as hard as your CEOs. The second point

722
00:42:17,600 --> 00:42:19,960
Speaker 18: I want to make is that you need to take

723
00:42:19,960 --> 00:42:24,840
Speaker 18: a long term views. And uh this you know obviously country,

724
00:42:24,880 --> 00:42:28,240
Speaker 18: just like many others, you're seeing the economic and business

725
00:42:28,239 --> 00:42:32,080
Speaker 18: cycles up and downs. And the very important thing is

726
00:42:32,200 --> 00:42:35,000
Speaker 18: to obviously take a long term view.

727
00:42:35,320 --> 00:42:35,480
Speaker 15: Uh.

728
00:42:35,560 --> 00:42:38,160
Speaker 18: You know, Luckily venture capital and growth capital and privately

729
00:42:38,280 --> 00:42:43,080
Speaker 18: which will uh being participating has been a you know,

730
00:42:43,200 --> 00:42:47,640
Speaker 18: long tail asset. But you know, when you make an investment,

731
00:42:47,960 --> 00:42:51,080
Speaker 18: take a long term view, uh from a macro perspective

732
00:42:51,280 --> 00:42:55,719
Speaker 18: as well. On the macro perspective and able to uh

733
00:42:55,800 --> 00:42:59,240
Speaker 18: you know, stick around and even some of those business

734
00:42:59,320 --> 00:43:02,560
Speaker 18: might going upper donce. I think that's probably the most important.

735
00:43:02,800 --> 00:43:05,719
Speaker 2: So let me ask you uh today, Uh, you were

736
00:43:05,800 --> 00:43:09,759
Speaker 2: an early investor in byte Edance, which owns TikTok. Is

737
00:43:09,800 --> 00:43:12,680
Speaker 2: TikTok going to ruin Western society as we know it?

738
00:43:13,360 --> 00:43:15,880
Speaker 2: Many people think that TikTok is going to destroy our

739
00:43:15,920 --> 00:43:18,239
Speaker 2: youth and so forth. Why are you not worried about

740
00:43:18,320 --> 00:43:19,920
Speaker 2: TikTok destroying society?

741
00:43:20,520 --> 00:43:23,200
Speaker 18: Well, clearly there as a lot of uh, I think,

742
00:43:23,280 --> 00:43:27,480
Speaker 18: you know issues, Uh, those companies have to adjuss not

743
00:43:27,560 --> 00:43:29,800
Speaker 18: just uh uh you know TikTok. I think in general,

744
00:43:30,120 --> 00:43:33,200
Speaker 18: when those companies become you know, national champion in China,

745
00:43:33,239 --> 00:43:36,759
Speaker 18: when you go to overseas countries, uh, they need to

746
00:43:36,880 --> 00:43:39,839
Speaker 18: obviously working with the local partners and make sure that

747
00:43:39,880 --> 00:43:44,640
Speaker 18: they are accepted, uh you know locally. H as obviously

748
00:43:44,800 --> 00:43:48,560
Speaker 18: a very very uh good citizen. And it's it's it's

749
00:43:48,600 --> 00:43:51,160
Speaker 18: a you know, processed that I have seen, you know, uh,

750
00:43:51,200 --> 00:43:53,560
Speaker 18: you know, like you mentioned that TikTok has been gone

751
00:43:53,600 --> 00:43:57,160
Speaker 18: through this and and you know and obviously learn how

752
00:43:57,239 --> 00:44:00,560
Speaker 18: to working with the partners in the US and partness

753
00:44:00,719 --> 00:44:03,560
Speaker 18: in Europe and in Middle East for example, and to

754
00:44:03,840 --> 00:44:07,560
Speaker 18: uh to uh to really you know, contribute to the ecosystem,

755
00:44:07,640 --> 00:44:10,839
Speaker 18: not just being you know, one hundred percent Commercially.

756
00:44:10,600 --> 00:44:14,239
Speaker 2: The US China relationship is not in great shape. Some

757
00:44:14,280 --> 00:44:18,200
Speaker 2: people might say, does that affect your ability to operate

758
00:44:18,280 --> 00:44:20,960
Speaker 2: in China? Or it doesn't make much difference.

759
00:44:21,520 --> 00:44:23,439
Speaker 18: You know, Like I said, I think, you know, take

760
00:44:23,440 --> 00:44:26,319
Speaker 18: a long term view and obviously uh and you know,

761
00:44:26,480 --> 00:44:31,040
Speaker 18: focus on the entrepreneurs because at the day, uh, you know,

762
00:44:31,320 --> 00:44:34,840
Speaker 18: entrepreneurs will you know, helping you to create you know,

763
00:44:35,120 --> 00:44:38,279
Speaker 18: h on value and you have to trust them that

764
00:44:38,320 --> 00:44:42,280
Speaker 18: they're able to navigate all the different regulatory h challenges.

765
00:44:43,080 --> 00:44:46,640
Speaker 2: David Solomon is the CEO of Goldman Sachs uh and

766
00:44:46,920 --> 00:44:48,880
Speaker 2: iconic and one of the largest investment banks in the

767
00:44:48,880 --> 00:44:52,200
Speaker 2: world and commercial bank as well. So, David, the M

768
00:44:52,239 --> 00:44:54,200
Speaker 2: and A business has been down a bit the last

769
00:44:54,280 --> 00:44:56,799
Speaker 2: year or so. Is that because of interest rates or

770
00:44:56,840 --> 00:44:58,760
Speaker 2: why do you think that is? And you see the

771
00:44:58,760 --> 00:45:00,640
Speaker 2: the M and A world coming back at some point

772
00:45:00,719 --> 00:45:02,880
Speaker 2: and you headed the investment banking part of Goldman before

773
00:45:02,920 --> 00:45:05,399
Speaker 2: you became CEO, so you know this business pretty well.

774
00:45:06,560 --> 00:45:09,400
Speaker 13: You know, M and A David, is a function of confidence.

775
00:45:09,800 --> 00:45:13,279
Speaker 20: And so if you listen to the dialogue today, I say,

776
00:45:13,320 --> 00:45:16,839
Speaker 20: these great uncertainty and people always try to frame things.

777
00:45:16,960 --> 00:45:19,839
Speaker 20: You ask the question very clearly. You know, you're optimistic

778
00:45:19,880 --> 00:45:23,560
Speaker 20: or you're pessimistic. You know, long term, I'm certainly optimistic,

779
00:45:23,680 --> 00:45:26,480
Speaker 20: but I'm uncertain right now. And if you're a CEO

780
00:45:26,600 --> 00:45:29,919
Speaker 20: and you're uncertain, you tend to be cautious about doing

781
00:45:30,000 --> 00:45:34,080
Speaker 20: significant things that change the trajectory of your business and

782
00:45:34,080 --> 00:45:37,279
Speaker 20: bring outside you know, factors into your business. You know,

783
00:45:37,400 --> 00:45:42,160
Speaker 20: over time, scale matters enormously, and the competitive nature of

784
00:45:42,200 --> 00:45:47,040
Speaker 20: global businesses and so M and A activity can ebb

785
00:45:47,080 --> 00:45:51,400
Speaker 20: and flow. But as people become more certain in the environment,

786
00:45:51,520 --> 00:45:54,600
Speaker 20: they have to move forward and continue consolidation at scale

787
00:45:54,960 --> 00:45:56,239
Speaker 20: to compete effectively.

