Bloomberg Businessweek Weekend - August 28, 2020

black man, Jacob Blake, by police in Kenosha, Wisconsin. That was followed by protests who were confronted and shot at by an armed counter protester. It was a difficult week. It was a difficult week, and it came amidst the Republican National Convention following the Democratic National Convention last week. It also came at a time when sports once again came to the four not as entertainment, but as a realm in which athletes are standing up increasingly for social justice.

We saw sports come to a halt or lear this week, Carol, at least momentarily, as athletes and the rest of us wrestle with what goes on from here. You no doubt about it, Jason, sports struggling with racism and what's going on with society, so too our two other industries. We're talking about Silicon Valley and film. We're gonna hear from two voices where blacks and minorities are finding it hard

to have a presence there. We're also going to hear from Louis Vuitton's Virgil Ablow about the importance to give opportunities to young black designers and his mission to eradicate systemic racism. We begin this hour, though, with a story inside the magazine on other news this week, and that was J Powell, who was at the fed's annual Jackson Whole Symposium. He unveiled a new approach to setting US monetary policy. You can get full analysis of that at

Bloomberg dot com and of course on the Bloomberg. But meantime, Mike Reagan, he's senior editor of Bloomberg Markets Live blog. He writes a love letter to FED chief J. Powell from its Loving stock Market, and we talked with Michae along with Bloomberg Business Week editor Joe Weber. And yes, it's satire, you know, I just thought it was a

clever idea. I mean, how much can you write sort of the same old story about the new record high and you know, credited with at least in large parts the low rates from the set, and we'll take on to sort of shore up the corporate bond market. So I thought you all had a really clever idea to

kind of approach you from a different angle. So of course I was, I was on board, and I was trying to figure out, you know, what, what sort of voice would the stock market have if it you know, we're personified, and I just assumed it would be a real smart alec, you know, a real or real wise guy. So that's that's that's kind of the tone. That's the

tone I went with. Well, but you also unveil some really thoughtful questions that I think some market watchers Mike are kind of wondering about at this point, right when it comes to future FED policy, right, and you know, obviously that's the question I think on everyone's mind is what more can the SET do? I mean, obviously, uh,

they really uh innoculate the corporate bond market. I think that's the most important thing is that in economic downturn like this, what really freaks out the stock market more than anything, is it that credit market starts to wobble. So the Fed, by cuip BYD corporate bonds and even the corporate bond ets I think sort of took away a lot of uh, the sort of background risk that

stock investors would have worried about. UM. But you know, the question is, well, once the Fed starts doing anything, I think people get greedy and expect more and more uh types of of unconventional policies to to keep the party going. Um and especially because you know, the stock markets roaring, but the economy is still a big question mark. I mean, the numbers aren't as bad as they were in say, March and April, uh and and May, but we're certainly not back to where we were. Uh. You

know what Lord could defend possibly do. A lot of people are sort of wishful thinking and hoping that it'll Bill hint at some sort of yield curve control down the road where they'll keep those longer and you know ten a thirty year yields in check um, which would influence obviously mortgage rates and that sort of things. But I don't know, I don't know what more you can expect from the Fed. They've kind of pushed back on that sense of yield curve control, that that it's really imminent.

A lot of the speakers from the side of have just said they're not sure it really does as much as good as people are hoping, you would. What are the odds that you know, if the if the FED really needed to do more at some point, if things really did, say there's a second uh, a wave of sorts, and you know that is the fear, as we had into in the colder months here, that you know that maybe there's a second wave that sort of get mixed gets a little mixed up around with the with the

flu like in a common cold. You know, like we're looking at some stuff that might get crazy again. And like what what kind of amma would would the FED

potentially have if that, if that scenario ever happened. Uh, you know, I would guess that that gave power anyone has the sense first reaction to that would be you really got to get the ciscal policy staked out, because that's really where you can get focused to help to individuals, unemployed people and struggling business owners that needed a lot more.

So I think that would be their first pushback and say, look, we can't solve anything that the concress has to get sort of uh together and past something to get that fiscal support. Um after that, I mean it's a good question. I'm sure goll consider buying more assets, buying more treasuries, more corporate brons to keep those liquidity and those markets functioning. But um, I think ultimately their pushback would be, look, it's time for the system side to take over. And really,

you know, Ulster that safety net for everyone. It's it's what you're talking about. Uh it turns out to be the case, which I think there's a pretty good chance it could be. And that's Mike Regan from Bloomberg Markets and of course Bloomberg Business Week ed or Joel Weber. You know, this was in some ways a lighthearted look, but also something pretty serious underneath this, which is this disconnect that we're seeing, and it reminded me a bit Carol.

Another conversation we had this week. You'll have to check it out on our podcast feed to hear it about the K shaped recovery, and it is something that we're spending a lot of time on because it is a way, it's a lens in many ways to look at what's going on in the world when it comes to stock market success, but also this backdrop of vast vast inequality. Yeah, reminder, some are coming back after the economic downturn, some are

not alright. Coming up our regular check in with the team at Johns Hopkins Bloomberg School of Public Health about COVID nineteen and the headlines this week that you need to know that's coming up next on Bloomberg Business Week, And this is Bloomberg. This is Bloomberg Business Week with Carol Masser and Jason Kelly from Bloomberg Radio. Well, Carol, underneath everything that's going on, a society that is wrestling with its past and what it ultimately wants to be.

Amid all of that, we are still in the midst of a global health crisis tied to the spread of COVID nineteen. We dug into that this week with one of our experts from Johns Hopkins. That's right, Jason, And it was a week where we saw global virus cases top twenty four million. We cut up with Dr Tangela Pernell Johns Hopkins Bloomberg School of Public Health about the latest headlines on the virus and also about the concept of health disparities that have really been brought to light

as a result of COVID nineteen. At first, like would like to thank both of you for having you here. It is indeed an honor to be able to talk about, you know, some of our work and so, as you correctly alluded to, this is a problem worldwide, but in particularly, this is a problem for the exact same disadvantaged populations that are typically the same population that you see experiencing health disparities and health inequities from a variety of different causes.

