WEBVTT - Post-Vaccine World Will Embrace Globalization: Joel Hyatt 0:00:01.360 --> 0:00:04.120 Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, along 0:00:04.120 --> 0:00:06.200 with my co host of Bonnie Quinn. Every business day 0:00:06.240 --> 0:00:10.360 we bring you interviews from CEO, market pros, and Bloomberg experts, 0:00:10.400 --> 0:00:13.600 along with essential market moving news. Find the Bloomberg Markets 0:00:13.600 --> 0:00:17.000 Podcast on Apple Podcasts or wherever you listen to podcasts, 0:00:17.000 --> 0:00:19.800 and on Bloomberg dot com. As well. As we get 0:00:19.840 --> 0:00:23.120 more and more positive vaccine news, I think that allows 0:00:23.120 --> 0:00:25.639 people to think a little bit more about what the 0:00:25.680 --> 0:00:28.480 world is going to look like on the other side 0:00:28.480 --> 0:00:30.200 of this, and we take a look, we think about 0:00:30.280 --> 0:00:33.600 the economic environment, what will the economic environment look like 0:00:33.640 --> 0:00:35.640 on the other side and for the years to come. 0:00:35.680 --> 0:00:38.479 To answer some of those questions, we welcome Joel Hyatt 0:00:38.760 --> 0:00:41.760 h He is true trust the emeritus at the Brookings 0:00:41.880 --> 0:00:46.000 Institution and co founder, chairman and CEO of Globality UH 0:00:46.040 --> 0:00:48.320 based in San Francisco. Joel, thanks so much for joining 0:00:48.400 --> 0:00:50.640 us here. You know, I get as we think about 0:00:50.880 --> 0:00:53.000 getting to the point of vaccines, it gives people a 0:00:53.000 --> 0:00:55.520 little bit more confidence to look to the other side 0:00:55.560 --> 0:00:58.680 of this pandemic. One of the issues is with you know, 0:00:58.720 --> 0:01:01.480 also with a new administration. Stion is this going to 0:01:01.600 --> 0:01:05.479 be a global economy, like we're thinking about it before 0:01:05.520 --> 0:01:09.360 the pandemic, maybe before the Trump administration, where globalism was 0:01:09.440 --> 0:01:13.240 kind of the accepted way for economic growth. Do you 0:01:13.319 --> 0:01:19.040 still see globalism as a driving force in the global economy? Yes, 0:01:19.120 --> 0:01:23.720 I do absolutely. I recognize. Of course, the COVID nineteen 0:01:23.840 --> 0:01:28.320 interrupted global trade and foreign investment, and indeed, in the 0:01:28.520 --> 0:01:31.360 few years leading up to the global pandemic there was 0:01:31.720 --> 0:01:36.399 an overall reduction in global trade, principally that was manufactured goods, 0:01:36.480 --> 0:01:40.160 because the global trade of services continued to increase. But 0:01:40.240 --> 0:01:44.120 absolutely the pandemic interrupted it in the same way that 0:01:44.480 --> 0:01:50.080 events like wars or financial crisises can interrupt a global trade. 0:01:50.160 --> 0:01:53.760 And you know, there have been predictions that globalization is 0:01:53.880 --> 0:01:57.320 dying and at least slowing rapidly. I actually think those 0:01:57.360 --> 0:02:02.520 predictions are just completely off base. In fact, look look 0:02:02.560 --> 0:02:06.360 at the pandemic itself for a clear demonstration that both 0:02:06.400 --> 0:02:09.840 the challenges and the opportunities facing the world are all 0:02:09.880 --> 0:02:13.839 global um. It is just thrilling to see how the 0:02:13.880 --> 0:02:17.520 benefits of globalization were brought to bear on on on 0:02:17.680 --> 0:02:21.799 bringing vaccines to the to the resolution of this pandemic, 0:02:21.840 --> 0:02:25.040 you know, to to Turkish immigrants from that living in 0:02:25.120 --> 0:02:28.320 Germany produced a vaccine that's now being shot in the 0:02:28.440 --> 0:02:30.960 arms of Americans and people all over the world. And 0:02:31.240 --> 0:02:35.360 the global supply chain of global logistics, I mean, everything 0:02:35.400 --> 0:02:39.400 that it took to solve for this pandemic and record time, 0:02:39.880 --> 0:02:43.520 all of that was facilitated by globalization. And yes, I 0:02:43.560 --> 0:02:49.200 think we will see post pandemic renewed growth in globalization. 