788
00:45:56,719 --> 00:45:58,160
Speaker 13: You know, we've seen we've seen in.

789
00:45:58,080 --> 00:45:59,840
Speaker 20: The energy space over the course the last couple of

790
00:45:59,840 --> 00:46:03,520
Speaker 20: week a couple very significant deals to create more scale,

791
00:46:03,760 --> 00:46:04,800
Speaker 20: more consolidation.

792
00:46:06,120 --> 00:46:07,080
Speaker 13: I think we had a.

793
00:46:09,239 --> 00:46:13,160
Speaker 20: Level of extreme confidence as we were coming out of

794
00:46:13,200 --> 00:46:14,280
Speaker 20: the pandemic because.

795
00:46:14,080 --> 00:46:16,320
Speaker 13: Of all the fiscal stimulus, because.

796
00:46:16,080 --> 00:46:18,839
Speaker 20: Of how free money was, and so you saw an

797
00:46:18,840 --> 00:46:22,160
Speaker 20: extraordinary boom and M and A activity. Very significant portion

798
00:46:22,200 --> 00:46:25,560
Speaker 20: of it was driven by financial sponsors and private equity capital.

799
00:46:26,000 --> 00:46:28,600
Speaker 20: That's all now we set and so you know, my

800
00:46:28,719 --> 00:46:32,440
Speaker 20: strong view is M and A activity over reasonable periods

801
00:46:32,480 --> 00:46:36,719
Speaker 20: of time decades, grows in parallel with economic growth and

802
00:46:36,840 --> 00:46:39,960
Speaker 20: market cap expansion will continue on that journey and you'll

803
00:46:39,960 --> 00:46:41,880
Speaker 20: see a pickup in strategic M and A.

804
00:46:41,880 --> 00:46:43,920
Speaker 2: A few years ago, maybe ten years ago or so,

805
00:46:44,000 --> 00:46:47,160
Speaker 2: it seemed like hamp the classes at Harvard, Yale, Princeton, Stanford,

806
00:46:47,200 --> 00:46:49,800
Speaker 2: other really good schools wanted to go to Goldman Sachs

807
00:46:49,920 --> 00:46:50,800
Speaker 2: right out of college.

808
00:46:51,120 --> 00:46:52,960
Speaker 7: Is that still the case? People still rushing in.

809
00:46:53,000 --> 00:46:55,600
Speaker 2: How many employees do you have coming in or prospective

810
00:46:55,600 --> 00:46:56,479
Speaker 2: employees every year?

811
00:46:56,680 --> 00:46:58,320
Speaker 7: And can you take all these people?

812
00:46:58,400 --> 00:47:00,239
Speaker 2: Or is it gone down and people now want to

813
00:47:00,280 --> 00:47:02,880
Speaker 2: go into tech startups or public service or something.

814
00:47:02,960 --> 00:47:04,840
Speaker 20: Well, there's a lot of competition for good people in

815
00:47:04,880 --> 00:47:08,160
Speaker 20: the world, you know, Goldman Sachs it feels very good

816
00:47:08,200 --> 00:47:10,440
Speaker 20: about where it sits competitively to attract people.

817
00:47:10,440 --> 00:47:11,160
Speaker 12: We had two.

818
00:47:11,160 --> 00:47:14,320
Speaker 20: Hundred and sixty five thousand applications for twenty six hundred

819
00:47:14,719 --> 00:47:17,120
Speaker 20: analyst jobs out of university, and we had over a

820
00:47:17,120 --> 00:47:20,239
Speaker 20: million people apply for positions at Goldman Sachs last year.

821
00:47:20,560 --> 00:47:22,959
Speaker 20: We have forty five thousand employees at gold and Sex.

822
00:47:23,040 --> 00:47:26,919
Speaker 20: So it's certainly a very interesting, compelling place for people

823
00:47:26,960 --> 00:47:31,680
Speaker 20: to come, learn, meet other people, grow, gain experience. A

824
00:47:31,680 --> 00:47:33,920
Speaker 20: small portion of them stay and build their careers in

825
00:47:33,960 --> 00:47:36,360
Speaker 20: our organization. That's the way it's always been. Most of

826
00:47:36,400 --> 00:47:38,600
Speaker 20: them go out into the world and you know, wind

827
00:47:38,680 --> 00:47:41,160
Speaker 20: up at events like this or running businesses doing all

828
00:47:41,160 --> 00:47:44,160
Speaker 20: sorts of interesting things. So we have a compelling I

829
00:47:44,160 --> 00:47:48,200
Speaker 20: think human capital ecosystem. I think all businesses like ours,

830
00:47:48,239 --> 00:47:52,080
Speaker 20: all professional services businesses, have to have a very compelling

831
00:47:52,440 --> 00:47:54,320
Speaker 20: competitive ecosystem for talent.

832
00:47:54,680 --> 00:47:57,720
Speaker 13: Talent is so important in all the businesses around the table.

833
00:47:58,000 --> 00:48:00,600
Speaker 20: If you don't find your own way of having that

834
00:48:00,640 --> 00:48:04,239
Speaker 20: compel an ecosystem, if you don't give people good experience,

835
00:48:04,560 --> 00:48:09,799
Speaker 20: good education, good mentorship, good economic opportunity, an ability to

836
00:48:10,000 --> 00:48:12,800
Speaker 20: meet and network with people that they want to be around,

837
00:48:13,120 --> 00:48:15,160
Speaker 20: it makes it much more challenging over time to run

838
00:48:15,200 --> 00:48:15,960
Speaker 20: a good business.

839
00:48:16,160 --> 00:48:17,920
Speaker 7: Okay, and let me ask you another question.

840
00:48:18,000 --> 00:48:20,200
Speaker 2: You asked your employees to come back, or maybe told

841
00:48:20,200 --> 00:48:22,759
Speaker 2: your employees to come back. Are they coming back and

842
00:48:22,800 --> 00:48:24,840
Speaker 2: they're actually physically in the office now.

843
00:48:24,760 --> 00:48:29,040
Speaker 20: We are Our business is buy and large operating the

844
00:48:29,120 --> 00:48:31,439
Speaker 20: same way now on a global basis, the same way

845
00:48:31,440 --> 00:48:34,080
Speaker 20: now as it did before the pandemic. I would say

846
00:48:34,080 --> 00:48:37,280
Speaker 20: in the United States on Fridays, there's a slight difference

847
00:48:37,360 --> 00:48:40,320
Speaker 20: versus what there was before the pandemic, but we're pretty close.

848
00:48:40,400 --> 00:48:44,280
Speaker 20: And i'd also amplify that we run a big global business.

849
00:48:44,320 --> 00:48:45,840
Speaker 13: We operate in fifty countries.

