These are the changes and challenges keeping top advisors up at night

Financial advisors do their best to counsel clients on sound approaches to financial decision making, yet no good wealth manager would claim to have a crystal ball. We asked advisors from firms that made the FA 100 list what challenges or changes they foresee. California Financial Advisors, San Ramon, California• Mark Pitre, principal: “The biggest challenge going forward is trying to educate younger generations that there is no short cut to financial independence. I think for asset managers you


Financial advisors do their best to counsel clients on sound approaches to financial decision making, yet no good wealth manager would claim to have a crystal ball.
We asked advisors from firms that made the FA 100 list what challenges or changes they foresee.
California Financial Advisors, San Ramon, California• Mark Pitre, principal: “The biggest challenge going forward is trying to educate younger generations that there is no short cut to financial independence.
I think for asset managers you
These are the changes and challenges keeping top advisors up at night Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: kenneth kiesnoski
Keywords: news, cnbc, companies, financial, changes, advisory, managers, list, biggest, keeping, going, challenges, younger, night, advisors, investment, firms


These are the changes and challenges keeping top advisors up at night

Financial advisors do their best to counsel clients on sound approaches to financial decision making, yet no good wealth manager would claim to have a crystal ball. The only certainty is that no one can predict the future or time the market.

Any advisor worth his or her salt — including the leading wealth managers that made the CNBC FA 100 list for 2019 — can make an educated guess or two about where the financial advice industry might be headed.

We asked advisors from firms that made the FA 100 list what challenges or changes they foresee. Their replies follow.

California Financial Advisors, San Ramon, California

• Mark Pitre, principal: “The biggest challenge going forward is trying to educate younger generations that there is no short cut to financial independence. Many 35-year-old, and younger, individuals have never seen a down market … and they have grown up embracing debt. As such, they are ill prepared to endure any challenging economic [or] financial time.

“They need to follow three guiding principles: One, work hard. Two, save money. And three, spend on needs, not wants. The ability to educate younger individuals about these principles is an ongoing struggle.”

More from Financial Advisor 100:

CNBC FA 100 2019 list of top-rated financial advisory firms

Top-ranked advisory firms help meet their client’s financial goals

‘Personal touch’ will still dominate financial advice space

Dana Investment Advisors, Waukesha, Wisconsin

• Mark Mirsberger, CEO: “The biggest challenge is probably dealing with significant fee compression in the face of rapidly rising research, regulatory and technology costs. You saw it [recently] with the brokers eliminating trade commission so … they’re going to have to find different revenue streams. I think for asset managers you’ve seen it within mutual funds and ETFs and now even with advisory firms, fees are going down … and pretty quickly. People are even discounting, at some level, how they even value advice. ‘I’ll just buy this basket of ETFs; what could be wrong with that?’

“The biggest change and opportunity is investors looking to invest according to their values, and managers’ ability to integrate ESG analysis to improve investment research and improve risk adjusted returns. The next generation, and even the older generations, are understanding that, whether you completely buy into global warming or not, there are trends. People want to make a difference and leave the world better. They want to be consistent with their values. I think that’s consistent with social networking and people wanting to be with people like them and live and breathe their beliefs.”

Gofen & Glossberg, Chicago

• Charles S. Gofen, principal: “One of the biggest challenges facing investment advisory firms today is disintermediation. People can invest by themselves rather than hiring an investment professional to manage their money. They can use exchange-traded funds to achieve diversification at a low cost, and as of – I don’t know, last week? — they don’t even have to pay trading commissions anymore.


Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: kenneth kiesnoski
Keywords: news, cnbc, companies, financial, changes, advisory, managers, list, biggest, keeping, going, challenges, younger, night, advisors, investment, firms


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Here’s what could push Netflix higher in the next year, and other expert takes

The thing that’s going to move the stock over the next 12 months is do they start to see a reacceleration in global subscribers?” I think that’s the big thing. I think the Street is going to make finer granularity about what kind of quality subs offshore Netflix is adding. I don’t really think they’re competing with Fortnite, as was indicated a few quarters ago. If they can … find a way to keep the sub growth going while they’re burning cash and keep investors along for the ride, then they’ll be


The thing that’s going to move the stock over the next 12 months is do they start to see a reacceleration in global subscribers?”
I think that’s the big thing.
I think the Street is going to make finer granularity about what kind of quality subs offshore Netflix is adding.
I don’t really think they’re competing with Fortnite, as was indicated a few quarters ago.
If they can … find a way to keep the sub growth going while they’re burning cash and keep investors along for the ride, then they’ll be
Here’s what could push Netflix higher in the next year, and other expert takes Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: lizzy gurdus
Keywords: news, cnbc, companies, going, expert, takes, netflix, think, thing, subscribers, theyre, push, heres, growth, higher, really, stock, thats


Here's what could push Netflix higher in the next year, and other expert takes

Netflix has gotten a new lease on life — or perhaps just renewed its subscription.