So UM, you know, we at the Johns Hopkins that have been Health Institute and also at the Center for Health Equity, we UM have a series of different approaches to try and tackle this problem. So obviously we do research that involves vulnerable populations. We do this work in conjunction with our community and the patient stakeholder partners who actually have a voice at the table and helping to really help us design, implement, and also disseminate our finding.

Another approach is really our education and training. Unfortunately, we know that all of these problems in these disparities are truly just rooted in generational inequities and it won't be all fixed Unfortunately, it doesn't appear that it will all

be fixed in one generation. And so another thing that we really focus on is really training the next generation of health equity researchers or public health practitioners so that we can make sure that this work continues, so that the gains that we achieve, you know, we'll also be able to keep those games. Dr Purnell, I think we wonder too, Like it's interesting one of the stories we're

focusing on. Jason and I were just talking about it that you know, Abbot coming out and saying they've got, you know, a fifteen minute test for the virus and getting ready to ramp it up right, And we've talked about how we need to have systems in place that help us get control of the virus for everyone. And I do wonder we've had lots of conversations, certainly because of this pandemic, about the inequalities uh, in terms of access to health care and good health care among different communities.

So what things, as you say, you talk with people in these communities, UH, they've got a place at the table what needs to be done. And I do wonder if there are things coming out of this crisis, whether it's telemedicine or other things that will make a difference. Absolutely, So I think that you know there this answer is twofold.

So first of all, in terms of access to testing, you're absolutely right, you know and saying that we know that there's not equal access, and in particular, even as we get these advances in technology, for example, rapid testing, we also know that, um the dissemination of this is not equal among different communities, in particularly the communities that

were already disadvantaged. So I think that one of the things that we need to keep in mind is that as we are trying novel approaches to really get this virus under control, we have to think about, well, what are the structural barriers to people who are living, for example, and neighborhoods that don't have easy access to testing. We need to think about things like not necessarily requiring cars. Think about at the beginning of this, many people have to have a car to drive up to get tested.

We need to think about things like are people able to get tested as they are asymptomatic? Are people able to get tested without a physician prescription? So all of these things could really be a barrier to people who

are already disadvantaged by this system. And then, you know, in terms of thinking about longer term what we need to do within these communities, I really really need to take a look at this and realize that COVID nineteen is not some magical unicorns that just came out of nowhere and then all of a sudden um disproportionately impacted

certain groups of people. What it did was really open our eyes to the facts, you know, more mainstreams that there are pockets of society who have not been properly taken care of by society, and we need to be committed to the long term work of addressing these structural barriers so that the next virus or the next whatever don't continue to be the things that keeps happening. You know,

enough is enough with this. That's Tandela per Now from the Johns Hopkins Bloomberg School up Public Health and of course the Johns Hopkins Bloomberg School of Public Health supported by Michael R. Bloomberg, founder of Bloomberg LP and Bloomberg Philanthropies. They are really our go to voice to really understand all of the headlines that are coming out on a daily basis. Jason and give us some perspective on where

we are in this fight against COVID nineteen. Well, and it was an interesting week two because we started by talking about convalescent plasma. We ended up, you know, maybe taking a slightly different view of the world, especially as we think about getting back to school, talking about testing, but also underneath it all, as you pointed out, inequality.

It has come to the four Yeah. Absolutely. I mean she talks so much about health disparities and she says, you know, Americans are just starting to learn about this um but it has definitely been a conversation that we have talked about a lot these inequalities when it comes to healthcare. And speaking of inequalities, we are seeing that a lot big time in Silicon Valley. Coming up Bloomberg News Enterprise technology reporter Nico Grant, he digs deep into

the race sism in Silicon Valley. It's unbelievable stories, right.

Sydney Sykes is a young woman who came out of Harvard had so much potential in her career in venture capital after working at a consulting firm, and she worked at New Enterprise Associates ANYA, which is pretty prominent in Silicon Valley, and when she introduced talented black entrepreneurs to some of her white colleagues, she said she'd feel the chemistry in the room, sour um, the wet entrepreneurs, the white investors pardon me, always said the same thing afterwards,

that they just couldn't get excited about the idea or the person. She said, the same thing happened when there was a referral for a black candidate for a job in vc UM and she had to leave the industry. More from Blueberg's Nico Grant. That's coming up next. Stay tuned. This is Bloomberg. You're listening to Bloomberg Business Week with

Carol Masser and Jason Kelly from Bloomberg Radio. Jason, this next half hour, we're gonna look at two industries where blacks and minorities are finding it difficult to have a presence. And first up, this is a story that's on the Bloomberg and at Bloomberg dot com that caught our attention and it really should. That's right. Niko Grant, he's one of our top reporters out on the West Coast, has

written some terrific stuff about Silicon Valleys. Some of the big players there This week he tackles Silicon Valleys quiet racism. We caught up with Nico and here's what he had

to say. When the national conversation about race and inequality got under way earlier this year, I realized speaking with um you know, people who work in tech and and work in venture capital, that there was this strain um of you know, guilt and reflection that was happening among some of the people who had been most successful in in this system as black individuals, and so specifically, the story delves into how people are coming to terms with

feeling like their colleagues haven't seen or acknowledged the problem of racism in the valley, and also grappling with you know, one's own decisions, UM one's you know, complicity in in this system that has prevented other people from entering the

tech industry. And you know, the VC industry is so crucial because they make decisions that have disproportionate impact on what the tech industry looks like UM for you know, in corporate terms, generations to come, and so preventing black entrepreneurs from succeeding then has knocked on effects of the diversity of the company that are being built and being

funded and are successful and so forth. Man the first person accounts that you have um niko from some of the individuals, the black um venture capitalist viel or those within Silicon Valley and the stories that they had to tell. Tell us a little bit about that, share that with our our our listeners. You you talk about um, Sydney Sykes and also Tyson Clark um tell us a little bit about who they are and some of their experiences. Right.