850
00:48:46,320 --> 00:48:48,279
Speaker 20: You know, outside of the United States, there's a lot

851
00:48:48,360 --> 00:48:51,319
Speaker 20: less discussion about this issue than there is inside the

852
00:48:51,400 --> 00:48:54,360
Speaker 20: United States. But for our organization, we have encouraged and

853
00:48:54,480 --> 00:48:57,000
Speaker 20: I think people have realized they want to be together.

854
00:48:57,120 --> 00:48:59,720
Speaker 20: Fifty percent of the people who work at Golden Sacks

855
00:49:00,080 --> 00:49:02,640
Speaker 20: in their twenties. When you're in your twenties, you want

856
00:49:02,640 --> 00:49:06,959
Speaker 20: to be with other people, learning, growing, experiencing. So we've

857
00:49:06,960 --> 00:49:09,560
Speaker 20: managed to get our organization, we think, to a very

858
00:49:09,560 --> 00:49:10,040
Speaker 20: good place.

859
00:49:10,160 --> 00:49:13,960
Speaker 2: Okay, Shamara, I guess you're used to being last, because

860
00:49:14,160 --> 00:49:15,920
Speaker 2: w is probably at.

861
00:49:15,880 --> 00:49:17,640
Speaker 19: The end of the alphabet, years at the back end

862
00:49:17,680 --> 00:49:18,280
Speaker 19: of the alphabet.

863
00:49:18,480 --> 00:49:20,359
Speaker 2: Probably not the first time that you've been the last,

864
00:49:20,440 --> 00:49:24,120
Speaker 2: but you're obviously very successful in the business world. For

865
00:49:24,160 --> 00:49:27,640
Speaker 2: those who don't know, she's the CEO of Macquarie, which

866
00:49:27,719 --> 00:49:30,160
Speaker 2: is a very large Australian based bank and probably the

867
00:49:30,239 --> 00:49:35,200
Speaker 2: leader in investing in infrastructure related kinds of projects. So,

868
00:49:35,960 --> 00:49:40,600
Speaker 2: is infrastructure investing now being affected by artificial intelligence by ESG?

869
00:49:41,080 --> 00:49:42,880
Speaker 2: And are you as active in that area as you

870
00:49:42,960 --> 00:49:45,080
Speaker 2: were before and as it is a profitable as it

871
00:49:45,239 --> 00:49:45,640
Speaker 2: was before.

872
00:49:46,200 --> 00:49:46,399
Speaker 17: Yeah.

873
00:49:46,480 --> 00:49:50,280
Speaker 19: Well, I mean, if I could just start by saying infrastructure.

874
00:49:49,600 --> 00:49:52,440
Speaker 21: Investment, we've been investing now for thirty years trying to

875
00:49:52,520 --> 00:49:55,560
Speaker 21: develop this as a separate asset class, and we still

876
00:49:55,640 --> 00:49:58,440
Speaker 21: see it as being in its first innings because to

877
00:49:58,560 --> 00:50:02,200
Speaker 21: the point Steve was making about representation in people's portfolios,

878
00:50:02,239 --> 00:50:04,480
Speaker 21: out of the more than one hundred trill of managed

879
00:50:04,520 --> 00:50:06,880
Speaker 21: assets in the world, it's grown to being only one

880
00:50:06,920 --> 00:50:10,719
Speaker 21: point two percent at this point. And while there is

881
00:50:10,880 --> 00:50:13,520
Speaker 21: scope for other ACID classes to go, we think there's

882
00:50:13,600 --> 00:50:16,279
Speaker 21: reasons this one should. So we view the whole world

883
00:50:16,320 --> 00:50:19,759
Speaker 21: as an emerging market for infrastructure investing. And we think

884
00:50:19,880 --> 00:50:22,600
Speaker 21: that's both from the point of view of the savers

885
00:50:22,719 --> 00:50:26,279
Speaker 21: whose money gets allocated through their portfolios, that it has

886
00:50:26,320 --> 00:50:29,520
Speaker 21: a good liability match to those sort of savings, It

887
00:50:29,600 --> 00:50:33,240
Speaker 21: gives good diversification in terms of correlation to hedge funds,

888
00:50:33,280 --> 00:50:38,640
Speaker 21: public investments, other alternatives, and also in times of rising rates,

889
00:50:38,840 --> 00:50:42,360
Speaker 21: it gives some resilience because the revenue line is impacted

890
00:50:42,440 --> 00:50:45,440
Speaker 21: by that. So we think in investors' world there's scope

891
00:50:45,560 --> 00:50:48,239
Speaker 21: more to be allocated. But we also think much more

892
00:50:48,280 --> 00:50:52,480
Speaker 21: important in the communities where we invest infrastructure, investment does

893
00:50:52,640 --> 00:50:56,480
Speaker 21: drive improve living standards and prosperity, and hopefully we'll go

894
00:50:56,760 --> 00:50:59,480
Speaker 21: some way then to reducing the instability in the world,

895
00:51:00,120 --> 00:51:03,360
Speaker 21: talking about dealing with poverty as well as livable planet.

896
00:51:03,960 --> 00:51:06,560
Speaker 21: And so that's why we are passionate about trying to

897
00:51:06,680 --> 00:51:09,640
Speaker 21: drive more investment in this area. And in terms of

898
00:51:10,200 --> 00:51:15,120
Speaker 21: recent developments, our population has gone from about one point

899
00:51:15,160 --> 00:51:17,680
Speaker 21: eight billion where it was for two hundred thousand years,

900
00:51:17,840 --> 00:51:20,440
Speaker 21: just in the last year has rocketed to eight billion

901
00:51:20,560 --> 00:51:23,640
Speaker 21: people on this planet and going to ten and that's

902
00:51:23,800 --> 00:51:26,600
Speaker 21: driving the need for way way more investment in this class.

903
00:51:26,640 --> 00:51:29,360
Speaker 21: You talked about AI and e SG, but if I

904
00:51:29,440 --> 00:51:33,279
Speaker 21: could talk about four buckets of where we invest as examples,

905
00:51:34,120 --> 00:51:36,880
Speaker 21: energy and utilities is a very basic one and I

906
00:51:37,000 --> 00:51:40,400
Speaker 21: know this work done by the Rockefeller Foundation saying access

907
00:51:40,440 --> 00:51:43,880
Speaker 21: to reliable energy is the biggest driver of improving limping

908
00:51:44,040 --> 00:51:49,239
Speaker 21: standards in the world, and today Well Bank data says

909
00:51:49,320 --> 00:51:52,320
Speaker 21: that one point one billion people don't have access to

910
00:51:52,560 --> 00:51:55,880
Speaker 21: energy and more worryingly, half of those don't have access

911
00:51:55,920 --> 00:52:00,320
Speaker 21: to clean water. So huge investment needed in utility, in

912
00:52:00,400 --> 00:52:04,280
Speaker 21: infrastructure around the world to lift people's living standards. Also,

913
00:52:04,560 --> 00:52:08,280
Speaker 21: if I could talk about transportation infrastructure, another really basic

914
00:52:08,400 --> 00:52:10,000
Speaker 21: area where communities.