The stock stayed in the green Thursday after an 8% post-earnings move, ending the trading session with a more than 2% gain. The move was a welcome reprieve from a few painful months for Netflix shares, which are up just under 10% year to date.

But concerns around the streaming giant’s growth prospects — and encroaching competition — still linger.

Here’s what four experts see ahead for the stock:

Rich Greenfield, co-founding partner of technology, media and telecommunications analysis firm LightShed Partners, said Netflix has a lot to prove after “a major miss in Q2”:

“The international number was disastrous, and I think you had a lot of investors fearful that the international story was over, because remember: as you think about the next five years for Netflix, the next 10 years, 90%-95% of the growth was coming from overseas. And so when the international story hit a wall last quarter, people panicked. And you look at what happened to the stock on the chart. That was fear of international. So, coming in and actually exceeding expectations for Q3 was a really big sign. … When you look at a company that’s got almost 160 million subscribers, given the size now that they’re at, I think forecasting subscribers on a quarterly basis is really hard. The thing that’s going to move the stock over the next 12 months is do they start to see a reacceleration in global subscribers?”

Michael Graham, head of U.S. equity research and an internet analyst at Canaccord Genuity, said this quarter may have marked a turning point for the company:

“I think the biggest thing is last quarter, domestic subscribers declined sequentially, and they returned to growth this quarter. I think that’s the big thing. … The big point that the company was trying to make last night is that all those streaming packages are trying to take share away from the typical cable subscription, which is robust. I mean, Netflix at $12, 13 a month is a small amount compared to what most households pay for a cable bill.”

Laura Martin, senior analyst at Needham, said the next thing Wall Street needs to focus on is revenue per user, or RPU — and that it could spell trouble for Netflix’s stock:

“The issue’s going to be that RPU is going to come more into focus as you start adding $3 mobile-only subs[cribers] in these developing countries. I think the Street is going to make finer granularity about what kind of quality subs offshore Netflix is adding. And I think a stock that trades at seven times revenue, which is where Netflix is down to, can’t sustain a negative sub growth anywhere in the world, and that includes the U.S. So, I think as you get increasingly bundled sub adds from Amazon and Apple and Disney, it’s going to be harder for Netflix to maintain a positive subscriber growth in the U.S. … I sort of think it’s going to get worse and worse as you get more and more competitors with double-A balance sheets and huge cash hoards that Netflix is required to compete against now.”

Brian Wieser, global president of business intelligence at media investment giant GroupM, warned that rivals may have a difficult time catching up to Netflix on content because “if you’re not in with, like, $5 billion, you’re not really a player”:

“At least in the United States, I think that the amount of time people can devote to what we call television is relatively limited, and Netflix and all of the new services are going to be competing for that time. I don’t really think they’re competing with Fortnite, as was indicated a few quarters ago. … The cash burn issue is the point. If they can … find a way to keep the sub growth going while they’re burning cash and keep investors along for the ride, then they’ll be fine. But the reality is that … everyone else is coming up, if they’re willing to step up with money to pay for content. That’s not a given. Apple had $1 billion of content. That’s a nice kind of entry point, [but] it’s not clear that everyone else that’s playing will show up.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: lizzy gurdus
Keywords: news, cnbc, companies, going, expert, takes, netflix, think, thing, subscribers, theyre, push, heres, growth, higher, really, stock, thats


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Joe Biden’s cash problems squeeze donors and fundraisers with early primaries on the horizon

Another fundraiser explained that Biden’s lack of cash going into the fourth quarter could put him at a “handicap” for the primary states. “We got started later than anybody at all in this campaign,” Biden told reporters while in Columbus, Ohio. Since he entered the race in April, Biden’s campaign has seen an influx of large individual contributions. The primary debate on Tuesday could prove to be a key moment for Biden’s start to the fourth quarter. Biden’s campaign has yet to say how much it h