Sydney Sykes is a young woman who came out of Harvard, had so much potential in her career in venture capital after working at a consulting firm, and she worked at New Enterprise Associates ANYA, which is pretty prominent in Silicon Valley, and when she introduced talented black entrepreneurs to some of her white colleagues, she said she'd feel the chemistry in

the room sour um. The white entrepreneurs, the white investors pardon me, always said the same thing afterwards, that they just couldn't get excited about the idea or the person. She said. The same thing happened when there was a referral for a black candidate for a job in vc UM and she had to leave the industry um in the end in because of the stress of being the

only black person in the room. You know, Tyson Clark is one of the most prominent black vcs in Silicon Valley by dent of working at g V formerly Google Ventures at alphabet UM and he, you know, said that he just felt so guilty about what he had done and what he hadn't done. He said, have I been so complicit um to have traded success for not making

a difference? And really was facing this incredibly poignant personal reckoning about his role in the industry and the ways that he felt he had to contort himself over the course of his career to be acceptable in white institutions. Well, and the quotes in this story are are really I'll

just sit there jarring in in many ways. And one of the things, and and sort of building on what you were just talking about, Nico, is this quote from from Psychs when she says, you feel have to and I'm quoting here, you feel you have to be a model minority, the best black person. If you mess it up, you ruin it not just for you, but for everyone

who looks like you. And so you talked about the contortion the that he talked about, but in this case, she's talking about the pressure on her and a lot of those very very few people who happen to be black and successful in Silicon Valley. Absolutely, And you know what's interesting is that these are all very ambitious people. These are very well educated people. They are um, you know, just absolutely brilliant, and yet they feel, in some instances

is imposter syndrome. Um about you know, having to say what they think about a business when they don't feel um, you know, fully accepted in a room, or you know, they're certainly the only ones there. And that's Nico Grant. He looks after enterprise technology, but so much more for us out in San Francisco, Silicon Valley, it is really in the midst of an existential crisis. It's not about

the virus so much anymore. The Northern California area. While it's certainly wrestled with that early on, now it's wrestling with something even bigger. It's wrestling with really its own soul. You're listening to Bloomberg business Week coming up, the founder and CEO of Harlem Film talks about supporting independent and marginalized filmmakers in New York City, and just like black entrepreneurs in Silicon Valley, black filmmakers are also having trouble

finding funding. This is Bloomberg. You're listening to Bloomberg Business Week with Carol Masser and Jason Kelly from Bloomberg Radio. Carol, We're going to keep the focus on race this half hour and look at another industry where blacks minorities are finding it difficult to thrive. This isn't new, but we're bringing more attention to it and maybe just maybe a

little bit of optimism. Well, it was the favorite interview, no doubt about it, Jason for us over the last week, and it was with the founder of the Harlem Filmhouse. They do workshops, film festivals, but they're also about finding the support for independent and marginalized filmmakers in New York City. We caught up with the amazing cr Caper. She's the founder and CEO of Harlem Filmhouse. Check it out. I am a huge fan. It is super dope to be here.

I appreciate you guy. I really appreciate you guys, particularly on being on Bloomberg and being on Bloomberg Business and allowing people to understand that you know, this is a business, even though it is in the arts, still a business, and we still need to support marginalized filmmakers with the business of films. So right, well, well, thank you so much. It's very nice of you to say, and uh, we're excited about the work you're doing. Tell us about it.

Tell us what Harlem Filmhouses just like from the ground up. Well, from the ground up. We are a five oh one c corporation. We produce film and music festivals. We operate year round workshops, theater productions, and live events, while also offering business consulting to filmmakers and content creators and underserved

communities around the world. So what we're really talking about is creating an economic ecosystem by providing filmmakers services and resources to ensure the longevity of their careers and film, theater and related entrepreneurial pursuits such as producing learning what the other jobs are in the industry that actually create economy,

jobs and sustenance for families. I gotta say, c R. You know, we have talked to some different folks, Jane Rosenthal of Tribeca and some other you know, uh, individuals, producers who are writing series for some of the streaming folks. I mean, content has had such a tough time in the pandemic, right because you just couldn't go around like most of us, You couldn't go about, you know, doing

what you do normally. But in particular content creation. It's a lot of people, often in a close case, very close to one another, tell us how the pandemic has impacted you, guys, and really the communities that you serve well for us, because we're often overlooked, you will find that there is more than enough content to service the world for at least three to five years without repeat.

And that's the thing. It really draws to attention the people that were overlooked, because now you have all this amazing content that's been overlooked for years, is from these marginalized communities, but who are actually creating and have created the content that drives culture forward, that drives box office numbers and apps and all of these things. If you look at any of the apps and particularly in the

business models that created, they reside on content. And the creators of that content are the young people, are folks who embrace the culture of hip hop globally. They're the ones creating the content that people are actually wanting to see. So then when you take that and you look at it and say, well, what are these people creating Beyond these clips, They're actually creating shorts, movies and things that

are in that same vein. So what the pandemic has taught us is number one, this is the perfect opportunity to introduce the world too, uh content creators from around the world, regardless of color, who embrace this culture and the spirit of entrepreneurism and give in the world something

fresh and new. Second, it allows us to really hone in on the fact that while people are getting back to work in productions, that they do need to do it safely, and how do we provide that by offering workshops and classes around the compliance with COVID, letting them understand what you know, distance means, cleaning equipment and keeping

those sets safe. We combined and created a unique collective called black Bill, where it's not just about black creatives and you know, creating opportunities, but it's also about keeping smaller production safe. We're gonna launch an initiative to make sure that we have people on every set, get them COVID compliance so that they can earn money and keep production small productions safe because as you know, we're not