915
00:52:09,480 --> 00:52:10,360
Speaker 19: Need this investment.

916
00:52:11,120 --> 00:52:13,719
Speaker 21: It gives people access to higher paying jobs if they

917
00:52:13,760 --> 00:52:17,880
Speaker 21: can travel, it drives more connectivity. And also even in

918
00:52:17,960 --> 00:52:20,800
Speaker 21: the developed world, you know, as the populations get bigger,

919
00:52:20,920 --> 00:52:24,600
Speaker 21: we need to trade more and specialize seaborn trade needs

920
00:52:24,640 --> 00:52:26,560
Speaker 21: to pick up, so we need a lot more investment

921
00:52:26,640 --> 00:52:30,480
Speaker 21: in the development developing wood and digital infrastructure, in transport infrastructure.

922
00:52:30,719 --> 00:52:33,160
Speaker 21: And then I was just moving to digital where not

923
00:52:33,360 --> 00:52:37,279
Speaker 21: just AI. It's the latest manifested station in what human

924
00:52:37,360 --> 00:52:40,480
Speaker 21: beings have amazingly in my thirty year working life done

925
00:52:40,520 --> 00:52:41,359
Speaker 21: with technology.

926
00:52:42,000 --> 00:52:43,320
Speaker 19: It just blows my mind.

927
00:52:43,600 --> 00:52:49,640
Speaker 21: And we now have much more ability to deliver remote

928
00:52:49,680 --> 00:52:56,440
Speaker 21: areas education, healthcare digitally so fiber optic networks, towers, data

929
00:52:56,560 --> 00:53:00,840
Speaker 21: centers that his excellency was talking about all need investment.

930
00:53:00,880 --> 00:53:03,680
Speaker 21: And the last one when you talked about esg's climate

931
00:53:03,800 --> 00:53:07,120
Speaker 21: change response and you were going to ask me questions

932
00:53:07,200 --> 00:53:08,040
Speaker 21: of stop there.

933
00:53:08,160 --> 00:53:10,120
Speaker 2: Well, I'm going to ask you for most people here

934
00:53:10,200 --> 00:53:12,759
Speaker 2: who haven't been to Australia. Why should somebody want to

935
00:53:13,120 --> 00:53:15,200
Speaker 2: invest in Australia. Is it a good place in which

936
00:53:15,280 --> 00:53:18,960
Speaker 2: to invest generally? What is the advantage of investing there?

937
00:53:19,320 --> 00:53:23,719
Speaker 2: And related to that, the Australia China relationship has been

938
00:53:23,760 --> 00:53:26,560
Speaker 2: complicated lately. Has that affected your bank in any way?

939
00:53:27,560 --> 00:53:27,759
Speaker 7: Yeah?

940
00:53:27,960 --> 00:53:30,360
Speaker 21: Well, first of all, in terms of investment in Australia,

941
00:53:30,400 --> 00:53:33,640
Speaker 21: we actually have really good foreign direct investment and I

942
00:53:33,760 --> 00:53:36,320
Speaker 21: was going to say in infrastructure, just to finish on that.

943
00:53:36,520 --> 00:53:38,919
Speaker 21: RJ was saying, there's a lot of private capital wanting

944
00:53:38,960 --> 00:53:41,759
Speaker 21: to invest. The big challenge is investable opportunities and de

945
00:53:41,960 --> 00:53:45,239
Speaker 21: risking them. And the reason Australia does attract a lot

946
00:53:45,280 --> 00:53:48,520
Speaker 21: of investment is because there is a reliable climate there

947
00:53:48,640 --> 00:53:53,040
Speaker 21: to invest, so huge energy companies, transport companies coming to invest,

948
00:53:53,120 --> 00:53:56,040
Speaker 21: and similar to what's happening here in the Kingdom, setting

949
00:53:56,080 --> 00:54:00,000
Speaker 21: a glide path for private capital, setting up regulatory framework,

950
00:54:00,280 --> 00:54:04,400
Speaker 21: et cetera. But more importantly, the deep expertise of the

951
00:54:04,520 --> 00:54:06,319
Speaker 21: private sector to de risk.

952
00:54:06,680 --> 00:54:09,760
Speaker 19: So Australia is attracting a lot of investment.

953
00:54:10,000 --> 00:54:12,320
Speaker 21: Australia, like a lot of countries, now sits in the

954
00:54:12,440 --> 00:54:17,680
Speaker 21: situation where the geopoalytical tensional is increasing between China and

955
00:54:17,719 --> 00:54:20,760
Speaker 21: the US, and I guess you know, I've heard African

956
00:54:20,880 --> 00:54:23,680
Speaker 21: leaders say this, they want to deal with everyone in

957
00:54:23,800 --> 00:54:26,560
Speaker 21: the world, and we had people talking to the importance

958
00:54:26,640 --> 00:54:28,879
Speaker 21: of peace and harmony in the world. Ideally we want

959
00:54:28,880 --> 00:54:32,360
Speaker 21: to engage with everyone. Australia has a very strong alliance

960
00:54:32,440 --> 00:54:35,920
Speaker 21: with the US, but also with China. We're really working

961
00:54:35,960 --> 00:54:38,360
Speaker 21: hard to improve relationships as a country.

962
00:54:39,239 --> 00:54:42,359
Speaker 19: So for Macquarie as a bank, our business is very.

963
00:54:42,320 --> 00:54:45,279
Speaker 21: Domestically Australian in what we do in banking, but in

964
00:54:45,440 --> 00:54:49,520
Speaker 21: terms of infrastructure investment, all of these regions are important

965
00:54:49,560 --> 00:54:51,960
Speaker 21: and attractive to us. So yes, we want to invest

966
00:54:52,080 --> 00:54:55,319
Speaker 21: in the developed world, but China we do a lot

967
00:54:55,400 --> 00:54:57,200
Speaker 21: in data centers, in renewable energy.

968
00:54:57,800 --> 00:54:59,319
Speaker 7: Did Macquarie have a lot of women?

969
00:54:59,440 --> 00:55:03,839
Speaker 21: Sheos before you, but we had six people and they

970
00:55:03,880 --> 00:55:07,319
Speaker 21: were all male. So so far, I like Jane, I'm

971
00:55:07,480 --> 00:55:08,240
Speaker 21: batting first.

972
00:55:08,920 --> 00:55:12,840
Speaker 2: So yeah, sure, you are involved with the building of

973
00:55:12,960 --> 00:55:16,319
Speaker 2: a major city in Saudi Arabia. NEO, which I guess

974
00:55:16,480 --> 00:55:19,279
Speaker 2: is going to have going to be really the wave

975
00:55:19,360 --> 00:55:21,239
Speaker 2: of the future, not going to have carbon. I guess

976
00:55:21,360 --> 00:55:24,719
Speaker 2: it's going to be all electric in many ways, what's

977
00:55:24,760 --> 00:55:27,160
Speaker 2: the progress of that and is it costing more than

978
00:55:27,200 --> 00:55:30,080
Speaker 2: you thought? And why should somebody want to invest in

979
00:55:30,200 --> 00:55:33,080
Speaker 2: that project if they were having some spare capital to

980
00:55:33,160 --> 00:55:34,320
Speaker 2: invest in Saudi Arabia.