0:02:49.639 --> 0:02:52.480 I think that it will be dramatically led by services 0:02:52.560 --> 0:02:57.280 as opposed to U products. Um, we've had marketplaces for 0:02:57.360 --> 0:03:00.000 products for quite some time. I mean, think what Amazon 0:03:00.040 --> 0:03:02.560 and an Ali Baba have been able to do bringing 0:03:02.639 --> 0:03:06.680 technology and scale to the delivery of goods to people 0:03:06.960 --> 0:03:10.760 again all over the planet, truly global. We haven't seen 0:03:10.800 --> 0:03:12.760 that in services, but I think that's what we're going 0:03:12.800 --> 0:03:17.040 to see is the growth of marketplace as a company 0:03:17.120 --> 0:03:20.800 light like Globality, that that has built an AI powered 0:03:20.880 --> 0:03:24.880 platform that enables companies to buy and sell services from 0:03:24.919 --> 0:03:28.400 any location on the globe, and and and and builds 0:03:28.400 --> 0:03:32.200 an ecosystem that makes doing that transparent and fair and 0:03:32.320 --> 0:03:36.480 opened up all suppliers based on the merits of performance 0:03:36.520 --> 0:03:40.000 and quality and price. And these are big, big developments 0:03:40.040 --> 0:03:42.560 that I think are on the near horizon. I think 0:03:42.560 --> 0:03:45.440 we're going to see a lot more global integration. And 0:03:45.520 --> 0:03:49.120 you're right, Paul, to suggest that the change in administration 0:03:49.280 --> 0:03:51.360 is a factor in that. There's there's no question that 0:03:51.520 --> 0:03:54.320 is also the case. Let's just for contexts mention that 0:03:54.360 --> 0:03:58.400 Globality is an AI powered program and it, as you said, 0:03:58.680 --> 0:04:02.440 calls the sourcing process and apparently from months to hours 0:04:02.440 --> 0:04:05.400 in some cases delivers savings. And you've raised about a 0:04:05.440 --> 0:04:08.040 hundred seventy two million dollars, most recently a hundred million 0:04:08.080 --> 0:04:12.640 from the soft Bank Vision Fund back in January. So 0:04:12.720 --> 0:04:14.960 perhaps Joel, you could tell us how it's been so 0:04:15.000 --> 0:04:18.440 difficult in some areas to source things that we need. So, 0:04:18.480 --> 0:04:21.520 for example, yes, the vaccine process has been phenomenal, and 0:04:21.560 --> 0:04:24.240 if we continue to get a distributed the way the 0:04:24.279 --> 0:04:27.360 beginning of the distribution has happened, then we are laughing. 0:04:27.600 --> 0:04:30.440 But for things like ppe, and then for you know, 0:04:30.800 --> 0:04:34.479 regular everyday consumer goods like toilet paper and computer parts 0:04:34.480 --> 0:04:38.240 and so on, it hasn't been so easy. Well, look 0:04:38.279 --> 0:04:41.799 that that's true. There were disruptions in the supply chain 0:04:41.920 --> 0:04:46.360 for for typical products like that, driven in part of course, 0:04:46.440 --> 0:04:48.919 as you know by the fears and anxieties in the 0:04:48.960 --> 0:04:52.360 early stages of the pandemic and hoarding and all of those. Well, 0:04:52.400 --> 0:04:54.640 you can't actually buy a PC with a good graphics 0:04:54.640 --> 0:04:56.560 card at the moment. It's very, very difficulty of to 0:04:56.560 --> 0:05:00.680 wait a month. Why is that? Well, that's again, uh, 0:05:01.279 --> 0:05:05.560 my expertise is in services, not in not in manufactured goods, 0:05:05.880 --> 0:05:10.240 So I'm not the best to explain that. But I 0:05:10.240 --> 0:05:13.920 think that the solutions to the problems you're raising are 0:05:14.000 --> 0:05:17.920 actually in more globalization and not less And I think 0:05:17.920 --> 0:05:21.840 that that's where the solutions will come in, making in 0:05:23.080 --> 0:05:28.120 making boundaries less and less important, in consumers and businesses 0:05:28.200 --> 0:05:31.960 ability to source the goods and the services that they 0:05:32.000 --> 0:05:34.679 that they in fact need, and so and so. I really, 0:05:34.800 --> 0:05:38.200 to the extent that you're addressing supply chain problems, countries 0:05:38.240 --> 0:05:42.000 aren't are best able to solve those problems on their own. 0:05:42.320 --> 0:05:45.840 I mean, you know, people I think have lost sight 0:05:45.920 --> 0:05:51.240 of the rewards and the problems resulting from globalization and 0:05:51.360 --> 0:05:53.920 over a billion So Joel, talk to us about globalization 0:05:53.960 --> 0:05:57.159 of services