>> from our studios in new york, this is "charlie rose." charlie: "the revenant" is a new film based on the 2002 novel. it explores the existence of fur trappers in the 1820's. leonardo dicaprio plays hugh glass, a legendary frontiersman who suffered a bear attack, was left for dead by his companions, and crawled 200 miles to safety. here's a look at the trailer.

the only thing to do is track on land. >> meanwhile we set out here like ducks. i am talking to you. [screaming] >> the proper thing to do it be to finish him off quick. >> cared for on necessary.

-- he should be cared for as long as necessary. >> what happened? we did what we had to do. >> he was buried right. that boy.ad was and you took him from me, you understand? he's afraid. he knows how far i came to find him. ♪

>> i ain't afraid to die anymore. i have done it already. charlie: joining me now is the director. he won three academy awards in 2015 for this film, "bird man." and the star, leonardo dicaprio. i am pleased to have both of them at this table at the time. thank you for coming. i love this book. this is you in the harvard review. "with leo, i said i'd love to vulnerable, to, see the man that can be broken." he was very excited by that. is that how you describe glass for you?

leonardo: it is an interesting story for all of us read it is sort of a campfire legend that represents the iconic american frontiersman. it is man's struggle against nature and his ability to also conquer nature as well. it has been told from generation to generation, it is the time period. territory,is oregon which was much like the amazon. you have the capitalistic move out west. you have the clash of the indigenous populations with french and english fur trappers. here is this man that is mauled by a bear, left for dead, buried alive, and has to summon something within his will to persevere and move on. revenge is the thing that fuels him from the onset. we knew that we wanted to make a movie where we submerged herself in these actual elements. we wanted to see what sort of poetry came about.

what sort of questions arose in us as filmmakers. that is what we did. i said this before, but alejandro had a tough time explaining to me why exactly he wanted to go on this mecca, so to speak. i saw some thing in his eyes, he wanted to submerge himself in these environments and see what came out. it was almost like a large portion of our lives together in nature, asking ourselves these questions. charlie: he said i decided to embark in what i would characterize as more of a chapter of my life than a film commitment. did you come out with a different sense of what was important?

alejandro: we looked at all of the actors involved, we were there for nine months in sub zero temperatures. we would to this as a grand sort of artistic experiment, we had never been a part of something like this. we pulled up every crucial and hard to do shot. we would have an hour and a half of natural light. it became like live theater. this frenetic pace we had to keep up with. more so than that was for all of us, it was about allowing ourselves to put our trust in somebody else's unique process. that is what this was for us as actors. a lot of this was thought about beforehand in great detail. we needed to give ourselves over completely to something entirely new. it created a great camaraderie between the entire cast and crew and director. charlie: but also the most demanding and toughest

experience you have had as an actor? leonardo: by nature are doing a movie. yeah, this was certainly the toughest film i have ever been a part of. charlie: this has been around for awhile, hasn't it? alejandro: yes, i read the first written draft five years ago. i was really intrigued by the story of these men who actually was -- it was a real story about this character that 200 years ago was almost attacked by a bear. in the full winter he can survive 200 miles for revenge. i thought, what this guy has in mind, what happened in his life? anything that is known of hugh glass before and after is pure legend. no one was writing stories in that time. these men were alone by themselves in this difficult time. it was an uncharted territory.

what i loved was that this fact of being attacked by a bear and surviving was so improbable that it requires the suspension of disbelief, which is basically the foundation of the cinematic face, as coleridge said, of poetry. you need to stop judgment or prejudice to believe that a man can do that. all of those elements were there silently. charlie: how long cinematically does the scene of the bear attacking -- how many minutes? leonardo: 10 minutes. charlie: 10 minutes. how long did it take to shoot? alejandro: it was a lot of research.