protected like the big studios. We're overlooked, um, so it's up to us to make sure that everyone is say regardless of color, but according to economic income and so cr You know, one of the things I'm so interested in your background is instead of going to film school, as I understand it, you just like went out and got a camera. You started making films. That's how you

got into this. So you understand it literally from as we sort of said, getting from from the ground up, I would imagine this new world order that we're living in actually in some ways plays to the strengths of being sort of small and nimble, right, And you got it right. So you guys have heard of the phrase too big to fail, which is small to fail, right,

which is it's important. So it's like, you know, all the big guys, Oh my god, there you know this big behe miss film festivals and they're great, trust me. We work with sun Dance, awesome organization. But you know it does it is too it is too big to operate and too big to be swift and nimble, which is what is needed right now. But I just can I just say that is such a really important point.

Too small to fail, Jason, I talked about it kind of more broadly um CR and just the importance of saving small business, and many of our guests do as well, that it is so important to the economy. It's not just about the big guys out there, especially getting through this pandemic. So we're going to come back and talk some more because I think that is um a really interesting part of this conversation and a really important one, Jason.

You know, CR. Sometimes the stars just a line and other people are thinking about the same things we are, And that was the case this week with the New York Times, because they have a terrific piece and kindily a troubling one about the Criterion Collection. Anyone who cares about movies knows the Criterion Collection that's studied in film schools.

You know, I love the Criterion Collection as someone who loves movies, and yet its own president coming out and based they're saying, we've done a really crummy job with featuring black directors and films made by black people. How do we fix it? Well, Number one is for you to give them my direct number and we can start that conversation there number two. Um. I think sometimes we do get caught up in the word black and Medalin. It's about telling everyone's story, not just black, or asia

or or white. We are a plethora of communities and cultures. Like you can say black, but does that also include West Indian community? Does that also include people with a more Southern twang to their culture but have an excess of melanin in their skin? So we really have to think about not just assigning a color to our human experience, but then also being inclusive of everyone's story. So go ahead and give him my number. We have a lot

to talk about. For instance, does he understand the complex uh social narrative that's embedded in a very old school movie called Hollywood Shuffle that was directed by Robert Townsend. Does he understand the complexity in old seventies movie called A five on the black hand side? Movies that aren't typically seen as you know important, are super important to the culture and have taught people how to live or to be accepting of another human being, whether it be

in a humorous way or funny way. The cultural significance of Blazing Saddle alone, why is that not? You know what I'm saying so definitely lend to a conversation of

who's making a decision and why does only their opinion count? Right? Well, we keep talking about is that you don't have black and minorities represented well in the higher echelons of pick your industry, and as a result, old projects don't get brought along, You don't have a seat at the table that helps to cultivate filmmakers and give them these opportunities. But but tell me you're seeing it firsthand. What's going on?

Why aren't we seeing a bigger presence of black smnority, especially when it comes to making films, because no one cares about our voice. It's that simple. Can you imagine what it's like to be locked in a room and constantly screaming and screaming and people just walking by, just completely oblivious to you. That's what it is. I can tell you from personal experience myself, how often I have reached out to distributors and said, listen, we're not asking

for a hand out, we just want equitable opportunity. Why can't we get someone from Netflix to attend our festival. I can't even begin to tell you how frustrating it is, how horrible and how hurtful it is to be on the phone with these people and for them to basically either ghost you or tell you that you know, basically we don't think you're importantly now. That's ther Caper is the futer and CEO of Harlem Filmhouse, and Jason, I gotta say one of the things that stayed with me

from our discussion with her. First of all, I loved her energy and what she's trying to do. But you mentioned how these independent, often minority filmmakers are too small to fail. She says, so easy to keep them going with just a little bit of support, and how they are necessary voices to have in today's filmmaking industry. Well, and the other thing I took away from it is there are a lot of movies to watch that maybe

don't get as much attention. And uh, looking forward to getting that list from her, that homework assignment, and to check back in down the line with cr Capers. Well, that wraps up the first hour of the weekend edition of Bloomberg Business Week right here on Bloomberg Radio. I'm Jason Kelly and I'm Carol Mass. Are plenty coming up in our next hour, including a special interview in Pursuits. It's with Louis Vutan's menswear artistic director. He talks about diversity,

he talks about the virus. He talks about the fashion world and what's next, especially when it comes to digital plus. It wouldn't be you and me, it wouldn't be Bloomberg Business Week if we didn't talk a little bit about fitness. And we don't use this word lightly icon Jake Steinfeldt. We're talking about body by Jake. We caught up with him in Los Angeles. He's got some tips for staying healthy in the pandemic. I just want a little bit of his energy. This is Bloomberg. This is Bloomberg Business

Week from Bloomberg Radio. Hi am Carol Masser and I'm Jason Kelly. Welcome back to Bloomberg Business Week. Well it's week twenty four. As you pointed out at the top of the show, Carol from working from home, and we get to the end of the week and we sigh a bit every week because our world hasn't changed that much. This week, I have to say, though, felt even heavier.

