chris we will see what happens with that. thanks. we will be on the markets in 30 minutes again. market makers is next. ♪ >> live from bloomberg headquarters in new york, this is "market makers" with erik schatzker and stephanie ruhle. >> the scourge of wall street takes it on the chin. to be the prosecutor, reversing a two insider trading. you will hear from the ceo. and fuel prices rise. does the gas tax rise? we will see if congress prepares for the first time in a generation. i am erik schatzker. stephanie ruhle is on assignment

this you week -- this week. we call this the bolton. let's begin with americans. -- not been this confident let's start with gas prices since the lowest in 2010. in biggest got -- job gains a decade. all that means is the willingness to spend more. radioshack is having trouble -- 40 million dollars of cash left. in washington, the house is set to pass a spending bill that would for -- avert a government shutdown.

>> they did a marvelous job and i wish you had been done last week. >> there was a lot of horse trading involved in many democrats are not happening with at least one provision and it role in tax that -- democrats call it a giveaway to wall street. nevertheless, the spending bill is expected to pass in both houses. it is almost time for hollywood to start congratulating itself. bird man among the top nominees for golden globes. they're considered a good indicator of who ends up taking home the oscars come february. like that, volatility is back. oil, russia, greece, the tao is, yesterday, the worst of the year.

what is it like to be an investor, putting 500 and $2 billion to work on these markets? let's find out. the largest managing the united kingdom here. pleasure to be on bloomberg. >> are you feeling fueled -- fearful or greedy? >> fearful. i always look at the downside. >> you are a global asset manager and you see opportunities in places like united states. a lot of people do. in places like russia. >> you have got to be very brave but there is money to be made there.

>> of course, countries like india, this is great news for lowell -- lower oil prices. >> all i know is these valuations are as low as you will see anywhere in the world. i think this is just demand for political uncertainty that is really holding back the ruble in the markets. are you feeling brave and bold? to russia right now or not yet? >> we are a slightly overweight, russia, for the first time ever.

we do feel there is value there. real value there. >> people talk about real value in this as well. things look cheap, but you have no idea when the economy will turn around and your patience will be rewarded. to you feel any more confident about the prospects there? >> there are good companies in europe. inre is money to be made some of these superb companies. there is money to be made in very good european companies. u.s.are cheaper than the counterparts. i would be more favor toward europe. what do you think will happen -- >> what you think will happen

next year? hopefully up 7, 8, 9%. >> if you look back 10 years, a poor return. >> if you're going to buy a market, what is the best way? >> i suppose by countries that are very big importers of oil. india is probably not a great example. times and i've0 never seen optimism in that .ountry it is amazing. some of the big importers, china, we have seen the rise

already happened there to a certain extent on the back of oil prices. markets, oil was going to get tremendous -- >> negative consequences of oil, it will make it much more difficult for the market to price opportunity. >> it is. , we should see stocks rise on the back of it. rise andot seen the decline of oil prices. see arvice companies will lot of decline, i think. ishow much of a game changer a $60 u.s. wti? companies dohe oil

that viability on sake $80. -- on say $80. >> i spent some time with larry think and asked him what is the safest big deal -- biggest concern for 2015. what is your biggest concern for 2016? >> we are such and emerging-market specialist. >> but emerging markets are not monolithic. there are different. >> it is. but taken generally. i think i like the sentiment for emerging markets improving. for would be the best thing us. >> what is your favorite emerging-market right now? is indonesia, malaysia, thailand. those three. malaysia probably because it has had the biggest hit because of

oil. >> wonderful to see you here. thank you very much. safe travels back home and happy holidays. he oversees 550 billion dollars. coming up, he has won more than 80 convictions for insider trading but an appeals court says he went a step too far. plus, the biggest peer-to-peer lender. the ceo of the lending club just raised $873. ♪