it was one of those events no one would like to see in real life. to understand how it would actually happen, you have to see it in real time. not in a chopped, cinematic thing. when people say, why. charlie: almost like the "bird man" shooting. alejandro: yes, many things that i learned from "bird man" i applied here. in the point of view of hugh glass, people had to understand the point of view of the character. i wanted to make it immersive. if i decided to cut this bear attack in a cinematic way, fragmented way, to standardize it in the way people are used to, they would not understand the new ones of how he survived -- the nuance of how he survived. he literally throws you

around like a doll. leonardo: i remember the conversation in the script. how am i going to fight this bear? what am i going to do? oh yeah, it's not a fight, you are like a cat with a ball of yarn. charlie: you are the yarn. [laughter] leonardo: i essentially was. what is groundbreaking about that sequence and why so many people are talking about it is because it almost becomes virtual reality. you feel voyeuristic. you are watching something that you should not be witnessing. that is a testament to his masterful work. as artist they have a way of submerging you into this reality making you almost feel , the tension. a lot of what is so powerful is the moments of silence they create. the silence between man and beast, and what will happen next.

as the history of cinema unfolds, people will be talking about that sequence for a long time. charlie: the interesting thing about the performance, your performance is that you have said less in this movie than most of the movies you have done. it is about expression. it is about pain. it is about all of the things that you do with your eyes and your body. leonardo: that was what was interesting for me as an actor. how to push a narrative without words. that was attractive from the onset. it became about something different. he set up a landscape for us that was so incredibly authentic, the people around us, the costumes, the actual location that we were in. you do so much preparation beforehand learning about the time period and reading fur trap

journals, those that look at the mountain man as a sort of spirituality. but when you get there and are putting these conditions, it is all about trust. it is about trusting the director. how do we persevere. you rely on instinct as an actor. all of that preparation, all of the things that you thought about dissolve away. i think that was the experience for the entire cast. a trust within one another that we were going to do something completely different cinematically. charlie: that is exactly what you want, isn't it? all of the preparation is there, but when the battle starts -- when the action starts, you want them relying on instinct. alejandro: yeah, the physicality of it. you have to surrender and be very humble.

in can -- in bullfighting, how to stand in front of the bull. you see those guys, don't be a coward, get close! [laughter] there is no negotiation. you are at the mercy of it. i was looking to inform and substance in a predictable way. that is the way i like to frame things. to get into unpredictable things that we could not have thought. sometimes those things defeat us. but that was the battle and that what was the film about. at the end, the end problem is an x-ray of the process we went through.

with all of the weakness and strength, but it is a work in process because we never stop working with nature. charlie: you filmed this in natural light. so you had to wait two hours for natural light. alejandro: always on the sun came down, we were shooting. one of the reasons, visually we wanted this to be a painting. a sonic painting. i wanted them to submerge themselves in a caravaggio kind of way. those scenarios, we are not allowed to see it anymore polluted the planet with so many , advertising and cables and dams, at the right time of the day, that is when god speaks. that is when things really reveal themselves. that is part of the cinematic experience. that landscape is what kills hugh glass.

to shoot it in the right time was not only a aesthetic decision, but a production decision. in those long takes, if we had a shot at different times during the date, which would never have been allowed because we traveled 2h ours to get there, we would never finish and it would never match. charlie: you had a hard time finding the locales, didn't you? alejandro: more than 100 locations we had planned in three states. every time you arrive, you prepare 3-4 months in advance. you do everything for those things to be there. suddenly you arrive and they are destroyed by a lizard, or there is no snow. all the time you have to be moving around. ♪

charlie: the river had to be cold. they did not keep that -- heat that river for you. [laughter] leonardo: the entire production was cold. i had not been in the cold in a while. i got to new york yesterday, and thought, we did this every day for nine months. alejandro: dramatic -- post traumatic? [laughter] leonardo: i think my core temperature dropped. flashbacks to the movie. charlie: what was the most challenging part, other than the elements? leonardo: the challenging part?

the endurance. the endurance that everyone had to have every single day. he set the bar so high from the onset. our opening sequence in this movie, i did not even understand what alejandro was doing. he wanted to put the audience in the mindset of each of these lead characters in this long, 15 minute tracking shot. it is quite masterful. it took almost 3-4 weeks of rehearsal. what they achieve in that sequence is something -- i keep on talking about the movies that they must have drawn upon, whether it be treasurer of the sierra madre, tarkovsky films. they achieve this ability to get incredibly intimate with the characters, and then pan off to a landscape.