then, which is what you say you're expert at. 0:05:57.360 --> 0:06:00.560 How does thus grow in significance? How do I how 0:06:00.600 --> 0:06:04.080 do I use services from another country if it's not 0:06:04.200 --> 0:06:08.200 say something like a customer hotline. So so great question, 0:06:08.360 --> 0:06:10.279 and there's really a couple of aspects of that. First 0:06:10.279 --> 0:06:12.960 of all, trillions of dollars of services are bought and 0:06:13.040 --> 0:06:18.080 sold just by businesses every year, and the opportunity to 0:06:18.279 --> 0:06:22.000 enable a company to identify the best supplier at the 0:06:22.120 --> 0:06:25.239 right price, to do so quickly, and to be able 0:06:25.279 --> 0:06:28.719 to source that supplier wherever that service provider happens to 0:06:28.760 --> 0:06:32.560 be is a very big deal. And by using artificial 0:06:32.600 --> 0:06:37.520 intelligence and digital technological solutions, you limited all the frictions. 0:06:37.680 --> 0:06:40.359 And then, secondly and importantly, you made an interesting point. 0:06:40.560 --> 0:06:44.720 Look at consumers. They've had, they've had a wonderful consumer 0:06:44.800 --> 0:06:47.400 experience when they go online to buy and the like. 0:06:47.880 --> 0:06:50.159 Believe it or not, all those trillions of dollars of 0:06:50.240 --> 0:06:53.840 purchase of by businesses of services, they're not done through 0:06:53.880 --> 0:06:56.719 what I would call the consumerization of the enterprise. The 0:06:56.800 --> 0:06:59.680 kinds of expectations we consumers have when we go on 0:07:00.520 --> 0:07:04.520 if they're done through the most archaic, inefficient, ineffective, and 0:07:04.600 --> 0:07:08.599 expensive processes, and all that's in the process of changing 0:07:08.600 --> 0:07:14.720 as they go through transformational innovation to again aipower digital solutions. Today, 0:07:14.720 --> 0:07:18.440 they start with a paper intensive request for proposal process. 0:07:18.480 --> 0:07:22.200 It's a hundred pages long. It's it makes it impossible 0:07:22.240 --> 0:07:26.840 for small companies, diverse companies, foreign companies to compete in 0:07:26.880 --> 0:07:30.360 the global market for their business because the processes don't work, 0:07:30.400 --> 0:07:34.560 they're so inefficient. When you use technology to eliminate all that, 0:07:34.640 --> 0:07:37.280 and you bring the kind of consumerization the enterprise that 0:07:37.320 --> 0:07:40.880 makes it quick and fun and easy and adds value 0:07:40.880 --> 0:07:45.000 with intelligence build into the process, you open up global 0:07:45.040 --> 0:07:48.280 trade opportunities for everybody. For the buyer you get better 0:07:48.320 --> 0:07:51.240 services at a lower costs, and for suppliers you get 0:07:51.280 --> 0:07:53.640 access to buyers all over the world, not just in 0:07:53.680 --> 0:07:55.960 your neighborhood or even your own country. There is a 0:07:56.000 --> 0:07:59.040 big deal, all right, Joel, thanks for joining us today, 0:07:59.160 --> 0:08:05.600 Joe Hia it's called founder, a chair and CEO of Globality. Well, 0:08:05.640 --> 0:08:07.200 if we think all the way back to the dark 0:08:07.280 --> 0:08:09.760 days of March and April in this pandemic, a phrase 0:08:09.840 --> 0:08:13.720 that entered the lexicon, I believe was bend the curve 0:08:13.920 --> 0:08:16.520 as we tried to get a handle on the infections 0:08:16.560 --> 0:08:19.040 in that first wave here and not hearing too much 0:08:19.040 --> 0:08:22.440 about that these days as the country experiences second or 0:08:22.520 --> 0:08:24.560 third wave, depending upon where you live. Let's get some 0:08:24.920 --> 0:08:28.840 latest on the pandemic. We do that with Dr A. Mesh, 0:08:29.520 --> 0:08:33.160 Senior scholar and infectious disease physicians of John's Hoppkins Center 0:08:33.240 --> 0:08:36.720 for Health Security at the Bloomberg School of Public Health. 