981
00:55:37,280 --> 00:55:39,880
Speaker 4: So it took us a few years in doing the

982
00:55:39,960 --> 00:55:43,560
Speaker 4: planning because this is a really long term project.

983
00:55:45,320 --> 00:55:46,440
Speaker 5: We have it in phases.

984
00:55:47,280 --> 00:55:50,680
Speaker 4: The first phase should be between twenty twenty seven and twenty.

985
00:55:50,440 --> 00:55:51,840
Speaker 5: Eight and hopefully we will.

986
00:55:53,400 --> 00:55:57,960
Speaker 4: Get at least three hundred thousand people residing over there,

987
00:55:59,600 --> 00:56:04,160
Speaker 4: and then the other phases will be in the twenty

988
00:56:04,360 --> 00:56:08,960
Speaker 4: thirty and mid thirties and then twenty twenty forty five.

989
00:56:10,520 --> 00:56:14,560
Speaker 4: The aspirations and ambitions that we have is to have

990
00:56:15,920 --> 00:56:20,520
Speaker 4: somewhere between seventy million people reside in there. This is

991
00:56:20,719 --> 00:56:26,120
Speaker 4: a huge line about one hundred seventy four kilometers. As

992
00:56:26,200 --> 00:56:31,479
Speaker 4: you said, it's the carbon footprint there should be zero.

993
00:56:32,400 --> 00:56:34,960
Speaker 4: And we're not talking about NED zero, no, it is zero.

994
00:56:35,200 --> 00:56:39,600
Speaker 4: Everything that we're using over there is based on renewable energy.

995
00:56:40,560 --> 00:56:44,120
Speaker 4: All the infrastructure is going to be underground, trains and

996
00:56:44,280 --> 00:56:45,120
Speaker 4: other vehicles.

997
00:56:45,840 --> 00:56:49,680
Speaker 5: The challenge that we have is how to.

998
00:56:51,400 --> 00:56:57,200
Speaker 4: Use the mobility vertically and horizontally with the least amount

999
00:56:57,280 --> 00:57:02,719
Speaker 4: of time to go from point A two point b.

1000
00:57:03,840 --> 00:57:07,160
Speaker 5: So we started. I mean, now, even if you fly

1001
00:57:07,400 --> 00:57:09,040
Speaker 5: over NEO.

1002
00:57:09,239 --> 00:57:12,520
Speaker 4: You can see the line at the infrastructure, So we

1003
00:57:12,640 --> 00:57:19,400
Speaker 4: started with the infrastructure there and it is closely monitored

1004
00:57:19,640 --> 00:57:23,400
Speaker 4: by the chairman of our board and the chairman of NIOM,

1005
00:57:23,400 --> 00:57:24,400
Speaker 4: who's the Crown Prinds.

1006
00:57:25,280 --> 00:57:27,440
Speaker 5: He has almost.

1007
00:57:29,000 --> 00:57:32,800
Speaker 4: Monthly or bi weekly board meetings just to follow up

1008
00:57:32,880 --> 00:57:34,160
Speaker 4: on what we're doing.

1009
00:57:34,560 --> 00:57:36,160
Speaker 5: But NEOM is bigger than the line.

1010
00:57:36,600 --> 00:57:43,760
Speaker 4: NEOM has sixteen different sectors and has seven main regional projects.

1011
00:57:44,480 --> 00:57:50,000
Speaker 4: One of them is Oxagon, which is the first industrial

1012
00:57:50,120 --> 00:57:54,440
Speaker 4: city in the world that is based all and renewable.

1013
00:57:54,720 --> 00:57:58,160
Speaker 7: So you've I'm sorry, I've been involved a fair bit.

1014
00:57:58,240 --> 00:58:00,240
Speaker 2: I think it's fair to say in the golf world,

1015
00:58:00,440 --> 00:58:04,200
Speaker 2: golf by hanging out with a lot of famous golfers

1016
00:58:04,240 --> 00:58:07,360
Speaker 2: have your has your own golf game improved, your handicapped

1017
00:58:07,400 --> 00:58:08,000
Speaker 2: going down, or.

1018
00:58:08,600 --> 00:58:12,080
Speaker 22: It's getting more to spy the day you get all

1019
00:58:12,200 --> 00:58:15,320
Speaker 22: kind of from them, you can hasn't gotten better? All right,

1020
00:58:15,920 --> 00:58:19,160
Speaker 22: So we haven't talked about some ongoing wars that are

1021
00:58:19,360 --> 00:58:23,280
Speaker 22: now unfortunately in facing the world. Does anybody want to

1022
00:58:23,320 --> 00:58:25,680
Speaker 22: comment on whether this is going to affect the global

1023
00:58:25,760 --> 00:58:30,080
Speaker 22: economy or your investment outlook for the world. Larry or

1024
00:58:30,600 --> 00:58:33,320
Speaker 22: or Jamie or Steve and anybody want to talk ray

1025
00:58:33,440 --> 00:58:37,240
Speaker 22: anybody whether what would we see now in Gaza, what

1026
00:58:37,360 --> 00:58:40,280
Speaker 22: we see in Ukraine is that affecting your outlook on

1027
00:58:40,320 --> 00:58:43,160
Speaker 22: the global economy and and your willing willingness to invest

1028
00:58:43,200 --> 00:58:44,040
Speaker 22: in certain areas.

1029
00:58:44,880 --> 00:58:47,160
Speaker 11: Larry, I would I would start off saying, we don't

1030
00:58:47,160 --> 00:58:53,080
Speaker 11: know the duration of the conflicts. Obviously, I'm in most

1031
00:58:53,160 --> 00:58:56,720
Speaker 11: of my travels the last three two weeks, the word

1032
00:58:56,880 --> 00:58:58,040
Speaker 11: Ukraine was never uttered.

1033
00:58:59,360 --> 00:59:01,120
Speaker 12: Obviously that you need to talk about that.

1034
00:59:03,320 --> 00:59:07,960
Speaker 11: Obviously, the situation in Gaza and Israel, we're watching it,

1035
00:59:08,120 --> 00:59:10,600
Speaker 11: We're reading about it immediately today.

1036
00:59:10,840 --> 00:59:13,240
Speaker 12: Every day I wake up to read what's going on

1037
00:59:13,440 --> 00:59:14,560
Speaker 12: and talk to my team.

1038
00:59:16,080 --> 00:59:22,720
Speaker 11: There's no question if these things are not resolved, it

1039
00:59:22,840 --> 00:59:29,439
Speaker 11: probably means more global terrorism, which means more insecurity, which

1040
00:59:29,640 --> 00:59:34,480
Speaker 11: means more society is going to be fearful, less hope.

