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Peter Scher is at a macro strategy academy Securities. They have a real study of geopolitics and military affairs over arching their finance, which is wonderful for the guy with the incredible acclaim out of Waterloo and Vanderbilt over the years. Is the stock market dislocated from our geopolitics?
I think it's behaving fairly this morning.
I would have expected maybe down one percent, But I think the reality is if this blockad can be implemented in such way that the ceasefire is not broken, it's fine. I think that's the risk though, is that this just causes some degree of escalation.
World War two analyze return seventeen percent per year, Korean War eighteen percent per year, Vietnam single digit six percent per year, Gulf War twelve percent per year, Iraq War ten percent per year. All up, stock markets do well in military conflict, don't they?
They have in the past, and I think they could do again over time with this one as well. Again, we Russia Ukraine have been in conflict and stocks have generally done pretty well. I think this time, though, we've got to be a little bit cautious, because I feel like this is more once again a shifting of the world order, and some of the prior conflicts actually shift of the world order heavily in favor of the US. This seems to be kind of a continuing this theme of deglobalization.
Where are people going for safety or hedging at the moment? I mean, you look at the dollar and had a great week last week. You look Bitcoin down about one percent. Where are people diversifying, if you will, away from exposure to equities?
You know, things that I still like are what we've been calling production for security, So anything that the US needs to produce domestically they should be buying. You look at Intel. Intel had a phenomenal week. That would be in there. I think energy companies, rarest critical minerals. I think you're going to see some you know, good plays continuing in the nuclear sector. You're seeing the same thing
in Europe. You're seeing Nokia do well BP shall So I think everyone's going, what do countries need to make more of their own buy those stocks, Those companies will benefit from this kind of deglobalization.
So if the ceasefire holds, you say, hey, look, even if we're able to successfully block the straight up Hormos, no big deal.
I think there's only been three or four ships going through as it is, So if it kind of goes smoothly, no big deal. The flips the positive side would be if we're actually in there clearing up minds, that would be an awesome step for it. Right all of a sudden, you're potentially opening it.
The flip side.
The bat negative side would be if we, you know, get China involve somehow things could go wrong or does this cause the hoodies to do something in the Red Sea. That's to me that's the escalation risk, and or if Iran goes back after Saudi Arabia's pipeline. So I could see this playing either way. I think that's what we're all sitting there watching, is one what does the military actually do, what does this blockade look like?
And from there we'll get a better sense of what the risks are.
I mean, I think that's the big question. You can say it, but in practice, how do we block Iranian oil from getting to the rest of the world. I think you bring up an excellent point with China because I think the one country here that could get really hurt is China because how would they get their oil. It's heavily dependent.
On a run.
Right.
So now China, though, did stockpile I think a billion barrels of oil. I'm sure they're depleting some of that, so they've got some wiggle room there. The other thing that we don't know is how much economic pressure this really puts on a rank. Clearly it puts economic pressure, but do they have one months of savings, three months of savings, six months of savings?
Have they struck deals?
I think it's not going to work as well economically as the administration.
I mean, it's the earning season here in a moment. But Peter Cheer, I think we need to clarify. This is great this morning on this we have moved from the hysteria of a blockade. I think it was two days ago, correct me, Alexis if I'm red Sex, it was a long weekend. We've moved from a total blockade. The world's coming to an end to now a blockade of Iranian port traffic, which AI tells me is ten to eleven percent of the oil flow of the Persian Gulf.
So we're not blockading Kuwait. We're blockading one and eleven barrels one in ten barrels right right.
And I think that's to me the one thing A couple of our CAAA people in particular are always careful about this, but some of our generals as well, is everything that is said by either the President or the Secretary of War has a political angle. Everything that the military says and done is meant to be a political So that's where you're getting the real story of what's going on.
What's the real story right now that we don't know?
I think until we see what actually gets put out there in display what we're actually doing. And again, I would love to see our ships go into the strait and actually do the mind sweeping.
I think that would be great.
Are they at risk if they do that? What do your ediminals in general say?
I think they're definitely at risk.
And that is you know what I think everyone's trying to figure out is we've had these three or four days or maybe a week where cost sides are bringing out more weapons. Who has what? It's kind of like those old six shooter movies. You know, everyone's counting the bullets. I think we're trying to figure out what the RAN has left. They're trying to figure out what we have.