0:08:36.920 --> 0:08:39.000 And we should note that the Johns Hopkins Bloomberg School 0:08:39.000 --> 0:08:42.000 of Public Health is supported by Michael Bloomberg, founder Bloomberg LP, 0:08:42.360 --> 0:08:47.040 Bloomberg Philanthropies and this radio operation. So Dr Dolge talk 0:08:47.080 --> 0:08:49.800 to me about that bend the curve conversation. We don't 0:08:49.800 --> 0:08:53.440 seem to be having it, uh this time around, as 0:08:53.720 --> 0:08:58.520 cases surge. Why is that? Do you think what we 0:08:58.559 --> 0:09:00.840 really have is an uncontrolled demic? And I don't think 0:09:00.880 --> 0:09:03.360 anybody really thinks that we are going to be able 0:09:03.400 --> 0:09:07.400 to flatten the curve sufficiently before before a vaccine. There 0:09:07.400 --> 0:09:09.480 are attempts to do so with some of the social 0:09:09.520 --> 0:09:13.240 distancing restrictions coming back into into place, but we you know, 0:09:13.320 --> 0:09:16.199 flatting the curve was about preserving hospital capacity, trying to 0:09:16.320 --> 0:09:19.080 keep cases to a pace that's manageable, and that's clearly 0:09:19.080 --> 0:09:21.200 not the case in many parts of the country. And 0:09:21.200 --> 0:09:23.600 there's so much pandemic fatigue, and and I do think 0:09:23.600 --> 0:09:26.040 that people are are frustrated because now we are in 0:09:26.080 --> 0:09:28.959 December and we still can't seem to get this right. 0:09:29.040 --> 0:09:32.040 We still don't have test trace isolate capacity in any 0:09:32.080 --> 0:09:35.920 state in this country, and and we've just basically muddled through. 0:09:36.000 --> 0:09:39.360 So a lot of it is probably it's just it 0:09:39.400 --> 0:09:40.840 didn't have to be this way, and it's just the 0:09:40.920 --> 0:09:43.680 result of kind of inaction and and the wrong actions 0:09:43.760 --> 0:09:46.880 being taken in a lot of just mismanagement of this 0:09:46.920 --> 0:09:49.880 pandemic that made flattening the curves something very hard to 0:09:49.920 --> 0:09:55.640 achieve in this country. Doctor Doldia, what's your estimation now 0:09:55.840 --> 0:09:58.000 for the amount of deaths that we are going to 0:09:58.000 --> 0:09:59.959 see in the United States before this is all over. 0:10:01.440 --> 0:10:03.600 I think we're already crossed three hundred thousand. I think 0:10:03.600 --> 0:10:06.080 probably about half a million. I think would probably be 0:10:06.120 --> 0:10:08.120 somewhere where I would if I were to kind of 0:10:08.160 --> 0:10:09.920 put it in the ballpark, I think it's going to be. 0:10:09.960 --> 0:10:11.360 You know, there's still more deaths that are going to 0:10:11.360 --> 0:10:15.600 occur before this population's vaccinated. That's insane. Half a million, 0:10:15.679 --> 0:10:18.920 where that's another two hundred thousand from where we are here. Yeah, 0:10:19.600 --> 0:10:22.880 So Dr Dolga. You know, talk to us about the 0:10:22.960 --> 0:10:25.439 vaccines that the data I'm gonna say, it's just been 0:10:25.880 --> 0:10:28.560 you know, it's really surprisingly positive. I mean, you know, 0:10:28.559 --> 0:10:31.040 when we first started talking about these vaccines, you know 0:10:31.080 --> 0:10:34.840 we're being told by experts, you know, fifty six would 0:10:34.840 --> 0:10:36.760 be a phenomenal number. Let me started seeing numbers and 0:10:36.800 --> 0:10:41.160 then nineties. Uh, give us a sense of how how 0:10:41.200 --> 0:10:43.520 this came to be. How did we get such good 0:10:43.640 --> 0:10:48.360 vaccines so quickly? It is remarkable and none of us 0:10:48.360 --> 0:10:52.200 expected these first generation vaccines, especially once like m R 0:10:52.200 --> 0:10:54.800 and A vaccines where we really haven't seen clinical trial 0:10:54.880 --> 0:10:57.960 data to be this effective. And I think it really 0:10:58.080 --> 0:11:01.440 is just a testament to science advancing and the ability 0:11:01.520 --> 0:11:06.119 to improve vaccine technology. And I think these these vaccines, 0:11:06.640 --> 0:11:08.880 especially the Maderna and the fiser ones, have basically shattered 0:11:08.920 --> 0:11:11.640 all expectations and really will be a way to change 0:11:11.679 --> 0:11:15.120 the face of this pandemic. And I think it's just 0:11:15.160 --> 0:11:17.640 a question now of getting this into the arms of Americans, 0:11:17.679 --> 0:11:20.040 which is going to take some time. But really I 0:11:20.080 --> 0:11:22.679 think m R and A vaccines should be thought of 0:11:23.040 --> 0:11:26.840 as as a path breaking way to