We talked a lot in the last hour about different industries facing structural racism, but this week we were reminded in some ways just how far we have to go. Another black man shot by police in Wisconsin. The protests that ensued not just there in Kenosha, but even into the world of sports, professional athletes boycotting games, trying to send a message that this will not stand. It really rippled even deeper into society. That's right, Jason, And as

you said, a really heavy week. I mean, at on top of that, millions of Americans having to abandon their home as a result of Hurricane Laura, so that devastation, and then let's not forget, I mean, on the political front, we were also wrapping out the Republican National Convention, so safe to say, so much going on, and then we constantly are watching what's going on, the latest headlines when it comes to COVID nineteen and also how the economy

comes back. One of the voices that we looked forward to talking with, and this has to do with the small business world, is Rob for a Wine. He's the founder and ce of Cave Age, so he caught up with him about small business lending. And also he's been pretty busy because he's got a new deal with American Express It was great to catch up with him because he provided some real insights into what this looks like on the ground, the virus and the economic impact it

is having on real people. We also know that it's having an effect on all of our bodies. Candidly, we're trying to figure out how to cope with this emotionally and physically. We were really excited and I think energized to talk to the man himself, Jake Steinfeld. We're talking about Body by Jake. He invented the fitness business in many ways forty years ago. He gave us a little dose of optimism, Yeah, some optimism, and he had a pivot. He had to learn about digital from his son, So

that was kind of fun to hear. Speaking of pivoting. That's what everyone has had to do during the pandemic, and that includes one of the voices in this week's magazine. In Pursuits, Louis Vatan's menswear artistic director. We're talking about Virgil Ablow. He's also CEO of the Milan based label Off White. He caught up with Bloomberg's and Marie Horden and they talked about many things. The viruses impact on fashion transition to digital and also diversity. A lot of

it is how I approach my advocacy. You know, I found that. You know, being me, being one of the few black designers at the head of a Parisian fashion house gives me a unique opportunity to sort of lead in that space. You know, I've started my Postmodern Scholarship Fund, which works at the education level to make sure that there's inroads kept for young black designers to work in

the fashion space. All the way to my show in Shanghai was largely created by an all black creative team, just to showcase the state of the art and how diversity and inclusivity can lead to great results. Your website also talks about how your advocacy looks different. What does

it actually look like? Walk us through that? Yeah, indeed, you know, part of my advocacy is fundraising, you putting dollars where it matters to sort of make sure students are entering the road to having a career in design, fashion creativity. But that's not all that it encompasses. You know, A lot of that is leading by example. Um, you know, I'm the head of a house, so how I build my collections, how I represent black culture. How I represent black d NA is important, you know, and then as well,

you know, I'm supremely focused on mentorship. You know, I think that there's this this is critical point in everyone's career in order to sort of receive the right advice to sort of work in the right position. And all those sort of different spheres are important to how I approach my advocacy. Talking about looking internally, especially big big corporations are thinking, or you know, we asked them on Bloomberg Television. You know, is it time to start implementing metrics?

Do you think a system like metrics would work for diversity? For this system to change, to eradicate systemic racism, all tools need to be used, you know. I think that we want to see this at the grassroots level all the way to the level that the consumer can feel it, to show that we're committed to it. So for me, on my hand, I advocate all tools to sort of root out as systemic racism. Has your leadership changed, I

think my leadership has changed. You know, I would agree with that statement of uh me being the one of the foremost figures in design as well as being a black male. There's a unique opportunity for me to seize to to be a leading voice, to sort of lead by example. My post Modern Scholarship Fund was announced as my wide sweeping effort um to tackle that and also roll up my sleeves and showcase the work that I've believed in since I started UM. So you know, I

welcome the challenge and I'm taking it to heart. Virgil, You've collaborated with I mean, the list is just ongoing. Yeah, Nike, Evian, Ikea. Then you have the personalities Kanye West, Serena Williams. You've showed at our institutes in Chicago, in Atlanta. You DJ. I don't know when you find the time for it, but you also DJ with a resume like that. What

is next for Virgil Outblow? You know, you know what's next for me is eradicating systemic racism and showing how like inclusivity and a positive mind can be the forefront of creative business. You know, I think if I look at a bird's eye view of my career, I started from humble beginnings, you know. I started UM an architecture that wasn't so adjacent to fashion, and by hard work, a lot of traveling, a lot of persistence. I've been able to achieve great things. But for me, it's not

about achieving great things for myself. It's opening doors for those just like me behind me and making sure that they can follow my path. That's in this week's pursuit, so check it out. Louis Vutan's men's wear artistic director of Virgil Alblow catching up with Bloomberg's and Marie Horden.

You know, it's a business that's learned to pivot. So many businesses having to figure out how to operate Jason in this environment or to just survive, and that's going to be the subject of our next conversation coming up with the CEO of Cabbage. This is Bloomberg. You're listening to Bloomberg Business Week with Carol Masser and Jason Kelly from Bloomberg Radio. The elle small business lender Cabbage. Jason,

we know they have been so busy. They shared with us that they process some seven billion in Paycheck Protection Program or p p P loans. They provided support as a result about three hundred thousand small businesses and they've done a deal with American Express. So we had to catch up with someone who was a friend to the show. We're talking about the CEO and founder of Cabbage, Rob Froein, and you know, he gave us a real detailed picture of what he calls the real lifeblood of the US economy.

We're talking about small business. As for that m X deal, well he couldn't say too much, but check it out. We're obviously in a in a phase where we're between sign and close, So right there's not a lot I can talk about right now other than obviously we have executed the relationship and working towards closed, which we expect

to be later on this year. That's huge and in a real tribute to I know the hard work you and the team have been doing and and truly how deeply you have integrated to yourself into the small business world. So let's talk about that, because when you were last here, I think it was back in March, this was sort of all getting underway and this relief was starting to come through and we didn't know exactly how it was going to work, and you helped walk us through that.

What have you learned. What's the biggest thing we need to understand about P P P H and how it all played out? The uh wow, would a big question. It was, without a doubt, the craziest period of my life and my my colleagues lives. Um, there was information that was coming in NonStop. Rules changing, uh quite, you know, application changing constantly. You just had to really be prepared for anything. Uh. And you also, it was a great

lesson in business for me. None of us have a playbook for for the crisis, but a great lesson that you have to really work multiple options on every path of your business in order to make sure you're prepared for for something this enormous. Yeah, right, exactly. Well, that's interesting. I got it. There's a couple different places I want to go. First, I want to ask you there that Rob, because of your experience, exposure and role in the p

p P program, do you think it works? So, you know, I think what it what it did, was it it helped, It has helped businesses get through a period of time. But uh, you know, it's one of those situations where we can't stop there. You know, this is something that would help small businesses get over a really challenging period. Now they have to rebuild and then they have to grow. So I feel like we're a third of the way there.