John Bolton with Bloomberg this weekend. We're going to play that later, really brilliant interview with attentions here in her moves. Bolton didn't dodger. Bolton didn't mince words at all. Okay, I want to get back to the earning season. Gulden secs starting us off in twenty minutes as well. I saw in the Zeitgeist this weekend some number, which of course I can't remember because they had a beverage in
my hand. Let's go to AI, Peter Shre. Mag seven makes up forty percent of earnings growth, the growthiness of earnings two years ago. Now they maybe make up twenty some percent. Is that diminishing? Are we going to have a Meg seven earnings growth this time around?
You know, I think the Mags seven and Compasses come companies that aren't necessarily part of the AI story the way they once were right.
You're seeing software kind of get hit.
You saw Mythos calm out, you know, the Anthropic latest release, and everyone's talking about that. It dropped not just the IGV, which is a software ETF, but cyber CIBR, which is a cyber ETF. So you saw that, and yet the chip stocks are doing really well. So maybe this is just telling you if AI gets good fast, they're gonna need more chips. We're gonna need more data centers and more AI processing, and it's going to diffuse who benefits.
Though. Is there a broadening of the market into April bank earnings, tech earnings everybody else after that? Is there a legitimate broadening.
There should be.
I think we might finally be hitting the stage where the benefits of AI don't just accrue to a few AI companies, They accrue to the companies that are using them.
Peer share of this with Academy Securities, Johmbo Van Blackrock coming up an extended conversation with doctor Boven the view of the global economics from the desk at black Rock as well. Henrietta Treys to be long later. Lori Kelvicina At some point in the show, I don't know when do we have a lineup real they've been on fire. You know what it is. Let's be honest. Winter and spring interns are always better than summer interns. They're not in the bars. I mean there's a big difference, Okay.
I mean they're just simply they're more productive on Thursday and Friday. It's all there is to it. Alexis Christopher's with petershere.
I'm glad we brought up AI because I want to talk about AI and how it relates to the banks. I mean, I think we all know trading volume was probably off the charts because of what's happening with the war, So the banks made a lot of big money there. But are we going to find out AI's impact on the banks during this earning season? Do you think it.
Might be early?
But again I think you're going to see some positive messages that they're getting some benefits, some efficiencies from this. I think the next wave too, will be probably a little bit early, but you're going to see I think a lot more m and a activity, more IPO activity that pickup in around this space. Again, also, I think in and around the new military. As you start thinking about there's going to be a push for drones domestically globally, right. I think that's one thing that comes out of this.
So I think there's gonna be a lot of opportunity for some interesting private equity deals to get done, some IPO, some M and A activity.
So I'm excited on that prospect.
What do your people say about Baron's to big splash on? This is weekend and I'm not up to speed out of folks the musk Ipo. This is the first time I've ever asked this question, Peter. I apologize in advance the musk Ipo.
You know, we think space has been a huge part of it. Again, I think space fits into what we've been talking about this production for security. I think it talks into a lot of the things that we've.
Been looking at.
Is is it profitable? I think it ultimately will be. I think it will ultimately be very proper.
You can't say that with a straight face.
I do think things will have to get done out there. I'm not so sure about the data centers in space.
We went to the Moon because of the Russians were all in tears this weekend with Artemis too.
It was absolutely Spectacu's pretty beautiful.
Are you telling me musk is going to be a profit function with space.
I think we're going to see profitability up there, and I also think part of it's going to be driven by some military spending that we have treated space as a very friendly you know Kumbayas at a moment. Russia doesn't treat it that way, China doesn't treat it that way. So I think we're going to put together things to
make sure that we secure a space right. It's if you think about how dependent we are on communications, satellite, communications, GPS, all these things that we kind of tossed up there and said, oh this is working. You know, it's ever going to be nefarious. So I think there's some real opportunities and kind of space defense effectly full disclosure.
We're watching the re entry, you know, they're coming in at twenty four thousand miles per hour, and the coverage I watched it off the Associated pressed me down. Ludlow at Bloomberg doing a great job as well, and I'm like every other moron out there, going what if they hit a satellite.
I mean, I thought.
People in the business would laugh at before then, but that's what I was thinking. Oh, my god, I want to something.
What you talked about M and A. I mean, we've seen the pickup in M and A activity in this environment with so much uncertainty. Are you surprised by that or is this the Trump administration being friendly to corporate America.
I think it's partly the Trump administration being friendly to corporate America. And despite the uncertainty, again, you start looking at these themes, whether it's production for security data is an electricity generation? Right, those are the themes I think that are really catching on, and they're relatively new themes there the last couple of years. So I think as those themes play out, that's what creates the opportunity. Right, what can we do ourselves again? What can we mind?