think about emerging 0:11:26.840 --> 0:11:30.360 infectious disease emergenous emerging infectious diseases in the future, and 0:11:30.400 --> 0:11:33.040 that we're that the next pandemic, the next infectious disease 0:11:33.040 --> 0:11:34.600 emergency is going to be met with an m R 0:11:34.600 --> 0:11:37.959 and a vaccine pretty quickly and and likely be able 0:11:38.000 --> 0:11:40.760 to um to really soften its blow. And I think 0:11:40.840 --> 0:11:44.080 that's that's a big win for for vaccines when we 0:11:44.080 --> 0:11:47.079 look at this coronavirus pandemic kind of, you know, at 0:11:47.080 --> 0:11:49.800 a twenty foot level, Yeah, that's something that we can 0:11:49.800 --> 0:11:53.520 take away from it, even beyond this particular coronavirus. Dr 0:11:53.640 --> 0:11:57.199 Adulgia just curious as to what you make of the 0:11:57.240 --> 0:12:00.959 fact that London says it's seeing a mutation of this virus. 0:12:02.880 --> 0:12:05.160 All virus is mutate. It's important to remember that that's 0:12:05.200 --> 0:12:07.720 just what they're going to do, and most mutations don't 0:12:07.720 --> 0:12:10.560 really have any consequence. They don't do anything functionally for 0:12:10.559 --> 0:12:13.280 the virus. And there's no evidence that this mutation that 0:12:13.280 --> 0:12:15.960 they've noticed in London, like other mutations that they've noticed, 0:12:16.280 --> 0:12:19.680 have any have any change change anything about the vaccine, 0:12:19.760 --> 0:12:22.240 change anything about the treatment. And I think it's important 0:12:22.280 --> 0:12:25.400 to study these these mutations and understand what their implications are. 0:12:25.559 --> 0:12:27.400 But it's important to remember that, you know, not every 0:12:27.480 --> 0:12:30.120 mutation is a scary mutation. Not every mutation is something 0:12:30.240 --> 0:12:32.760 you know out of a Hollywood movie where the virus 0:12:32.880 --> 0:12:37.560 acquires a new capability or evades countermeasure. Most most really 0:12:37.800 --> 0:12:42.800 end up being nothing that's good. So, doctor, you know 0:12:43.240 --> 0:12:46.040 rightfully so that the news has been about the vaccines, 0:12:46.320 --> 0:12:48.600 but also when to get your thoughts on some of 0:12:48.600 --> 0:12:51.400 the therapeutic treatments that are in the works and maybe 0:12:51.400 --> 0:12:54.400 some advances that are being made, because again we're having 0:12:54.440 --> 0:12:56.520 such a high case load and we likely to do 0:12:56.600 --> 0:13:00.240 so for uh several months at the very least. Where 0:13:00.280 --> 0:13:03.960 were in terms of actually treating cases when they get 0:13:04.040 --> 0:13:07.880 to the hospital. So the work course there is dexi 0:13:07.960 --> 0:13:11.000 metho zone, which is a cheap steroid that we've been 0:13:11.080 --> 0:13:13.600 using for lots of different things over the years. And 0:13:13.679 --> 0:13:15.760 what we found is dex and meto zone when patients 0:13:15.800 --> 0:13:19.640 need oxygen supplemental oxygen does decrease mortality. So that's become 0:13:19.720 --> 0:13:22.720 something that we turn to very quickly when we're running 0:13:22.720 --> 0:13:25.120 we're treating the patient that needs oxygen. We have other 0:13:25.160 --> 0:13:27.560 drugs like remdesse heere and that sort of has a 0:13:27.600 --> 0:13:30.160 marginal impact. It might be able to make you get 0:13:30.200 --> 0:13:32.960 better a little bit quicker. There are some other immune 0:13:32.960 --> 0:13:35.880 modulating drugs that are also being studied in combination with 0:13:36.320 --> 0:13:39.480 with remdesivie that might get you better faster, But really 0:13:39.520 --> 0:13:41.320 dex and meta zone is the main thing, and I 0:13:41.320 --> 0:13:44.280 would think that our improvements are are less the factor 0:13:44.320 --> 0:13:46.680 of drugs but more about our knowledge and our ability 0:13:46.760 --> 0:13:49.720 to understand this disease, to diagnose it quicker, to put 0:13:49.720 --> 0:13:52.600 people on the right treatment pathway, to understand how to 0:13:52.679 --> 0:13:55.599 use a mechanical ventilator more appropriately and deliver oxygen to 0:13:55.679 --> 0:13:58.360 these these people, proning them, putting them on their bellies 0:13:58.360 --> 0:14:01.440 instead of keeping them uh face space up. And then 0:14:01.480 --> 0:14:06.440 also recognizing, understanding and being able to treat and anticipate complications. 