Another fundraiser explained that Biden’s lack of cash going into the fourth quarter could put him at a “handicap” for the primary states.
“We got started later than anybody at all in this campaign,” Biden told reporters while in Columbus, Ohio.
Since he entered the race in April, Biden’s campaign has seen an influx of large individual contributions.
The primary debate on Tuesday could prove to be a key moment for Biden’s start to the fourth quarter.
Biden’s campaign has yet to say how much it h
Joe Biden’s cash problems squeeze donors and fundraisers with early primaries on the horizon Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-16  Authors: brian schwartz
Keywords: news, cnbc, companies, problems, joe, early, quarter, donors, bidens, fundraising, million, fourth, biden, primary, fundraisers, squeeze, campaign, super, primaries, horizon, going, cash


Joe Biden's cash problems squeeze donors and fundraisers with early primaries on the horizon

Sen. Bernie Sanders (I-VT), former Vice President Joe Biden, and Sen. Elizabeth Warren (D-MA) enter the stage before the Democratic Presidential Debate at Otterbein University on October 15, 2019 in Westerville, Ohio.

Former Vice President Joe Biden’s top donors have mixed feelings about the campaign’s path forward now that it has only $8.9 million on hand going into a pivotal fourth quarter.

Some, like former Pennsylvania Gov. Ed Rendell, believe that Biden is going to have to work harder on the campaign trail with that amount of cash. But, in the end, he argues there will be enough financial resources to compete in the early caucus and primary states of Iowa, New Hampshire, Nevada and South Carolina, and then later Super Tuesday. That crucial primary day includes states that account for 40% of the total delegate allocation such as California, North Carolina and Texas.

Biden’s campaign privately stressed to members of its finance committee during a conference call on Wednesday that the fourth quarter is the most important one yet as it pertains to fundraising, according to those familiar with the discussions. They also discussed ways to improve their appeal to grassroots donors, these people added.

Yet, there are other Biden financiers, who spoke on condition of anonymity, that now fear possible hurdles for the former vice president in those states and beyond if he can’t turn his fundraising game around by the end of December. The total cash on hand was disclosed late Tuesday in the campaign’s Federal Election Commission filing. It also showed the campaign raised just more $15 million and spent $17.6 million in the third quarter. More than $900,000 was spent on private jet travel, and millions were spent on payroll, along with other expenses.

Biden’s totals lag behind Sens. Bernie Sanders and Elizabeth Warren and South Bend, Indiana, Mayor Pete Buttigieg. Their strong cash arsenals range from $33.7 million for Sanders to Buttigieg with $23 million. President Donald Trump and the Republican National Committee combined to have $156 million on hand after the third quarter.

The first four contests of the Democratic primary season are scheduled for February. Super Tuesday is set for March 3. Biden’s campaign has previously signaled to its fundraisers that they need to start ramping up their efforts if they want to have the best chance at making inroads on Super Tuesday.

“Look, he’s going to have to work a little harder, but I don’t have a doubt he will do well on Super Tuesday,” Rendell said in an interview Wednesday, while noting the Biden organization will have plenty of cash to make a breakthrough in February and March.

“I think he has to do better by the way he campaigns,” Rendell said, adding that he thought Tuesday’s debate was one of Biden’s best performances.

Bernard Schwartz, CEO of investment firm BLS Investments who has contributed the max amount to Biden, said an $8.9 million reserve going into Super Tuesday won’t be enough, yet argues big money fundraising events, along with his name recognition will get him over the finish line.

“Oh no, I don’t think it’s enough at all,” Schwartz said. “He has some big money tickets coming in and I have every confidence we are going to make it,” he added.

Schwartz said he has offered to host fundraisers in Southampton, New York, and in New York City, but the campaign has yet to agree on a date.

Other donors though are not as optimistic. They stress that the current cash-on-hand situation puts pressure on them, along with the campaign, to have a successful fourth quarter.

“He needs a big fourth quarter to be properly positioned going into the actual caucuses and primaries,” a leading Biden financier explained. “Only thing our donor base can do is drive in more dollars. At this point the low hanging fruit has been harvested and we have to dig deeper,” this person added.

“It’s all going to count in the fourth quarter. If he doesn’t have strong numbers, he’s f—ing done,” said another fundraiser helping Biden behind the scenes.