What can we do global shipping? We have to make ships again. So I think it opens up a whole new set of businesses that have been left for dead to some degree for the last five to ten years. And that's why you can get this MNA activity. You get good valuations and companies people believe will grow and be profitable.
Quarter after quarter after quarter. We low ball earnings, OMG, that came in better? What this the pre war earnings granted earnings end of March. Fine guidance. We're just I mean, you can literally write the script right now. Everybody's gonna be OMG, they're gonna be terrible, right, We're all gonna wait for June thirtieth. Yeah.
And what I'm even more than the geopolitical, which is obviously a big part of it. I want to see what they're seeing in global sales. How badly has Asia been hit. I think Asia has been hit much harder than us by the rise in oil prices, the inability to get oil. I think Europe's having their own set of affordability issues again, consumer confidence, which I don't pay a lot of attention to. It came out the worst of all time, so at least that I have to
pay some attention to. I'm concerned that we are going to see a slowdown and spending as everyone becomes a little bit more conservative due to so much uncertainty and affordability.
I got to go to news. There's so much newsflow. Also, we have somebody new doing news, so I got to get to them earliest. So it doesn't you know, doesn't screw up needs your side flash, you know, I'm nervous going to them. He's brand new. Here's here think thank you so much, Academy Securities. Stay with us. More from Bloomberg Surveillance coming up after this.
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So here's the way we roll, folks. J'all movan with US Global had a research Blackrock Investment Institute. And the reason that he's here is because Cole Calawfield had fifty goals plus and mister suzuki At I think his one hundredth point last night for Les Abidan. And it's good to have you been up to Montreal to see the excitement. I didn't get a surce.
It was in Montreal a few weeks ago, but I didn't get a chance to see the hobs. But it's great to see the outcome.
So I skim the politics this week. In a Quebec there's a new leader of the very very far Love Quebec Party. Are the elements of Trudeau and Quebec of Trudeau's senior incorrect or beyond that to where it's much more nationwide Liberal party affecting Quebec politics. I don't know.
I think the election from the Miss Madame Cochette now is, I think is an interesting outcome. I'm not like a very closely following the Quebec politics to be honest, but yeah, I think there's going to be a change.
It's like a generational change. This to me as well, let's get to the moment at hand. You're writing for Blackrock with all your wonderful people as well. Is there a good linkage of our geopolitical stress from the earnings juggernaut that is technology, the growth of earnings, of growth and revenues. Are they separate things or do they conflict together? Yeah?
No, I think there has been with the conflict we've seen in the Middle East, a disconnect that has been a peer between what we think are very solid catalysts for for earnings and that have been materializing, especially in the tech space, and the degrading we've seen inequities during
that period. So that is understandable in the context where there's significant worries about the knock on effect of the supply shocks and what that might be doing to the global economy, but to the extent that those get to be contained, and I think that gap becomes an opportunity.
You know, Look, the markets are a forward looking animal, right, and it makes you wonder, what does the market know that we don't know when we're just an hours away from this blockade that that Trump is threatening against the straight of hormones and we just have WTI creweded about about one hundred and four a barrel.
Yeah, I don't think the I don't think the market knows more than anybody. Actually, I don't know who knows anything about what's going to really happen, even the key decision maker involved. I mean they're they're you know, we're going to figure out a way out of it. But I do think that these are events that the markets cannot really priced in one way or the other. I mean, these are binary. If we're going to see a bad
outcome coming, then your market will react. But until then, I think it's very costly to stand the sideline for for market participants.
Uh.
And there is a credible likely scenario where things, you know, the escalate from here, and I think that's that's what the market's gonna run.
You're saying staying on the sidelines, hanging on a dry powder is not the way to go right now.
I think I think, you know, there's no neutral position really in this in this environment. So you you can decide to say, I'm going to stand the sideline, but that could be the time where we get very significant return coming would be bad for our clients, or you can decide to to stay in and then if we do get a bad outcome, then that's gonna be that's
gonna be, uh, you know, also detracting from portfolios. I think at the moment, it's a bigger call to say that we're going to see a very bad outcome that's going to sustain because I believe, I mean that's a strong belief, right, is that at the end of the day, they are very strong economic incentives that will shape the behavior of the actors and everybody is affected by these strong economic incentives.