0:14:06.480 --> 0:14:08.680 That's something that we're much better doing now in December 0:14:08.720 --> 0:14:10.760 than we were in March. And all of this is 0:14:10.760 --> 0:14:12.640 really contingent on not having room to take care of 0:14:12.679 --> 0:14:14.880 these patients in our hospitals and not being overworked. So 0:14:14.960 --> 0:14:18.160 that's something that's important to remember that as hospitals get stressed, 0:14:18.360 --> 0:14:20.520 all of these all of this, all of these games 0:14:20.520 --> 0:14:23.400 we've made against the virus could could be at risk 0:14:24.440 --> 0:14:26.400 Dr Adulgas, thank you so much for all of your 0:14:26.440 --> 0:14:30.480 phenomenal information for us. Always really adore speaking with you. 0:14:30.520 --> 0:14:34.360 Get straight from the source, what exactly is the truth 0:14:34.440 --> 0:14:36.280 and the facts about all of these things that we 0:14:36.360 --> 0:14:39.800 hear about from time to time, from the vaccines to 0:14:40.360 --> 0:14:43.760 the various procedures and so on. That is Dr Amish Adulgia, 0:14:43.840 --> 0:14:48.000 Senior scholar and infectious disease physician at the Johns Hopkins 0:14:48.040 --> 0:14:53.720 Center for Health Security. Dave Hunt is the president of 0:14:53.800 --> 0:14:57.280 Hunt Auctions, as partnered with Christie's to present the Auction 0:14:57.680 --> 0:15:02.520 home Plate, a private collection of important baseball memorabilia. It's 0:15:02.520 --> 0:15:05.800 interesting this year because it's expected to do extraordinarily well. 0:15:05.840 --> 0:15:08.760 Just this morning, Peter Book far obliquely advisors, was writing 0:15:08.800 --> 0:15:14.520 about the appetite for memorabilia and how you know prices 0:15:14.600 --> 0:15:18.040 are really just becoming inflated. Dave Hunt is our guest now, 0:15:18.080 --> 0:15:21.000 So Dave, thanks for joining us all the way from Philadelphia. First, 0:15:21.040 --> 0:15:22.960 give us a little idea of the types of things 0:15:23.000 --> 0:15:26.200 that you have on auction. Yeah, great to be here. 0:15:26.240 --> 0:15:29.760 I think this collections really quite unique in that it 0:15:29.880 --> 0:15:33.520 spans really baseball history all the way from the nineteenth century, 0:15:33.720 --> 0:15:36.840 almost present. Uh, And there's of course things you'd want 0:15:36.840 --> 0:15:38.920 to see in an iconic collection like this game used 0:15:38.920 --> 0:15:43.200 pieces from Babe Ruth, Luke, Garrig, Tai Cobb, Honas Wagner 0:15:43.640 --> 0:15:47.320 and and on um. And as we've seen, as you've noted, 0:15:47.640 --> 0:15:50.680 our market has been steadily growing over the last several decades, 0:15:50.720 --> 0:15:53.440 but these last two years, uh, and even this year 0:15:53.440 --> 0:15:56.600 with the pandemic, the pricing and maybe more notably the 0:15:56.680 --> 0:16:00.400 interest by volume has just increased by many more piples 0:16:00.400 --> 0:16:02.680 And it's just sort of fascinating to see and and 0:16:02.720 --> 0:16:05.320 we see a lot of growth in the future as well. So, David, 0:16:05.360 --> 0:16:08.320 what's driving that growth? I mean, for the stock market, 0:16:08.360 --> 0:16:11.280 we could always say, oh, don't fight the FED interest 0:16:11.360 --> 0:16:13.640 rates are low bidding up stocks. How about on the 0:16:13.680 --> 0:16:15.880 member bil your market, what what's kind of the drivers 0:16:15.880 --> 0:16:18.760 of value there generally? Yeah, I think, well we've seen 0:16:19.120 --> 0:16:21.320 we've done this for thirty years now, and what we've 0:16:21.320 --> 0:16:25.720 always felt was the potential the scalability of sports just 0:16:25.880 --> 0:16:29.880 clients that potentially like sports one and have some means 0:16:29.920 --> 0:16:34.000 to purchase something related to it too. That's an enormous 0:16:34.120 --> 0:16:37.840 volume of clientele potentially, and it just continues to increase, 0:16:37.840 --> 0:16:40.320 and I don't. I think we've really just scratched the surface, 0:16:40.400 --> 0:16:43.680 especially if you compare these pieces, you know, to other fields, 0:16:43.680 --> 0:16:46.880 you know, whether it's a piece of artwork or a 0:16:46.880 --> 0:16:48.960 different collectible in a different field that have had much 0:16:49.000 --> 0:16:52.320 more mature market. Ours is really still only thirty or 0:16:52.360 --> 0:16:55.240 forty years old, which if you think about it by 0:16:55.360 --> 0:16:58.520 normal standards, is not that not that that that dated. 