Another fundraiser explained that Biden’s lack of cash going into the fourth quarter could put him at a “handicap” for the primary states. “We all thought he would be better than this,” this max contributor said.

Biden himself brushed off any questions about the $8.9 million not being enough to maintain and pick up the extra assets he needs in order to stay alive in the race for his party’s nomination.

“We got started later than anybody at all in this campaign,” Biden told reporters while in Columbus, Ohio. “We did not start off by dropping $10 million from a Senate campaign, wherever that money came from,” he added as a reference to Warren’s large transfer from her Senate coffers to her presidential organization.

A spokesperson for the Biden campaign did not return a request for comment.

Still, skeptical bundlers of Biden’s are pointing to data they say is a question mark: where are they going to acquire the big checks of $2,800 now that many in their networks have maxed out? The $2,800 sum is the most an individual can give directly to a campaign in each election cycle.

Since he entered the race in April, Biden’s campaign has seen an influx of large individual contributions. Out of the $36 million it has raised, 64% was from large donations, according to the nonpartisan Center for Responsive Politics. Meanwhile, 35% of donors have given $200 or less. Compare that with Warren, who has caught up to Biden in the polls but also has at least 53% of her donors giving her less than $200. She finished the third quarter raising just more than $24 million and has $25.7 million on hand.

The primary debate on Tuesday could prove to be a key moment for Biden’s start to the fourth quarter. A few of his opponents have already announced their fundraising success since the contest in Ohio.

Buttigieg spokeswoman Lis Smith tweeted that her candidate raised over $1 million in the past 24 hours from contributors in all 50 state.

Sanders campaign announced early Wednesday that it brought in more than $620,000 from more than 40,000 contributions. Sen. Amy Klobuchar’s campaign said it had its best hour of fundraising following the debate.

Biden’s campaign has yet to say how much it has raised since the debate.


Company: cnbc, Activity: cnbc, Date: 2019-10-16  Authors: brian schwartz
Keywords: news, cnbc, companies, problems, joe, early, quarter, donors, bidens, fundraising, million, fourth, biden, primary, fundraisers, squeeze, campaign, super, primaries, horizon, going, cash


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Goldman Sachs says Amazon earnings will beat the Street, so buy the stock

Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.


Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.
Goldman Sachs says Amazon earnings will beat the Street, so buy the stock Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: pippa stevens
Keywords: news, cnbc, companies, goldman, amazon, buy, beat, sachs, going, stock, posts, month, thirdquarter, earnings, street, firm, end


Goldman Sachs says Amazon earnings will beat the Street, so buy the stock

Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: pippa stevens
Keywords: news, cnbc, companies, goldman, amazon, buy, beat, sachs, going, stock, posts, month, thirdquarter, earnings, street, firm, end


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Goldman Sachs says Amazon earnings will beat the Street, so buy the stock

Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.


Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.
Goldman Sachs says Amazon earnings will beat the Street, so buy the stock Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: pippa stevens
Keywords: news, cnbc, companies, goldman, amazon, buy, beat, sachs, going, stock, posts, month, thirdquarter, earnings, street, firm, end


Goldman Sachs says Amazon earnings will beat the Street, so buy the stock

Amazon is going to beat the Street when it posts third-quarter earnings at the end of this month, according to Goldman Sachs, so the firm says to buy the stock now.


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: pippa stevens
Keywords: news, cnbc, companies, goldman, amazon, buy, beat, sachs, going, stock, posts, month, thirdquarter, earnings, street, firm, end


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Hudson Yards was seen as a trial for the mall of the future. Here’s how it’s going so far

When the Hudson Yards megamall opened on the West Side of Manhattan roughly half a year ago, there were plenty of skeptics. Everyone wants to know if Hudson Yards can succeed, at a time when more and more people are turning to the internet to do their shopping. “But the sales numbers [at Hudson Yards] are phenomenal. Hudson Yards is expected to see more than 20 million visitors in its first year being opened, he added. A few retailers have found success at Hudson Yards already.