Jem levent with his folks Global how to Research black Rock Investment Institute out of the University of Montreal, and then he wandered to Princeton under a guy named Bernanki. Bernanke's heart and soul is the integrity of the financial system is the most important thing in crisis. That was a huge difference between Freeman's and Schwartz's work years ago. Do we have a solid financial system? To me, it's
looking pretty well. As Jean Belevan worried about private credit creating the angst of previous eras, I think.
We are in a very different situation than we have been. You know, if we go in the most recent financial crisis in two thousand and eight, right, so we have had a major uh you know, pause initiative that have been built over them many years. I think we've seen, uh,
you know, a different financial system. And if you go back to the same kind of like source of crisis that we've seen back then, leverage in the system, hidden leverage and so on, it's difficult to put the finger on the on the same kind of phenomenon, right play here. Uh it doesn't mean and every crisis becomes a different things, right So, it doesn't mean that there we won't discover
that there was some uh some excessive risk ticking. But I think at this juncture, it's hard for us to see uh, you know, systemic risk that creates these.
John, you know where I am on this and the huge body of the financial media. I call it the parlor game. Want central banks and particularly the FED to get out front, to be ex ante. All of the history is an ex post study as well. They wait and they wait. How does that ex post study chain given a war? I mean they just have to wait.
Yeah, I think in terms of you know, we're actually more jilly in this environment for central bank. I think we're facing a set of shocks. We call that an environment shape by supply. We face a set of shocks to which central banks are not that well equipped to deal with and as a result, you know, I think there's a good debate to know when central bank should lean against excessive restaking in accenty as you say, or not.
But right now I think it's a different question. I mean, these are shocks to which, uh, you know, supply shocks to which monetary policy has a little to do about. And so I think that reinforces the case to you know, look at the inflation consequences and respond to that. But I don't think there's a financial objective.
What's what's the choice set of data they look at to see if inflation shifts? Is it just ampule? Is wage and real wage growth.
No, I think in this environment, in this and now, with the nature of the shock we're we're facing, I think it's going to be about tracing out the effect on the supply chains of the shock. It's not about oil.
I mean, you're going to go over to a supply side analysis and ignore the demand side challenges.
Well, I think in the scenario where we see some de escalation, I'm not expecting a lot of analysis to come through. I think it's going to be more of a we need to look through this. But if it is a world where the strait doesn't reopen soon and we have, like you know, months of that situation, then I think there'll be heavy into that supply chain analysis.
A totally unfair question I have to ask it. Wayley would never answer it, but I'm going to go to you on this. Do we understand the profit making machine which is American Wall Street? Do we do we is a is a public the mass of JP Morgan, the sheer size, the brain power, the financial innovation that's out there. As a Canadian, do you do you think Americans understand the juggernaut which is American finance.
I think the this is a manifestation of you know, a large set of things, but I think it comes down to a market that is very flexible, where you know, you have an ability to scale like you cannot scale in other countries. I mean one of the biggest challenges in Canada, you know. Ai'll leave with maybe I'll go with this point. I mean AI has been imagined, invented really in Canada. Two of the godfathers of AI are Canadians.
But the monetization of it is a US story, and that speaks to your point I think, which is the ability to commercialize and monetize ideas in the US is on parallel and that thing that explains why the financial system as a result is also you know, as large as it is.
Generous time. Thank you so much. Jambo is a Black. Thank you so much for coming in. Stay with us. More from Bloomberg Surveillance coming up after this.
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Christopher Smart is founder at managing partner at our Berth but as Bill Burns writes in Foreign Affairs this week, or I've seen Nicholas Burns, our former ambassador to China, out in the zeitgeist as well. Christopher Smart is part of that team, founder managing partner at Arberth with his public service to the nation in our diplomacy. So, Christopher, what's so concerning to me is we all at gunpoint
read a thousand pages of Henry Kissinger diplomacy. Some of us read it cover to cover, full disclosure, eye did, and then the chosen few got Pickering or Rangel fellowships, including my first intern here at Bloomberg, and they could join the magic that was your State Department. Is that process still in place or have we broken our diplomacy?
Well, Tom, that's a big question this morning, Good morning to you, and I think the the sad answer is we've broken a lot of it. I think there's still some extraordinary career Foreign Service officers at their posts this morning, but a great many of them have left, and a great many who have left had that both experience and institutional memory that is so important in negotiations, you know, just as an aside as you know, negotiations are not just about going into a room for twenty one hours
and hoping to strike a deal. It's about building trust between the two sides. It's about following up on the very difficult details of any negotiation. And I think that's what we're seeing unravel in front of us right now, and what makes these next few weeks and months between the US and Iran so unpredictable.