0:16:58.960 --> 0:17:01.000 Uh So, as we see that increase, and especially this 0:17:01.120 --> 0:17:04.720 year with just everybody looking for nostalgia in their life, 0:17:04.720 --> 0:17:08.000 looking to figure out something different than this particular year, 0:17:08.440 --> 0:17:11.360 I think that's part of what's really led to this increase, 0:17:11.880 --> 0:17:14.480 uh and more of maybe an appreciation of the particular 0:17:14.560 --> 0:17:16.720 artifacts and how they relate to some of these iconic 0:17:16.720 --> 0:17:19.760 sports figures. Who are the people with this kind of cash? 0:17:20.080 --> 0:17:23.040 We know that for example, last Thursday, when Gretzky Rookie 0:17:23.040 --> 0:17:25.960 card in perfect condition was auctioned off for one point 0:17:25.960 --> 0:17:28.520 to nine million dollars. It's a card that's sold for 0:17:28.560 --> 0:17:31.040 four hundred and sixty five thousand just in August of 0:17:31.040 --> 0:17:34.800 two thousand sixteen. So that's a triple tripling nearly of 0:17:34.880 --> 0:17:37.720 its value in just four years. Who can afford to 0:17:37.840 --> 0:17:40.440 lay down that kind of cash and and hope that 0:17:40.560 --> 0:17:44.439 you know these cards and these memorabilia appreciate. Yeah, what 0:17:44.520 --> 0:17:46.640 we've seen is sort of a wide and diverse group 0:17:46.680 --> 0:17:49.199 of people purchasing these items. So you've got sort of 0:17:49.200 --> 0:17:52.359 a core group of seasoned collectors and investors that have 0:17:52.359 --> 0:17:54.359 been doing us for a number of years. Uh, and 0:17:54.400 --> 0:17:56.960 they sort of follow it almost blue chips, if you will, 0:17:56.960 --> 0:17:59.879 in our world, the Babe Ruth games bats or the 0:18:00.080 --> 0:18:01.879 Gary pieces or what have you. And then you're seeing 0:18:01.960 --> 0:18:03.520 a lot of new people get into this and are 0:18:03.520 --> 0:18:06.160 purchasing more modern pieces, such as a card you referenced. 0:18:06.680 --> 0:18:09.199 And I think the confluence of all of that, in 0:18:09.240 --> 0:18:11.919 addition to the fact that these pieces really are truly 0:18:12.400 --> 0:18:15.800 great investments, not just financially, but they're enjoyable. They're not 0:18:15.840 --> 0:18:18.560 a piece of paper that's in a lockbox somewhere. There's 0:18:18.600 --> 0:18:22.800 something you can enjoy, can share, can display in different institutions. Uh. 0:18:22.880 --> 0:18:26.320 And and that enjoyability factor, if you will, seems to 0:18:26.320 --> 0:18:29.000 be translating tangibly into pricing as we continue to see 0:18:29.000 --> 0:18:32.480 the market increase. Alright, So Dave, I'm gonna call member 0:18:32.560 --> 0:18:35.439 Burial Sports Member Bilial kind of an alternate asset class, 0:18:35.520 --> 0:18:38.600 much like we'll see an art or or wine, and 0:18:38.680 --> 0:18:40.440 you know, some of those markets over the years which 0:18:40.440 --> 0:18:42.720 are probably much more developed, we've seen a lot of 0:18:42.760 --> 0:18:45.760 international interests, whether it's Japanese or Middle East or now Chinese. 0:18:46.119 --> 0:18:49.800 Is a sports memorability of business primarily a domestic US 0:18:50.000 --> 0:18:53.520 business or do you see interest from abroad? It's a 0:18:53.520 --> 0:18:57.720 great question. Yeah, I think that in other fields it's 0:18:58.359 --> 0:19:01.639 a more in depth interest abroad, but it is definitely developing. 