When the Hudson Yards megamall opened on the West Side of Manhattan roughly half a year ago, there were plenty of skeptics. Everyone wants to know if Hudson Yards can succeed, at a time when more and more people are turning to the internet to do their shopping. “But the sales numbers [at Hudson Yards] are phenomenal. Hudson Yards is expected to see more than 20 million visitors in its first year being opened, he added. A few retailers have found success at Hudson Yards already.
Hudson Yards was seen as a trial for the mall of the future. Here’s how it’s going so far Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lauren thomas
Keywords: news, cnbc, companies, plenty, kids, seen, million, opened, going, mall, heres, far, related, space, trial, yards, retail, hudson, future, floor


Hudson Yards was seen as a trial for the mall of the future. Here's how it's going so far

When the Hudson Yards megamall opened on the West Side of Manhattan roughly half a year ago, there were plenty of skeptics. And there still are.

The development, a sprawling 1 million square feet of retail space, is in many ways supposed to be the new blueprint for a shopping mall in the twenty-first century and age of Amazon. There’s a floor dedicated to brands born on the internet, only one department store, plenty of restaurants, co-working space, interactive art exhibits lining the walls and room to lounge outdoors.

Everyone wants to know if Hudson Yards can succeed, at a time when more and more people are turning to the internet to do their shopping. And so far, early readings show the property looks to be trending in the right direction.

When it opened, the retail portion of Hudson Yards was about 85% leased, according to Webber Hudson, an executive vice president at Related Urban, a division within the developer, Related. By the end of 2019, it will be close to 95% leased, he said, surpassing expectations of hitting 90%.

“It’s a tough retail market we are leasing into,” Hudson said in an interview. “But the sales numbers [at Hudson Yards] are phenomenal. … Of all the projects we are involved in, this is the most thrilling.”

Hudson Yards is expected to see more than 20 million visitors in its first year being opened, he added. “About half our business is from Manhattan. … And that’s continuing to evolve as we settle from the opening sprint into a stride.” For comparison, the Mall of America sees about 40 million people annually.

A few retailers have found success at Hudson Yards already.

B8ta, a space on the second floor that curates a rotating mix of brands of electronics and other knick-knacks, said this store is its highest performing to date.

“I absolutely [could] not have anticipated this, if I’m being candid,” said b8ta co-founder and president Phillip Raub. “I had a sense [Hudson Yards] was a lot of hype,” he added about his initial talks with Related before signing a deal to move in.

“We had a huge summer,” he said. “We anticipate … a huge holiday season. Once the weather turns for the worse.”

B8ta is situated among a handful of e-commerce brands that are starting to open bricks-and-mortar stores. Hudson Yards calls it the “Floor of Discovery.” Men’s retailer Suitsupply is set to open in this area later this week, along with sustainable cashmere brand Naadam and apparel maker Faherty.

Also coming soon to the second floor is a space for kids called CAMP, which in addition to selling kids toys offers daily activities for kids such as crafts and storytelling, and plenty of room to run and play.


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lauren thomas
Keywords: news, cnbc, companies, plenty, kids, seen, million, opened, going, mall, heres, far, related, space, trial, yards, retail, hudson, future, floor


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JP Morgan marks a strong start to earnings season—here’s what Wells Fargo’s former CEO and other experts are saying

Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others. Here’s what they’re saying:Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan. Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:”The standout here, I think, is J.P. Morgan’s


Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others. Here’s what they’re saying:Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan. Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:”The standout here, I think, is J.P. Morgan’s
JP Morgan marks a strong start to earnings season—here’s what Wells Fargo’s former CEO and other experts are saying Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lizzy gurdus
Keywords: news, cnbc, companies, fargos, marks, morgans, thats, saying, morgan, going, look, seasonheres, street, experts, think, start, theyre, wells, positive, strong


JP Morgan marks a strong start to earnings season—here's what Wells Fargo's former CEO and other experts are saying

Call it a financial frenzy.

Big banks J.P. Morgan Chase, Citigroup, Wells Fargo and Goldman Sachs kicked off earnings season with their reports Tuesday, with J.P. Morgan leading the pack and the broader market higher after surprising Wall Street to the upside.

Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others.

Here’s what they’re saying:

Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan.

“J.P. Morgan’s the outlier on a positive side, and the rest is pretty much as expected given the economic situation, the interest rate situation and the … uncertainties out there relative to trade that I think [have] reduced the confidence in the business community and therefore we’ve had less investment than might be the case if we had better news on the trade front.”

Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:

“The standout here, I think, is J.P. Morgan’s results, how good they are. And I think the read-through for their peers is pretty positive here as well. … I think, as you look forward, this should be good news for the peer group, but … certainly better for the more commercial-bank-heavy players than necessarily investment-banking-centric players.”