Away from the weeks or months. Alexis wants to address that, but Christopher Smart critically here, what do you perceive is our healing diplomacy after the time of President Trump.
I think people want America to succeed around the world, and I think they will look at this period as a difficult one. We've had a lot of difficult periods in our history before, and I think they will hope that we can re engage with the world, not necessarily the way we've done it before under previous presidents, but in a way that is more predictable, more easily for
them to engage with. And a sense that we in the United States are looking to build a set of rules and behaviors with other countries rather than, you know, so intensely focusing on just the next particular edge for our own advantage.
Christopher, I just want to talk for a moment about what's happening over in Hungary. We saw that election this week in a crushing defeat for PM Victor Orbon He had such an outsized global influence, and of course we know he repeatedly blocked aid for Ukraine to fend off Russia's invasion. What does it mean now, the fact that he is no longer in that position, what does it mean for I think Ukraine especially.
Well, I think you know, for I'll say this for Tom. You know, you never like to see a team like the Red Sox digging themselves out of a hole. Hungary is kind of a country that has dug a deep hole for itself for the last sixteen years and is in the process we see now digging itself out.
And so that's the good news.
It's also good news, as you point out, for Ukraine because the Urban government has been blocking Europe's efforts to assist Ukraine and Europe's efforts to increase pressure on Russia.
So that's good news as well.
But it does have a lot of internal repair to undertake right now, and Prime Minister madya Or, who is coming into office, will have to do a whole lot of addressing the institutional damage that Prime Minister Orbon has done to impose to politicize the courts, the central Bank, other institutions across the country. So that's the Hungarian's main challenge right now.
What about I just want to stick with Hungary because there's so much to unpack. Orbon was Russia's closest ally in the EU and courted China. What of those countries are they distancing themselves already from the new government. I mean, I know it hasn't really been put in place yet, has it.
I don't think it.
Happens well, it will come, it will enter office very quickly. I think the other countries are trying to to understand what's going on. In some sense, this isn't a big surprise for anybody, because the polls had shown that he would win, although there was there was a lot of concern that it would be a close election and therefore a disputed election. I think the Chinese are very pragmatic. They will deal with whomever is the prime minister right now.
I think Russia will do the same, although they will continue to work with Orbon, who's now moving into opposition.
With his fetish party.
But right now the momentum is on the side of the new Prime Minister rebuilding its ties with the European Union.
They, you know, the leadership.
Across Europe has embraced him. And I think the other interesting piece subtext to all this is the populist parties in France, in Germany and elsewhere around Europe, who may be feeling like they have to modulate their message a little bit to be you know, to understand that Europe is still a very popular message with a great many voters across the continent, and that turning too much against Brussels, against further integration is not necessarily a winning path for them.
Christopher Smart, thank you so much. Haven't head you on a just We need to get you on much much more. Christopher Smart with our birth group and his public service to the nation at the State Department and the White House as well. Stay with us more from Bloomberg Surveillance coming up after this.
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We are hugely advantaged when Neil sides with this. Then the way it works, folks, it's forty seven headlines come out and they go right away to our informed talent. Hogo. I haven't read the headlines yet, so I was going to jomble then there to give Neil Sipe some time here. Neil to the profit making juggernaut. And I don't have tangible book in front of me or that, but I mean, I'm sorry. It was a very strong first quarter of twenty twenty six.
Put it mildly right.
Yeah, it looks fairly strong. I think once we start digging into it, I mean, the first thing that I see is, you know, equities trading a sizeable beat. Mixed income trading looks like a pretty sizable miss, actually outweighing the beat inequities. And I think, you know, the main focus heading into the first quarter results was going to be how did the capital markets business perform? Yeah, particularly
for Goldman and Morgan Stanley. These are the you know, the large businesses in these franchises that drive you know, drive the units. And so when you look at Goldman Sachs, about half a revenue comes from trading. What we saw in the first quarter was a pretty active market, right, particularly on the equity side. So the broad expectation heading into results was pretty pretty robust for the trading side
of the business. And what we're seeing now is, you know, maybe a little bit of a confluence here where we have equities beating those expectations, fixed income a little bit lighter. On the fees side of the business. It looks like we had broad beats across M and a ECM and debt underwriting.