In terms of helping small businesses, and we can't stop now or else we you know, in my opinion, we lose all the benefit of everything that we've worked so hard to do, which has helped these businesses get through this period. We have to we have to figure out how to help them get through the next period of time. So more money is what you're saying from the government. Yeah, I think it's more. Yeah, more, I think more aid

without a doubt needs needs to happen. Uh, there are a lot of businesses that you have suffered very significantly. We're gonna have to look at other ways to help them sort of manage their expenses on a go forward basis and allow them to to rebuild. We all still need the services of all these small businesses, and allowing millions of these businesses to go out of this nous

is not the answer. It's just not the answer. So, Rob, what did you learn about the process in terms of how something like this can and should be executed in terms of just the sheer process, I guess, uh, and the logistics of sort of getting the money from the government to the businesses. You were right in the middle of that. What did we learn about staying positive, like what works in terms of how to fell out forms, or what sorts of information or or what what were

the things that you picked up along the way. Well, one thing I sort of came to realize that if this pandemic had happened fifteen years ago, first of all, we wouldn't have zoom uh and the and the ability to do the kind of conference thing we did, so that that was not lost on me. But also a company like Cabbage would not have been around to serve a very long tail of small business So whatever we

can do to further automate the process. Remember, there's been maybe four and a half or five million businesses serve there are actually thirty million small businesses in the US. And even if you take out some of the extraneous you know, ll c s and other businesses that don't have any employees, UM, you're still talking about well over ten million small businesses. So what's happening with them? You know?

So figuring out a process where you can you know, allow companies like Cabbage to serve large numbers of small businesses is really important. Getting access to government data, allowing you know, tax information, you know, more access to data, UM, easier and quicker ways for small businesses to fill out forms, keeping things really simple. Again, a lot of these small business owners are doing what they're doing because they're amazing

at that craft or skill or trade. They're not accountants, they're not sophisticated financial experts, so trying to figure out how to make it easier for them to be able to get through the process is really hyper So Rob, I just want to go back to you know, I said before the break about what your average loan is. At least the p p P loan was about a little bit over twenty three and then the average I guess of all loans are under I mean, when we

talk about small business owners, they're really small business. They don't necessarily need a ton of money to survive, but a little money goes a long way to keeping their business alive. Yeah, for sure. And look, you know, you know, I think a lot of people look at them and think these just you know, small loans or micro loans.

But for a lot of these people, these are these are important loans represent a month or two months of income or or wages that they're paying others hyper critical funds, and I think a lot of times everybody wants to think of the definition that you know, the I. R. S or large bank might use for a small business, which is, hey, any business generating only between ten and

fifty million dollars. The real lifeblood of our community, of our economy are these really small businesses that are coming in and fixing things in your home, you know, running the local retail store, the local dry cleaner. These are the real heroes of our economy and are really and really fuel a lot of the jobs in the economy. Are people able to hang on? Are they starting to

see any sort of return to normal? We get so much political rhetoric around this, especially around small businesses, and I know it varies from place to place where you are in the country, but even where you are, what, what's the sense that you get of how small businesses are doing overall? Yeah, I would say overall. You know, there's there's kind of a feast or famine mentality out

there right now. Some businesses are doing as well or even a little bit better than they were doing before, depending on the you know, on the area of business they focus on, and some are still devastated. Uh, and those businesses will never recover. And that's Rob for a one, the founder and CEO of Cabbage. Great to have him back with us, a real check in in terms of

where small businesses are. We I think Carol understood sort of intellectually how important small businesses were before the pandemic. During the pandemic, it's become much more visceral in a lot of ways, and so to hear the numbers from him, the stories of how small businesses have coped or not through all of this was really an eye opener. Coming up, we've got a small business owner, she's just launched a platform for female athletes. Will catch up with her. And

then someone who's been around for forty years. It's a name, you know, when it comes to the world of fitness, an icon to say the least. This is Bloomberg. You're listening to Bloomberg Business Week with Carol Masser and Jason Kelly from Bloomberg Radio. This half hour, Jason, We've got two interviews to perspectives in the sports and fitness space. One who has had to empower women and female athletes. The other started empowering others decades ago to take control

of the physical well being. He's an undisputed legend in the fitness world. Both entrepreneurs. But first up, let's talk about the newbie. Absolutely, staph Strack is her name. She was the CEO of Rag and Bone. That's a familiar name in your closet. Now she's the founder and CEO of Voice in Sport. They call it VIZ. They just launched. It's a platform for young female athletes. Check it out Voice in Sport or ZIZ as we like to call it.

In our community. Um, first and foremost, we are a community and at the heart of our community is the voice of female athletes. That's at the center of everything we do. So we're really bringing this new platform to life. We call it a sports advocacy platform, and our goal is to provide girls with access to content, mentorship, and

ultimately advocacy tools. So why now, Well, you know it's I've been an athlete my whole life and I went growing up here in Alaska and then also into Division one soccer, and during my journey and sports I had so many challenges and I think now having a daughter who's seven years old and fourteen years of experience in the sports industry at Nike, I felt like not enough has changed and for this next generation that's coming up

behind us, I think they deserve something better. So ultimately, about a year ago, I decided to break off from kind of the corporate world and start Z and I think now more than ever, especially with what's happening around the world, these girls in sport really do need a community um to keep inspired and to support each other in their journey. And the word community stuff is something that so resonates with me in terms of what you're

doing right. It's not just about Okay, here's a place where you can go for information, but Jason and I both like working with the younger generation and rite helping other journalists, you know, younger journalists come along. And I feel like that's what you are reaching out to do, especially when I think when you're young and you're you know, building up your sport or you know whatever, there's a