0:19:01.760 --> 0:19:04.800 In sports, we're noticing that word clientele are purchasing things 0:19:05.520 --> 0:19:07.680 from from different countries. I mean, we've been a partner 0:19:07.720 --> 0:19:09.840 with the NFL and NFL Auction for a number of 0:19:09.880 --> 0:19:11.960 years and for instance, every year we do an event 0:19:11.960 --> 0:19:13.600 at the Super Bowl, so we will see bits come 0:19:13.600 --> 0:19:17.320 in from Australia, from England, from Japan. So that's uh 0:19:17.600 --> 0:19:20.920 really probably more related to the the uh provance of 0:19:20.920 --> 0:19:23.720 sports across the world to social media through different platforms. 0:19:23.760 --> 0:19:25.720 So these exhibition games that the leagues are playing in 0:19:25.720 --> 0:19:29.480 different countries and that is tailing into the memorabilia market. 0:19:29.560 --> 0:19:31.960 So you know sort of see these layers come in 0:19:32.080 --> 0:19:36.040 and adding more depths and and obviously in turn more 0:19:36.080 --> 0:19:38.520 pricing increases to to our market due to some of 0:19:38.520 --> 0:19:43.040 those sorts of reasonings. So if you want to place 0:19:43.080 --> 0:19:45.360 a bid on a Babe Ruth Boston Red Sox era 0:19:45.440 --> 0:19:50.240 professional model baseball at second nineteen sixteen to nineteen eighteen, 0:19:50.520 --> 0:19:52.720 what what are you looking at putting down? And how 0:19:52.720 --> 0:19:55.960 would you do it? Well, if you go to Christie's 0:19:56.000 --> 0:19:58.560 dot com slash Baseball, you can see all the items, 0:19:58.560 --> 0:20:00.200 and even if you're not instrument bidding, we can churched 0:20:00.240 --> 0:20:02.040 people to see him, because this really is a museum 0:20:02.040 --> 0:20:05.640 worthy collection. But a bat like that, which is estimated 0:20:05.640 --> 0:20:07.960 at a half a million to a million dollars, seems 0:20:07.960 --> 0:20:10.160 like a lot of money. But I remember when those 0:20:10.200 --> 0:20:13.960 bats twenty years ago, we're ten and fifteen thousand dollars literally, 0:20:14.200 --> 0:20:17.080 and we see a lot of increased potential for a 0:20:17.080 --> 0:20:19.600 piece like that with only two specimens known the date 0:20:19.680 --> 0:20:22.960 to his rookie seasons with the Red Sox before he 0:20:23.040 --> 0:20:26.439 obviously continued his career with the ang So there's a 0:20:26.560 --> 0:20:28.840 number of incredible pieces related to some of the greatest 0:20:28.880 --> 0:20:31.040 names in baseball. And there's stuff as well from the 0:20:31.080 --> 0:20:35.200 ninet three World Series New York Yankees, the ninety four 0:20:35.280 --> 0:20:38.800 US All Star Tour of Japan. Paul Fields. It's got it. 0:20:38.880 --> 0:20:40.639 They've got everything there. It's gonna be interesting. Gonna go 0:20:40.640 --> 0:20:42.640 to that website as soon as we're done here. David Hunt, 0:20:42.640 --> 0:20:44.720 thank you so much for joining us. David Hunt, President 0:20:44.760 --> 0:20:48.000 of Hunt Auctions. UH talking about sports memory billion. This 0:20:48.200 --> 0:20:51.639 is search for global yield people maybe looking at some 0:20:51.680 --> 0:20:55.919 of these alternative asset classes like sports memorabilia. Very interesting 0:20:55.920 --> 0:21:00.080 to see the growth in that business. Let's bring in 0:21:00.160 --> 0:21:03.200 Miles Wice now a very important conversation. He's our sec 0:21:03.440 --> 0:21:07.280 reporter and he hasn't looking at Blackstone. A great story 0:21:07.320 --> 0:21:10.040 on the Bloomberg and here's the beginning. With companies and 0:21:10.080 --> 0:21:13.800 industries from healthcare to battery storage in its portfolio. Blackstone 0:21:14.320 --> 0:21:17.080 has a massive buyout unit with a unique view into 0:21:17.119 --> 0:21:20.879 the economy. Soon it may offer peaks to outsiders willing 0:21:21.000 --> 0:21:24.000 to pay Miles. The story is about black Stone potentially 0:21:24.600 --> 0:21:27.639 selling the data of the companies that it owns. Is 0:21:27.680 --> 0:21:32.720 it allowed to do this? Um I no currently UM 0:21:33.119 --> 0:21:35.760 it doesn't have the leeway to do this under its 0:21:36.000 --> 0:21:41.480 UH the offering documents for its various private equity funds, 0:21:41.520 --> 0:21:44.199 although it does it can do it for some of 0:21:44.240 --> 0:21:47.679 the companies that it has relationships with it aren't that 0:21:47.720 --> 0:21:50.040 aren't owned and by the buyout funds, So it would 0:21:50.080 --> 0:21:52.840