Marty Mosby, director of bank and equity strategy at Vining Sparks, broke down the biggest beneficiaries:

“If you look at the difference that J.P. Morgan’s been able to see in the positive, part of that’s related to other income related to selling loans. Their tax rate was a little bit lower, so that’s about a third of it. You look at the other third – that’s going to be loan loss provision, which is going to be lower. So … those credit costs? They’re staying flat. They’re not going up at all. So, every time you see the market kind of anticipating that next leg up, it just hasn’t happened yet. So, those credit costs are low; Goldman Sachs doesn’t get that benefit. They haven’t built a loan book, so they don’t get that provision benefit. And then lastly, what you have is the investment banking and just what we saw in the [Fixed Income Clearing Corp.] business. That was the other third of the benefit that they got this quarter. … What we believe is you have some longer-term turnaround stories. And that’s Goldman, what they’re doing in their business mix. That’s what you’re going to see with Wells [Fargo] over time. And that’s what you’re going to see with State Street, actually. And we think State Street actually may be ahead of those other two in their inflection point. If you look at where we think the core in banking that can perform better than the rest [is], it’s really those super-regional banks.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lizzy gurdus
Keywords: news, cnbc, companies, fargos, marks, morgans, thats, saying, morgan, going, look, seasonheres, street, experts, think, start, theyre, wells, positive, strong


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Billionaire Salesforce co-founder Marc Benioff says capitalism is dead and needs a reboot

Marc Benioff, Co-CEO of SalesForce speaking at the WEF in Davos, Switzerland on Jan. 22, 2019. “But now everybody, including the tech companies and even those CEOs who initially were disagreeing with me, agree. “Over 20 years ago, when we started Salesforce, this was our idea,” Benioff said. “We’d start a company with a new technology model, a new business model, and a new capitalism model.” He was hinting at some of the problems big tech companies are already seeing.


Marc Benioff, Co-CEO of SalesForce speaking at the WEF in Davos, Switzerland on Jan. 22, 2019. “But now everybody, including the tech companies and even those CEOs who initially were disagreeing with me, agree. “Over 20 years ago, when we started Salesforce, this was our idea,” Benioff said. “We’d start a company with a new technology model, a new business model, and a new capitalism model.” He was hinting at some of the problems big tech companies are already seeing.
Billionaire Salesforce co-founder Marc Benioff says capitalism is dead and needs a reboot Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: matt rosoff, https, wwwlinkedincom in mattrosoff
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Billionaire Salesforce co-founder Marc Benioff says capitalism is dead and needs a reboot

Marc Benioff, Co-CEO of SalesForce speaking at the WEF in Davos, Switzerland on Jan. 22, 2019. Adam Galica | CNBC

Marc Benioff rubs some people the wrong way. He’s too much. Too loud and too opinionated. The company he co-founded, Salesforce, has grown from two people in a San Francisco house in 1999 to a $130 billion company with more than $13 billion in annual revenue, making it one of the great triumphs of modern capitalism and turning Benioff into a billionaire six times over. And yet, he has the nerve to criticize the tech industry for being too powerful, and the gall to say that today’s version of capitalism is too focused on profits. At Davos in January 2018, Benioff made some enemies in the room by saying that if CEOs don’t take action to restore trust in their companies, regulators must jump in. “People were shocked that a tech CEO would say such a thing, that we need more regulation in technology,” Benioff told CNBC in a recent interview. “But now everybody, including the tech companies and even those CEOs who initially were disagreeing with me, agree. Because the reality is, if these companies don’t step into these new values proactively, then the government’s going to have to shift them into those values.” Benioff’s new book, “Trailblazer,” will be similarly polarizing. While portions of it read like a typical business book, with insidery anecdotes, like the story of why he decided not to buy Twitter, and hard-won bits of wisdom, other parts read like an Elizabeth Warren speech: Modern capitalism is dead, companies are too focused on shareholder returns and sometimes higher taxes are necessary. It’s quite a shift for a former Republican turned independent.