lot of different forces kind of pulling on you. And so it sounds like you're creating that community to kind of here's how you do it, here's what you need to watch out for. Yeah, that's right. I mean, I think we all know that one of the biggest reasons why girl fall to sport is just lack of support or lack of visibility to each other, or lack of

visibility to resources. So I know, certainly growing up in Alaska and not having access to some of you know, the pros and some of the content or coaches or you know, even nutritionists, that I really could have used a community to help me in my journey. And so ultimately, I think it's going to be one of the biggest missing pieces in the sports industry right now, is that community at the center of a new company that ultimately has you know, the best interests of these young girls

at heart well. And the timing is so interesting to Steff just given the focus in a very positive way that it feels like the last couple of years has come to female athletes, especially young female athletes, a lot of new role models, uh, in a great way. What has happened that has sort of brought that to the four It feels like it was something that was waiting to happen and now hopefully and maybe I'm being overly optimistic, is happening in a bigger way here. Yeah, I know.

I think it's interesting. There was like this really strong movement that I felt happening right after the Women's World Cup um when the US one, and I think that right at that moment, I started to feel like, wow, there's this moment and and really I think these girls really propelled that and started to accelerate that for all of us across the world. And at that moment, that's actually when I decided to leave my my job at

Rag and Bone and start this company. But the interesting thing is is when when you really dig into it, um, what is missing is community. And I think that products and materialistic things are are important and they bring joy, but when you go through a pandemic and you go through you know, kind of what we're all going through together, you start realizing that those connections to each other is

what really matters. And so I'm you know, I'm so proud of building this with all of these young female athletes because you see the power of how those connections can create, you know, long term effects for these girls. You talked a little bit to us about sort of the community that you're building, but part of the community that's so interesting to me is this group that you've brought together across all sorts of sports, both collegiate and um Olympic sports to kind of create the community We're

talking about Mary Kane, well known runner. We're talking about Elena Smith and like so many people, Uh tell us who who you've been talking to and what they've been contributing. Yeah, thank you. I mean, I'm I'm so proud to have built this this platform with all these amazing female athletes. It's been like like sports a true like team efforts.

So we have sort of these three key roles within our community that we're launching with and one of them is called the VIZ League, and that's a group of ninety professional and collegiate athletes, some of which are Olympic athletes also from Alaska. Kegan Randall is part of this group. It's um has to give a shout out to her um. But those those nine pro and collegiate athletes are female athletes that are dedicated to mentor the younger generation and

that steps track of VIZ. They're building an independent, community based platform. It's for female athletes. We're talking about young folks aged twelve to twenty two. And I love it, Jason, because it's content, it's mentoring, its advocacy, it's really giving female athletes a way to elevate their voice. So cool.

Absolutely you're listening to Bloomberg Business Week. When you think about entrepreneurs in the fitness and athletic world like stuff Strack, they might be taking some inspiration from our next guests. We're talking about Jake Steinfeld Body. Bye, Jake, that's coming up. This is Bloomberg. You're listening to Bloomberg Business Week with

Carol Masser and Jason Kelly from Bloomberg Radio. So, Jason, what I love about our show is you never really know who might show up, but one thing you can count on, and that is that we are going to be talking about fitness, including with someone who is an undisputed legend in the fitness world. You know him as Body By Jake. We're talking about Jake Steinfeld and man a dose of positivity. We needed to wrap up this week's show. We caught up with him in l A

and we set some ground rules. We were going to be positive. And it has been very challenging for for all Americans, right, I mean, you know, uh, since the pandemic hit in March. Uh, people have been locked in, locked down. You know you look at businesses and people and families. Uh. I have my wife and we have four kids. Uh, spread around the country and around the world,

and it's it has been very challenging. But interestingly enough, when this pandemic hit, guys, um I got vocals immediately from from folks like yourselves and CNN and Fox and ESPN saying, Jake, people are locked in their homes. Uh, gyms are closed, they're putting on weight, stress levels are high. You are the guy that created personal fitness training and made it a knocked patient and that's what I did.

You know. I went to people like Steven Spielberg and Harrison Ford's homes with a broomstick, a towel and a chair and sort of created a thirty minute workout that you could do in your home. And it's really interesting, guys, when you're able to just get a little creative. You know, when you're locked up, and whether it's an apartment or a condo or your house, you need to take a few minutes, just a few minutes you stand up and

get your blood flowing. Whether it's two kinds of MoMA's tomato paste or a broomstick that you could do some stretching, some squats, some lunges and just believe is stought to you know, I'm a big believer in positive thinking. I was given a poem when I was cut from my eighth grade basketball team true story, UH called don't quit and Uh. The last two lines of the poem are stick to the fight when your hottest hit. It's when

things seem worse that you must not quit. And it's it's a matter of changing those negative thoughts I can't do. I can so if you're obviously, if you're driving right now, you can squeeze your hands on the steering wheel and go do some isometrics. But if you're listening at home, you know, all you have to be doing, guys is and you can be doing right now in the studio Jason and Carroll um some isometric exercises that we have an official body by Jake. I've been antisocial media for

a very long time, kind of silly. Yes, it's been silly, and you know, but my two young sons were home from school and they got me engaged with it and we started posting up a little sixty second vignettes. Um, kind of like I did with Ted Turner, me my start doing the fitness break on Cable News network back. Uh and uh, just simple exercises that you can do. Look, exercise is very boring, if you admit we all admit it. Right,