1041
00:59:35,240 --> 00:59:36,680
Speaker 7: And when there's less hope.

1042
00:59:37,560 --> 00:59:40,520
Speaker 11: We see contractions in our economies. And so I think

1043
00:59:41,640 --> 00:59:47,200
Speaker 11: there's consequences to war and to fear and instability, and

1044
00:59:47,280 --> 00:59:49,560
Speaker 11: I think it will lead to less hope and a

1045
00:59:49,640 --> 00:59:52,080
Speaker 11: lot more fear, and it will then lead to a

1046
00:59:52,160 --> 00:59:55,360
Speaker 11: much greater contraction if we don't navigate this as a world.

1047
00:59:55,720 --> 00:59:58,080
Speaker 11: And that's why I think we all have that responsibility

1048
00:59:58,160 --> 00:59:59,320
Speaker 11: to talk about it and to.

1049
00:59:59,360 --> 00:59:59,960
Speaker 12: Try to do something.

1050
01:00:00,680 --> 01:00:02,760
Speaker 7: Jane or Jamie or Steve. Steve.

1051
01:00:04,040 --> 01:00:09,880
Speaker 17: After the seventy three war, we had a recession. So

1052
01:00:11,800 --> 01:00:17,600
Speaker 17: you know, history doesn't always repeat exactly the way you

1053
01:00:17,680 --> 01:00:25,000
Speaker 17: know you'd think, but it doesn't help global economy. One

1054
01:00:25,040 --> 01:00:28,520
Speaker 17: thing I wanted to add to sort of slightly off

1055
01:00:28,720 --> 01:00:33,200
Speaker 17: point about inflation, because that's been a big topic and overlay.

1056
01:00:34,960 --> 01:00:37,800
Speaker 17: You know, we have about two hundred and fifty companies

1057
01:00:37,960 --> 01:00:41,560
Speaker 17: that we own with seven hundred and fifty thousand people,

1058
01:00:43,040 --> 01:00:50,160
Speaker 17: and we're seeing a different picture than is reflected here.

1059
01:00:52,960 --> 01:00:58,520
Speaker 17: The input costs in our company companies, you know, that's

1060
01:00:58,560 --> 01:01:03,520
Speaker 17: what it costs to make stuff in the third quarter

1061
01:01:05,120 --> 01:01:15,880
Speaker 17: were zero increase, and that runs counter to this hot inflation.

1062
01:01:17,280 --> 01:01:23,560
Speaker 17: And we're seeing with the FED our revenue growth has

1063
01:01:23,640 --> 01:01:29,800
Speaker 17: gone from thirteen percent in the first in the second

1064
01:01:29,880 --> 01:01:34,560
Speaker 17: quarter to eight percent growth, still growing, but that's a

1065
01:01:34,640 --> 01:01:40,280
Speaker 17: pretty big decline in a quarter. But the profits are

1066
01:01:40,360 --> 01:01:44,280
Speaker 17: of sixteen percent. So the only way you get that

1067
01:01:45,640 --> 01:01:49,800
Speaker 17: with decreasing rates of sales is it's not costing you

1068
01:01:49,960 --> 01:01:52,680
Speaker 17: as much to manufacture things.

1069
01:01:54,280 --> 01:01:55,960
Speaker 7: So that tells me.

1070
01:01:56,320 --> 01:02:00,480
Speaker 17: Also a year ago we were companies were growing people

1071
01:02:00,640 --> 01:02:06,800
Speaker 17: ten percent. Now they're growing people zero So it says

1072
01:02:06,960 --> 01:02:12,840
Speaker 17: to me that the FED is actually having pretty good

1073
01:02:13,000 --> 01:02:18,400
Speaker 17: impact in terms of taking inflation out of the system.

1074
01:02:19,840 --> 01:02:24,640
Speaker 17: And a third, roughly of the CPI is in shelter.

1075
01:02:26,160 --> 01:02:30,520
Speaker 17: A year ago that was running twelve thirteen percent. Now

1076
01:02:30,600 --> 01:02:34,760
Speaker 17: it's roughly around one percent. But the Fed doesn't measure

1077
01:02:34,760 --> 01:02:38,280
Speaker 17: it that way. They average the high numbers with where

1078
01:02:38,320 --> 01:02:43,560
Speaker 17: you are now. So if you put that together, at

1079
01:02:43,680 --> 01:02:48,680
Speaker 17: least the way we see it, you're really having much

1080
01:02:48,840 --> 01:02:55,240
Speaker 17: lower inflation than some of the numbers that are being reported.

1081
01:02:56,160 --> 01:02:58,440
Speaker 2: So anything anybody else want to comment on? The war

1082
01:02:58,560 --> 01:03:02,800
Speaker 2: is ongoing with an impact assessment. If not, let me

1083
01:03:02,880 --> 01:03:05,000
Speaker 2: go away, have about seven minutes left. Let me just

1084
01:03:05,120 --> 01:03:08,080
Speaker 2: go around everybody, if you could just say what makes

1085
01:03:08,120 --> 01:03:10,800
Speaker 2: you optimistic about the future? In one or two words,

1086
01:03:10,880 --> 01:03:13,320
Speaker 2: is there anything that makes you optimistic about the future?

1087
01:03:13,840 --> 01:03:14,720
Speaker 7: Why don't we start here?

1088
01:03:16,480 --> 01:03:20,800
Speaker 4: I mean again, I would give the same answer that

1089
01:03:20,840 --> 01:03:26,560
Speaker 4: I gave a last year. We have a plan, we

1090
01:03:26,720 --> 01:03:35,280
Speaker 4: have objectives, and we have like political will right proposition

1091
01:03:35,720 --> 01:03:37,160
Speaker 4: and right people to execute.

1092
01:03:37,280 --> 01:03:42,800
Speaker 5: So I'm very much optimistic in the future. And I

1093
01:03:42,960 --> 01:03:46,600
Speaker 5: discuss this before with Ray.

1094
01:03:48,040 --> 01:03:52,400
Speaker 4: He had some pessimistic views and me and some others

1095
01:03:52,520 --> 01:03:58,800
Speaker 4: we had some positive of optimistic views, and we discuss

1096
01:03:59,000 --> 01:04:03,520
Speaker 4: why we have at different views because we're both very

1097
01:04:04,160 --> 01:04:10,000
Speaker 4: informed and educated about certain numbers and stats and economic events.

1098
01:04:11,160 --> 01:04:14,800
Speaker 4: I think the reason why you will be a pessimist

1099
01:04:15,000 --> 01:04:21,240
Speaker 4: or optimists is if you are passive investor or an

1100
01:04:21,320 --> 01:04:23,080
Speaker 4: active investor, and the difference.

1101
01:04:23,000 --> 01:04:23,680
Speaker 5: Between the two.

1102
01:04:24,080 --> 01:04:27,960
Speaker 4: If you're going to the financial markets only, that's a

1103
01:04:28,040 --> 01:04:32,000
Speaker 4: passive investment because you really cannot change what you're investing in.