>> he just got a whole lot higher -- harder for prosecutors to make a trading case. two convictions and through dozens more into question. been prosecuted and part of aas

government crackdown on insider trading that said and -- that sent him to prison for years. he part of a government crackdown on insider trading that said said traders t hippies if they do not know who ofefited from disclosure information. who better than judge richard, who presided over the trial. also, sheila. and our bloomberg view columnist, matt. have i got that right, that it is harder to make insider trading case today than it was yesterday, and secondly, the idea that to be a td, -- eight except -- a tip. it made it easier for the government to go after tippers and created almost impossible pees.ards for remote ti

>> an 18 wheeler is a nice way to describe it. given your knowledge of insider trading law and prosecutions that have been brought against alleged criminals, how many of those cases will not fly now? what percentage of those cases hinge on this notion? >> it is not an issue because the relationship is direct. but if you read the opinion that came down yesterday, it still creates quite a barrier, even in that type of situation, and getting a decision. it says you have to prove that pee knows that the tipper is giving him information in exchange for a benefit. let's take the case we all know

about, where mark, received a running a doctor test. if the doctor simply had a mr. rogers moment and said it was a bit of a day out and i will give information, no one has violated the insider trading laws. >> i have been following this for several years now. there has been a lot of human carnage. the fbi raided two hedge funds where he worked, and those funds effectively shut down and people effectively lost their jobs. they were asked to testify against their friends, and dozens of people have lost their and some of those people have been vindicated today and i was wondering what you thought of that. do you think he and his prosecutors went too far? do you think they were on the right track?

is true there is a problem in the area of insider trading laws in defining the boundaries. marketplacelem the is always doing with. the insider trading law has traditionally made by the courts in decades. has been drawn is essentially up for grabs. it is a good idea to draw a clear line between criminal and noncriminal behavior. what the decision does is push that it willk sleep within an activity that, until yesterday, most people working on the street will say, that is wrong. classic basically legalize a lot of trading on information that goes on casually everyday. it basically tells us that you can do this. >> you can reach a decision in the decision says, you have a close personal relationship with the tipper, say it is your

brother, and he gives you information about the earnings the company is working for, it is not enough for the government. >> you are not in your head. does this effectively provide criminals with a roadmap for information? >> argued as roadmaps. the example of using a golf buddy, if you play golf with the ceo of a company, and they give you information the ceo required next week, you could maybe trade on it. the other roadmap, the more interesting one, is a really remote tippee. a lot of hedge funds run information where they talk to analysts and investigation -- somehow, it percolates up. that is what this opinion is about. a lot easier than it used to be. >> i spent time, and the

impression he would like us to why, and i can understand is that inside information, it is like a duck. if it looks like a duck and >> like a duck, it surely must be a duck. but not any longer. >> that is right. before yesterday, the law permitted a jury to make an inference, an inference that, if you are giving your brother inside information, that you are preaching your duty to your employer by doing that. .nd this says, not necessarily if you're doing it because it is a sunny day, that is not a breach of your duty. life what can the government do now, assuming i am quite sure they feel horrified, this will cause some damage, and it will open the floodgates, what can they do now to possibly pull

this back a little bit? alternatives,hree broadly speaking. one, he can attempt to go beyond this panel before all of the judges of the court of appeals. >> is that wise? >> it is between that and going directly to the supreme court. i would probably take the first path. the second argument is to go directly to the supreme court. and if i were looking at this case now, there might the a lot of other judges on the court that sit here in new york that are troubled by the decision. maybe i would try to get all the judges together. >> before we get out of time, we

have got to talk about what this means for michael steinberg's theal, who was tried in very same court before the very same judge, abstention -- gasention sleep because extensively because of newman. what you think of michael steinberg's appeal? >> i think the government made a tactical decision to try him by putting him in the same case as newman. i think they will be heard by the same appeals panel, very much opposed to not only that jury instruction, but i think it seems very likely he will win. >> would you say it is almost impossible for this panel to not feel similarly about the case? >> the panel almost certainly will reverse the conviction