If it was easy, everybody would be in great shape. Uh. But what you need to do is find something works for you that you can incorporate into your lifestyle. And now more than ever, especially because look, I've talked to so many gym owners, so many fitness studio owners who are working diligently to keep their places clean so they can open them. But people listen over the age of

fifty years old. I'm sixty two now, Um, you know you you need to be gautious to be saying so, Jake, tell us about this partnership with Curing Dr Pepper and the new nutrition shape that you guys have created called Don't Quit. Yes, yes, indeed, I will say this the folks secure Dr Pepper. The CEO Bob Game Court is you know. I'm sure you guys talked to lots and lots of business people. Um. I've been very blessed in my career to to to deal with CEOs, whether it's

fortune fifty entrepreneurs at all levels. Bob Game Corps is one of those kind of entrepreneurs at the at the corporate level that you don't rarely mind. Um, we got together. Uh, we saw an opportunity give the adult nutrition section where there are a couple of brands there right now, and I've got to tell you they're they're not very good

for you, very honestly, guys. There's a lot of chemicals and we wanted to create something that had a clean label that we have twenty six vitamins and minerals, no soy, no corn, no we no added added additives, Uh, gluten free, it's kosher or wait a second, it tastes delicious. I've been a protein drake guy since I'm thirteen years old. I was an overweight kid at a bad started growing up. My dad bought me a set of weights when I was thirteen and to change my life. And I'm I'm

a connoisseur on protein shakes. And I finally had an opportunity to work with a gentleman like Bob gam Court and the folks at l A Life Nations in California. Here we've come up with this is one of those things where the world is not looking for another nutrition shake, it just needs the best one, and we have it and we want everyone to try. Check it out at Don't Quit dot com. It just don't Quit dot com.

There are four original flavors chocolate, vanilla, y t and our insacle like creamsicle, which my favorite of all time. Uh and we have to max versions where the thirty grams of protein and one gram of sugar, chocolate and vanilla online right now, we've already sold out we we

launched last week. You want to talk about how passionate people are, especially fifty plus where especially now more than ever, Carol and Jayson, where we're desperate for hope and our health and we want to make sure that what we're doing and putting in our bodies is really good for us.

So you know, when you're exercising and nutrition they go hand in hand well, And it feels like that, I know it's not a revelation to you, but two more and more people, it feels like one of the things that folks have discovered when they are cooking at home more, spending more time at home, they are a little bit more focused on their bodies and what they're putting into

it and seeing those things. I mean, I would add in the idea and Caroline, I've talked a lot about this on this show that she and I notice, uh that because we're not commuting, we're getting more sleep. And you know, it all is sort of like this, this machine that we all have that is our bodies, Uh, does respond differently when you treat it well. And I love that you're taking I talk about the upwich spiral of success and looking at the positives as opposed to

the challenges. And I was never a big supplement taker, never a big vitamin taker, and I wanted to make sure a because it's expensive, and b because the more you take in, the more you you know, when you go to the bathroom you get rid of a lot of those by And here's an opportunity where I want to make sure that you are healthy. That especially you open the fridge in the morning and you see the words don't quit. What is that? I mean? You want to you want to talk about positive and mid day.

This is meant as a meal supplement, but people are already using it as a meal replacement. A lot of great recipes. Uh. Someone just sent in something to do vanilla don't quit pancakes. Unbelievable and it's that's actually brilliant. Great could cook it and we've I love the orange cicle with a banana, a couple of dates, some ice. We called it. Don't quit freeze there. If you you know I have a bad sweet tooth. You know I

I eat so I trained so I could eat. I tell people we if you if we go to dinner sometime, I like to eat like we're going to the electric chair. That's what I say. Because you know, you want to live your life, and as I said, what's super important is how you are mentally right. A lot of people right now, especially struggling, and it's all about taking that first step, at first moment of just moving your body

and doing something positive for yourself. And there are lots and lots of people, millions of folks who listen to you guys every day, and this is an unbelievable opportunity for me to spend some time with you all, but especially people in the Tri State areas where I grew up to do something positive and at this moment in time especially, don't quit. Don't quit on you, on your families, on who you are and how you're going to be

because as I said, right stick to the fight. When your hottest hit, it's when things seem worse that you must not quit. Listen, this is so important and this is why you know, Jason, I do talk to a lot of folks in the fitness industry because I think you know, we've seen in this virus, Jake. You know that for those who are unhealthy, this virus says hurt them that much more. And I do think about how we can make fitness much more available to more people,

make it accessible, make it cheaper. You just said it, and and it and it is and listen, it's important to you. People love. I love to go into a gym. It's great to see friends and people, but you have to make good decisions. And like I said in the earlier UH segment that we had spoke two lots of gym owners who are doing great things to keep their places clean and open. And I'm so proud of everybody in Jersey and New York open again. It's doing in a smart way. That's the way. We'll do it. Nice

and slow, nice and smooth. But especially folks over the age of fifty years old who are being smart. You gotta be careful, right, go out there and live your life, but do it in a positive way. And nutrition being healthy that. You know, I would never want to say that don't quit as a vaccine. But did I just say don't quit the vaccine? And that's Jake Steinfeld, you know, and better as body by Jake catching up with him.

I have to say it just sort of set me in a new direction, made me think about what I do, what I eat, but in a very positive way. Carol, and that wraps up the weekend edition of Bloomberg Business Week from Bloomberg Radio. Thanks for joining us. I'm Carol Masser and I'm Jason Kelly. Be sure to tune into Bloomberg Business Week Radio, our daily show live Monday through Friday, starting at two pm Wall Street Time. You can also

watch the show live on YouTube. Just search for Bloomberg Global News and catch everything we do via podcast every day, but also special editions like our Business Week Extra. Right. It's a really cool conversation, Jason. It's with Peter Atwater. He's a listener of the show. He's also an adjunct lecturer in the economics department at William and Mary. And as we all try to figure out what kind of economic recovery we are having, we've all seen different letters

to describe it. He has talked about a K shape recovery and the whole point of this is that for some the pandemic really hasn't impacted them that much. For others, as we know, it's been really tough times. I love this conversation. We'll be back right here next week at the same time. Stay safe everyone. This is Bloomberg. H