1104
01:04:32,480 --> 01:04:34,120
Speaker 5: What if you're going into.

1105
01:04:35,920 --> 01:04:41,800
Speaker 4: Establishing things greenfield projects, building data centers, building cities, built

1106
01:04:41,840 --> 01:04:45,040
Speaker 4: in things of that nature, you are an active investor

1107
01:04:45,200 --> 01:04:49,640
Speaker 4: and you can work, especially for me personally as the

1108
01:04:49,760 --> 01:04:53,920
Speaker 4: governor of Bia, working with the government, investing the money

1109
01:04:54,160 --> 01:04:57,960
Speaker 4: of the government of the country, we can built the

1110
01:04:58,080 --> 01:05:00,680
Speaker 4: whole ecosystem to work in our advantage.

1111
01:05:01,200 --> 01:05:04,520
Speaker 7: So I am not there like Cell Tennis Larry optimistic.

1112
01:05:04,640 --> 01:05:05,640
Speaker 7: What makes you optimistic?

1113
01:05:07,080 --> 01:05:11,640
Speaker 11: I think as a species we solve problems. So I

1114
01:05:11,760 --> 01:05:16,320
Speaker 11: think over all along history of humanity we solve problems.

1115
01:05:16,760 --> 01:05:18,360
Speaker 11: We may have a lot of short term prosits.

1116
01:05:18,480 --> 01:05:19,400
Speaker 7: We may have issues, but.

1117
01:05:21,240 --> 01:05:24,280
Speaker 12: I would continue to be heavily long term invested over

1118
01:05:24,280 --> 01:05:24,960
Speaker 12: a long cycle.

1119
01:05:25,200 --> 01:05:28,720
Speaker 14: Okay, Shane, the average work at today spends eighty percent

1120
01:05:28,800 --> 01:05:32,640
Speaker 14: of their time processing and twenty percent on content. AI

1121
01:05:32,760 --> 01:05:36,000
Speaker 14: will turn that on its head. Eighty twenty will go

1122
01:05:36,080 --> 01:05:39,040
Speaker 14: the other way. That is a great enrichment of human lives.

1123
01:05:39,640 --> 01:05:41,280
Speaker 7: Hey, Jamie, what makes you optimistic?

1124
01:05:41,440 --> 01:05:44,440
Speaker 10: I think we've already mentioned the enormous virus Shorty Arabia's made.

1125
01:05:44,480 --> 01:05:46,120
Speaker 10: But if you go around the world, that was true

1126
01:05:46,160 --> 01:05:50,320
Speaker 10: for Ireland years ago, South Korea, several of the countries,

1127
01:05:50,320 --> 01:05:51,200
Speaker 10: and cous's.

1128
01:05:50,880 --> 01:05:51,600
Speaker 3: Gone the wrong way.

1129
01:05:51,960 --> 01:05:55,360
Speaker 10: So technology, I think the R and D, the brain

1130
01:05:55,480 --> 01:05:59,040
Speaker 10: power of both investors is extraordinary.

1131
01:06:00,320 --> 01:06:01,080
Speaker 5: It's not a given.

1132
01:06:01,840 --> 01:06:03,160
Speaker 3: I think that this is a very.

1133
01:06:03,120 --> 01:06:06,240
Speaker 10: Complex world is getting more complex, and it's quite dangerous.

1134
01:06:06,840 --> 01:06:10,680
Speaker 17: Steve David, I look at, you know, sort of the

1135
01:06:10,800 --> 01:06:15,240
Speaker 17: future bed with all the factors from this amazing panel. Frankly,

1136
01:06:15,320 --> 01:06:18,479
Speaker 17: it's just the privilege to be here. But I also

1137
01:06:18,560 --> 01:06:20,880
Speaker 17: look at it from a cyclical point of view. I've

1138
01:06:20,920 --> 01:06:25,760
Speaker 17: been through six of these cycles in my career, and

1139
01:06:26,120 --> 01:06:29,600
Speaker 17: now we're coming off the top and we're starting to

1140
01:06:29,720 --> 01:06:33,280
Speaker 17: go down, so that would say to me that the

1141
01:06:33,480 --> 01:06:37,280
Speaker 17: next year perhaps is not so wonderful, but then you'll

1142
01:06:37,400 --> 01:06:40,400
Speaker 17: hit your bottom and then you know, we'll go up again.

1143
01:06:41,080 --> 01:06:46,160
Speaker 17: And given all the positive things people talking about, the

1144
01:06:46,320 --> 01:06:50,280
Speaker 17: trend is up. But we're living in a post pandemic

1145
01:06:50,400 --> 01:06:55,800
Speaker 17: world and that's what's driven the spending after, you know,

1146
01:06:56,000 --> 01:06:59,600
Speaker 17: sort of the pandemic which led to the inflation, which

1147
01:06:59,680 --> 01:07:03,120
Speaker 17: led leads to the higher rates, which then LEDs to

1148
01:07:03,200 --> 01:07:06,360
Speaker 17: the central banks sort of trying to kill that, and

1149
01:07:06,680 --> 01:07:08,960
Speaker 17: then we'll go up again after that.

1150
01:07:09,440 --> 01:07:11,600
Speaker 7: Okay, the trace. What makes you optimistic?

1151
01:07:11,760 --> 01:07:14,280
Speaker 15: I mean, this world has a lot of exceptional people,

1152
01:07:14,800 --> 01:07:17,640
Speaker 15: and mean people are on this table and various others

1153
01:07:17,760 --> 01:07:21,640
Speaker 15: truly committed, passionate to make the world a better place.

1154
01:07:21,800 --> 01:07:25,480
Speaker 15: The youth in the developing world throughout the world, and

1155
01:07:25,560 --> 01:07:31,520
Speaker 15: also human creativity technology and Yaser Saudi is doing exceptional

1156
01:07:31,600 --> 01:07:35,200
Speaker 15: work not just in Saudi but in the developing world

1157
01:07:35,240 --> 01:07:38,280
Speaker 15: and in Africa, and lots of good people committed to

1158
01:07:38,400 --> 01:07:39,360
Speaker 15: a better world tomorrow.

1159
01:07:39,400 --> 01:07:40,440
Speaker 7: What makes you op themestic?

1160
01:07:40,560 --> 01:07:42,280
Speaker 19: I'm the same as Larry and Patrice.

1161
01:07:42,360 --> 01:07:45,760
Speaker 21: I really believe in humanity and our ability to extend

1162
01:07:45,800 --> 01:07:49,400
Speaker 21: our lifespans, the quality of our lives. We solved COVID

1163
01:07:49,440 --> 01:07:53,360
Speaker 21: and we've come out with incredible technology now for virtual communications.

1164
01:07:53,440 --> 01:07:55,480
Speaker 21: So I think we just have to put our heads down,

1165
01:07:55,600 --> 01:07:57,600
Speaker 21: the privileged people in this room and get on with

1166
01:07:57,840 --> 01:07:58,880
Speaker 21: delivering the solutions.