New models

But Benioff insists that he hasn’t really changed. Rather, he’s simply trying to spread the same values that he instilled in Salesforce two decades ago — and the ones that have worked both for the company and communities where it operates. “Over 20 years ago, when we started Salesforce, this was our idea,” Benioff said. “We’d start a company with a new technology model, a new business model, and a new capitalism model.” He was referring to Salesforce’s practice of donating 1% of its profits, product value and employees’ time to nonprofits. When you look beyond shareholders, “Your customer’s not a product, they’re a stakeholder,” Benioff said. “Your employee’s not a cog in your wheel, they’re a stakeholder. And kids aren’t people you’re driving by on your way to work, they’re a stakeholder. And homeless aren’t people you’re walking by, they’re your stakeholders.” Benioff’s point is that corporate executives must recognize this in order for their companies to survive. He has little patience for the argument that this approach only works when business is good, but harder to justify during a recession or when times are rough. “I didn’t just become a CEO last year, I’ve ridden through a few recessions, I’ve been through economic downturns, I’ve had tough moments,” he said. “I’ve been through everything you can go through as a CEO. You have to do it this way. If you don’t, you’re not going to survive.” He was hinting at some of the problems big tech companies are already seeing. “Their employees are going to walk out, and they are” walking out, he said. “Customers will walk out, and they are. That’s where you have to say, OK, I’m going to have to hold myself to a new standard and create a company where people want to work, that people want to do business with, a company that the community wants them to be doing business with.”

The narrative has started to play out over the last two years. Until about 2017, tech could do no wrong. Silicon Valley was full of innovators making the world a better place, and any bad patches were dismissed as exceptions. Of late, public sentiment has turned, regulators are circling and presidential candidates are campaigning on breaking up tech giants like Facebook, Google and Amazon. “There was a halo left over from people like Bill Hewlett and Dave Packard, and other very good people in the tech industry who did very good things,” Benioff said. “A lot of people went to Packard Children’s Hospital or the Monterey Bay Aquarium and said, ‘Wow, he’s really left a big halo on our community.’ But then all of a sudden they’re like, ‘Hold on, you did what with my data? You did what with that election? You did what with your profits?’ That’s when all of a sudden people said, ‘Wow, maybe this is not Bill Hewlett and Dave Packard running these companies.’ Maybe this is a different generation of leader that is prioritizing power, and control, and sheer profitability, and capitalism without guardrails over the communities they’re participating in.” He also says that a broader view of value is vital for recruiting and retaining millennials and younger workers. “We are moving into a world where they understand that and certainly the generation after them that’s been educated that we’re going to have more plastic in the ocean than fish in 2050,” he said. “That our homeless situation is increasing, and that there’s more inequality, and that our public schools need to be supported.”

‘We have to do it now’


Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: matt rosoff, https, wwwlinkedincom in mattrosoff
Keywords: news, cnbc, companies, tech, cofounder, company, theyre, companies, ive, going, business, capitalism, reboot, needs, salesforce, billionaire, marc, benioff, dead


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With trade agreement in doubt, five experts share what to watch now

Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week. Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while. “I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. “If you look at this trade deal, it’s probably a political win for both


Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week. Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while. “I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. “If you look at this trade deal, it’s probably a political win for both
With trade agreement in doubt, five experts share what to watch now Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: keris lahiff
Keywords: news, cnbc, companies, doubt, earnings, trade, think, experts, deal, global, agreement, know, going, share, bit, probably, china, watch


With trade agreement in doubt, five experts share what to watch now

Stocks are in a holding pattern to begin the week as doubts are raised over how much progress was made between the U.S. and China on Friday.

Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week.

Five experts weigh in on what they’re watching right now.

Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while.

“I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. We have banks reporting this week. You know, it’s been a tough environment for banks — deal volume is slowing a little bit, and the yield curve was inverted up until just a week or so ago — so I don’t think you’re going to get a big impetus from the earnings side. But we certainly know politically, a win on that front sometime as we approach more of the height of the election season is not a terrible thing to bank on.”

William Foster of Moody’s Investors Service says this gave the U.S. and China some breathing room before they move forward.

“It’s a step forward, but it’s, you know, we can’t expect too much, and obviously you’re seeing that right now from China. This basically buys more time for the two sides to try to come to some kind of agreement on some of the core issues, and that will just give the market more time to kind of digest.”

Sameer Samana, senior global market strategist at Wells Fargo Investment Institute, is playing it cautiously for the rest of the year.