So I got to interrupt. YEP, here's the headline. I've been looking for, folks, and our team does a great job. Return on average shareholders' equity nineteen point eight percent are they basically, and this is to begin in the earning season. We're hugely advantaged to have Neil Sipe's leadership here. Basically, these firms are trying to hide how much money they're making. They really don't want whoever, nineteen point eight percent Roe that's stunning, Yeah, and that's not in my textbook.
And when you look at these businesses, you know, particularly on the fee side, things like that can generate pretty robust returns, especially you think about Goldman's strategy or returning to the core of the capital markets while simultaneously building out the even higher Roe business in terms of asset
and wealth management. So when you have you know, I know markets are in flux right now, but when you take a step back, we're still only just a handful of percent off of all time highs and that's really a support to those asset and wealth businesses that are you know, helping prop up that nineteen percent Roe that
you noted. And so I think as we really move into big bank earnings throughout the week and we get onto the earnings call today for Goldman, I think the main investor focus is going to be what happened with clients at the end of the first quarter and how has that trended in the first two weeks of April, because that's really what's going to inform the outlook as we sort of work through these numbers that I think we see some puts in takes here where there was
a high bar there for trading revenue, it looks like we might have come a little bit lighter on that.
But on the investment banking fee side, it looks like the beat.
But I'm confused trading of equities and bonds and currencies, commodities or trading of bungalows out in the Hamptons.
Which is trading of equities, currencies, commodity, these, etc. Right, And so that was again I think where we had a high bar heading into the quarter. The fees, of course look pretty strong for the first quarter. But when you bring all this volatility and uncertainty into the equation related to war, related to AI, related to software, etc. You start to question what was expectations for a really strong twenty twenty six looks like first quarter is going to hold out.
But what has happened in April?
Alexis jump in here, please.
Well, I'm looking at Goldman stock right now, down one and a third percent. So I guess even the show stopping five point six billion dollar net earnings figure not enough to get I guess investors excited about this stock here in.
The early going.
Yeah, And I think that goes back to sort of what we're talking about here is we expected a pretty strong quarter for capital markets across trading and investment banking. And so I think when you have that high bar, the expectation is to meet or be right, especially when you think about some of the guidance that we got from peers like JP Morgan talking about mid teens growth, the trading business, particularly late quarter of volatility, feud fueled by the war.
You know, where are we there?
And did you see the steam come out of my ear I almost scorched Lexus over here. And Neil sides with as brilliant on the earnings as we dive into the banking season, We're gonna have them on a lot here we open the next couple of days, Neil. You know, Piers, But they're all different, aren't They describe how JP Morgan is the Park Avenue Juggernaut is different from Fortress Solomon. How are those two businesses different?
Yeah, And so when we look at Goldman, it's you know, heavy focus on the capitol market side, building out.
The Christmas Club account with Goldman.
Right, that's right?
And so when you when you pivot to JP Morgan and Bank of America alike, you're getting a much better gauge on the broader US economy, how the consumer is doing. And I think that's going to be a big focus there as well. Of course, we know JP Morgan is a leader in the capital markets space, but when you look at the franchise as a whole. There's much larger drivers there and so those will be focused.
Nicely said, last ten years Alexis has been difficult. I mean we go Apple, Apple, Apple, Microsoft, you know whatever in Nvidia twenty point four percent per year total return Golden Sachs over the last ten years. Strina Rogen was telling me, mister Solomon was really challenged here a number of years ago. He's turned that poppy around like nobody, right.
Yeah, and so so I think, as we mentioned earlier, it's the return to that core, right, what you think of when you talk yeah, and you think about the consumer franchise, that sort of foray into the consumer franchise.
Most of that has been winded down after a series of losses there, and I think what you see is glind Sacks not necessarily trying to press into those businesses that JP Morgan might have leadership in or Bank of America, rather focusing on deploying the capital into those businesses, particularly asset and wealth management that you talked about, those high Roe business is. I think that's where we see Goldman heading in the future.
Can you come back? Is it tuesday? They're off tomorrow? Right, are the Tomorrow's side.
No, there are the JP Morgan and Wells Fargo, Tomorrow's Trent City and City as well.
Yeah, okay, can you come back.
We'll be here all week.
This is great, my deepest sympathies.
And you know what, I want to know what bank's going to talk about private credit because I don't see it yet in the Goldman nicely nicely.
Said, but we'll see.
I think we'll get some questions on that.
I think I'm curious what the answer shall be.
But yes, are you one?
Do you ask questions on the conference call?
I won't be on this call this quarter. Okay, we have someone else, but maybe we'll Maybe we'll funnel in a question if we can.
Thank you so much about his workforce.
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