1167
01:07:58,960 --> 01:07:59,840
Speaker 7: Yeah, what makes you apter?

1168
01:08:00,120 --> 01:08:07,439
Speaker 18: Yeah, I'm optimistic because the younger generations and I think

1169
01:08:07,760 --> 01:08:11,560
Speaker 18: they are the future of the economic growths. And you know,

1170
01:08:12,160 --> 01:08:14,640
Speaker 18: every single time when I spend time with the young CEOs,

1171
01:08:14,840 --> 01:08:18,240
Speaker 18: young entrepreneurs are coming back with a more conviction for

1172
01:08:18,360 --> 01:08:21,240
Speaker 18: the future. And what we need to do is give

1173
01:08:21,320 --> 01:08:26,080
Speaker 18: them support, capital and on top of that mentorship. And

1174
01:08:26,600 --> 01:08:29,160
Speaker 18: obviously the growth of the world were driven by large companies,

1175
01:08:29,400 --> 01:08:32,559
Speaker 18: but also be driven by SMEs and try to disrupt

1176
01:08:32,720 --> 01:08:35,920
Speaker 18: those industries. And also I think, you know, giving the

1177
01:08:36,000 --> 01:08:39,479
Speaker 18: younger generation hope that they can creating social mobility, which

1178
01:08:39,520 --> 01:08:40,439
Speaker 18: is also very important.

1179
01:08:40,560 --> 01:08:43,240
Speaker 16: Right now, I think there's going to be two or

1180
01:08:43,280 --> 01:08:47,720
Speaker 16: three breakthrough technologies in healthcare that will change people's lives dramatically,

1181
01:08:48,080 --> 01:08:51,160
Speaker 16: and I think there'll be a couple of breakthrough technologies

1182
01:08:51,479 --> 01:08:55,559
Speaker 16: in other industries. And I think twenty thirty years from

1183
01:08:55,600 --> 01:08:58,040
Speaker 16: now will look back and say those two or three

1184
01:08:58,120 --> 01:09:00,519
Speaker 16: or four or five things change the world. I'm negative

1185
01:09:00,600 --> 01:09:02,679
Speaker 16: on one thing, and I'm going to give you a negative,

1186
01:09:02,760 --> 01:09:05,640
Speaker 16: not just an authors thing. I am concerned about a

1187
01:09:05,720 --> 01:09:09,000
Speaker 16: tipping point on fiscal deficits, all right. I think it

1188
01:09:09,080 --> 01:09:12,040
Speaker 16: won't come gradually. When it comes, it will come fast,

1189
01:09:12,560 --> 01:09:14,200
Speaker 16: and I think there are a number of economies in

1190
01:09:14,240 --> 01:09:16,439
Speaker 16: the world where there could be a tipping point.

1191
01:09:16,840 --> 01:09:19,400
Speaker 7: It will hit hard. Minutes ago. Optimistic.

1192
01:09:19,479 --> 01:09:23,439
Speaker 3: What makes you optimistic, his excellency said it very well.

1193
01:09:24,200 --> 01:09:24,920
Speaker 3: There is.

1194
01:09:26,960 --> 01:09:29,800
Speaker 8: Deals that are going on, and there's an entrepreneurship that

1195
01:09:30,000 --> 01:09:34,200
Speaker 8: is phenomenal, So there are more deals that can be

1196
01:09:34,560 --> 01:09:36,920
Speaker 8: made in order to make more change. We're seeing this

1197
01:09:37,040 --> 01:09:41,200
Speaker 8: happen all around in all dimensions, and the entrepreneurship that

1198
01:09:41,400 --> 01:09:45,000
Speaker 8: is happening is fantastic. I mean, the magic formula is

1199
01:09:45,120 --> 01:09:48,160
Speaker 8: find the most talented inventive people and provide them with

1200
01:09:48,360 --> 01:09:49,960
Speaker 8: the capital and the ability to do that.

1201
01:09:50,360 --> 01:09:52,559
Speaker 9: Now, that changes very much by location.

1202
01:09:53,200 --> 01:09:55,760
Speaker 3: Okay, so when you asked me to deal with.

1203
01:09:55,800 --> 01:09:57,479
Speaker 9: The world as a whole, it's a different thing.

1204
01:09:57,800 --> 01:09:59,600
Speaker 8: One of the reasons that I think this place is

1205
01:09:59,640 --> 01:10:03,960
Speaker 8: so is because it's a talent magnet for bringing people

1206
01:10:04,120 --> 01:10:07,200
Speaker 8: like this together to be able to do this entrepreneurship,

1207
01:10:07,320 --> 01:10:10,360
Speaker 8: I think you'll see renaissance states, in other words, the

1208
01:10:10,520 --> 01:10:13,600
Speaker 8: neutral countries. And there are just three basic things you

1209
01:10:13,680 --> 01:10:16,200
Speaker 8: need to do. You need to earn more than you spend,

1210
01:10:17,040 --> 01:10:19,439
Speaker 8: have a good income statement of balance sheet. You need

1211
01:10:19,520 --> 01:10:23,120
Speaker 8: to compete well but not fight internally. And you need

1212
01:10:23,200 --> 01:10:25,680
Speaker 8: to stay out of a world war. Those places who

1213
01:10:25,800 --> 01:10:28,880
Speaker 8: do that, which do that and do this innovation, I

1214
01:10:28,960 --> 01:10:31,519
Speaker 8: think you're going to have a wonderful time in history.

1215
01:10:31,760 --> 01:10:34,719
Speaker 3: They were the Well I'll leave it at that, all.

1216
01:10:34,640 --> 01:10:39,560
Speaker 20: Right, David optimistic, optimistic always, But i'd agree with what

1217
01:10:40,560 --> 01:10:42,519
Speaker 20: Jamie said. It's not a given, but I'd point to

1218
01:10:42,600 --> 01:10:44,519
Speaker 20: three simple things that have been said in a number

1219
01:10:44,560 --> 01:10:44,960
Speaker 20: of ways.

1220
01:10:45,400 --> 01:10:48,320
Speaker 13: Advancements in science, advancements.

1221
01:10:47,720 --> 01:10:51,719
Speaker 20: And technology, and the optimism and resiliency of the human spirit.

1222
01:10:52,280 --> 01:10:55,559
Speaker 2: All right, well, this has been a very exciting, interesting panel.

1223
01:10:55,600 --> 01:10:57,360
Speaker 2: How many of you have been able to convince your

1224
01:10:57,439 --> 01:10:59,320
Speaker 2: children that what you do is so interesting they want

1225
01:10:59,320 --> 01:11:01,960
Speaker 2: to do the same thing doing anybody nobody?

1226
01:11:02,479 --> 01:11:04,639
Speaker 7: Okay, all right, yea, sir.

1227
01:11:04,720 --> 01:11:06,639
Speaker 2: I want to thank you for assembling everything and thank

1228
01:11:06,760 --> 01:11:07,679
Speaker 2: Richard for putting together.

1229
01:11:07,800 --> 01:11:10,439
Speaker 12: Thanks you very well done. David,