“If you look at this trade deal, it’s probably a political win for both sides, which were in need of such a win. Unfortunately, it just doesn’t mean a whole lot for S&P earnings. It probably doesn’t mean a lot for economic data, at least not over the coming months. So from our standpoint, you know, you’ve got good gains in calendar year 2019 even though if you stretch back to Q4 last year they’re not spectacular. We’re still playing it pretty cautiously, so we are underweight small caps, they tend to be lower quality and tend to have fewer levers to pull. We’re also underweight high yield. We think credits are probably a little bit overdone, spreads are very tight. You’re just not getting paid to take that risk. We would take some of those dollars and put them in large caps, because again those are the companies that have probably the most, you know, flexibility in terms of navigating this global environment.”

Art Cashin, director of floor operations at UBS Financial Services, is skeptical much progress was made at all.

“It’s all blue smoke and mirrors. There’s nothing substantive there. I mean, I admire Treasury Secretary [Steven] Mnuchin, and he’s talking about intellectual properties and whatnot. I’m getting different signals from China. They don’t look like they want that to be part of a plan, and they indicate they’re going to take care of it locally. Secondarily, so tomorrow the tariffs were supposed to be raised. If I’m a business, I’ve already traded against that. I knew they were coming up. I bought whatever I wanted back before they were going to get raised, so the impacts are not very strong here.”

Gabriela Santos, global market strategist at J.P. Morgan Asset Management, says it makes sense to keep expectations in check.

“It’s an agreement to postpone the escalation that was planned for tomorrow and to continue talking over the next few weeks. So for us, I think it’s right to temper the enthusiasm a little bit after such a huge rally we had on Friday. It’s not locked down. No. 2, even if we end up having a ‘phase one’ written-down truce, it doesn’t remove the uncertainty cloud going into the election. And No. 3, we have also some late-cycle concerns to think about which should come to the forefront as earnings season picks back up this week.”

Disclaimer


Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: keris lahiff
Keywords: news, cnbc, companies, doubt, earnings, trade, think, experts, deal, global, agreement, know, going, share, bit, probably, china, watch


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Ohio soybean farmer says he wouldn’t vote for Trump again even if he could ‘walk across my pond’

An Ohio farmer and former Republican Party official told CNBC on Monday that President Donald Trump can’t win his vote back, even if the president went above and beyond what’s humanly possible. “I’m not going to vote for the president, and I’m on record for saying that,” said Gibbs, a former chairperson of the Shelby County Republican Party. The Republican president won more than 78% of the vote in Shelby County, which is on the west side of the state. Ohio is historically seen as a critical pat


An Ohio farmer and former Republican Party official told CNBC on Monday that President Donald Trump can’t win his vote back, even if the president went above and beyond what’s humanly possible. “I’m not going to vote for the president, and I’m on record for saying that,” said Gibbs, a former chairperson of the Shelby County Republican Party. The Republican president won more than 78% of the vote in Shelby County, which is on the west side of the state. Ohio is historically seen as a critical pat
Ohio soybean farmer says he wouldn’t vote for Trump again even if he could ‘walk across my pond’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: tyler clifford
Keywords: news, cnbc, companies, billion, trump, ohio, president, wouldnt, soybean, republican, pond, state, walk, vote, going, gibbs, win, farmer


Ohio soybean farmer says he wouldn't vote for Trump again even if he could 'walk across my pond'

An Ohio farmer and former Republican Party official told CNBC on Monday that President Donald Trump can’t win his vote back, even if the president went above and beyond what’s humanly possible.

Chris Gibbs, a soybean and corn farmer whose family owns and operates 560 acres of farmland, said on “Power Lunch” he’s “dubious” about the $40 billion to $50 billion worth of agricultural buys from China that the Trump administration last week announced after another round of trade talks.

“I’m not going to vote for the president, and I’m on record for saying that,” said Gibbs, a former chairperson of the Shelby County Republican Party. “He could come up with this $50 billion, he could walk across my pond and not get wet, and I’m still not going to vote for him because, you know, at the end of the day my name is Chris Gibbs, it’s not Judas, and I’m not going to sell my political moorings for 30 pieces of silver.”

Gibbs was one of millions of voters who gave Trump Ohio’s 18 electoral votes, helping him win the White House in the 2016 election against former Secretary of State Hillary Clinton. The Republican president won more than 78% of the vote in Shelby County, which is on the west side of the state. Ohio is historically seen as a critical path for both Republicans and Democrats to win presidential elections.

“I’m out,” Gibbs said.


Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: tyler clifford
Keywords: news, cnbc, companies, billion, trump, ohio, president, wouldnt, soybean, republican, pond, state, walk, vote, going, gibbs, win, farmer


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