this cinematic snake in and out of the forest and to the mindsets of each character. i didn't understand what was going on until i saw the final product. i realized, well, that is why we prepare for these things in such great detail. that is why it takes weeks and weeks. charlie: what is it about him that made you willing to give yourself over to him and trust him? leonardo: i have been a fan of his work for a long time. it is the passion. it was the look in his eyes from the onset of saying, he wanted to go down to the heart of darkness so to speak. he wanted to have that moment in nature. it was almost like he wanted to give himself over to something higher than him. it was almost a sort of spiritual voyage that i think he wanted to go on. i knew that there are only so many times in your life you can be on a journey like that.

you want to put yourself in the hands of someone that will strive for incredible authenticity. that is what he did. there is no sequence in this movie that i do not remember alejandro looking at everything in detail of what was going on in the frame. that is what you want when you're working with a director. you want them to think of all of these things that you can concentrate on your job. he created this incredibly authentic atmosphere for us each and every day. charlie: so many people have raised the idea, how can an actor in those circumstances concentrate on his acting? leonardo: because of the conditions? it forces you to concentrate. to be int h the moment. granted, you have the cinematographer sometimes coming with a lens like this your face. you have to sort of edit that out. it forces you into almost this primal state of being. when you're out there for that

long, it becomes about the basics. it is really strange. all of the esoteric, existential things that you are thinking about, it becomes about just moving forward. alejandro: he is forgetting one detail. the first time i met with him to offer the role, i just put the gun and said, do you accept? in a mexican-style, do you accept this role? [laughter] it is true, it is all of the rehearsal. once we were there, we knew that we had this one take. the conditions -- no words, it every new wants -- every nuance in his eyes. no words, this is a show and tell film. charlie: this is a bit like the noose that makes you concentrate. alejandro: you have to be aware and present.

at the same time, reacting to birds or things that move. i think it is because the awareness that that technique gives you is the awareness that you will be making this in front of millions, it is what actors feel in the opening broadway show. they are exposed. live in for the first time. leonardo: for us as actors, a lot of us had to adjust to the process of finding our performance within very specific shot structures. it became something entirely different. it became a completely unique process for all of us. live theater every single day. the attention of having to achieve that hour and a half every single day is infused into the actual movie. you feel that tension. charlie: you feel that in the

performance. leonardo: yes, we were high-octane every single day. because if not, we would have to show up the next day hours and hours in these far-off locations. alejandro: next time you're in a green screen you'll be asking for snow. please, freeze the set. [laughter] charlie: just a note about the cinematographer, someone who worked with you on "bird man." alejandro: i didn't like him. [laughter] no, he is a brother and a true artist. light. master of he is a partner, partner in crime, visionary, sensitive artist, like nobody else. we share this kind of excitement of this period. you renovate or die.

that is my theory as an artist. always he would like to be renovating and trying things knowing that we could fail horribly. success is to fail and try again. we are trying all the time, knowing, laughing that we can fail. even mistakes we found in the way, we love it because we said, maybe there's something nice. there is no beauty without -- th ere is no light without darkness. we found those territories and we shared it. charlie: in the end, what is it about hugh glass, his true story made into a book, that enabled him to persevere? what is that x factor? leonardo: it is a tough thing to answer, but seeing these characters in this movie on screen, you are amazed about the perseverance of life.

the adaptability of life on earth. on a bunch ofk meanings for me that i could not have foreseen from the onset. so many of the conversations about this time period, the west thise out capitalistic surge to extract resources, kill animals, send them to europe. here you have these native american populations -- their culture is decimated in the process. it was an environmental undertone as well. hugh glass' story is about man surviving nature. adapting and the will to live. but it took on all these other meanings. especially going to places like the canadian tar sands, seeing how we are systematically destroying these places, indigenous cultures, forests

that are planted on an unprecedented scale in human history. we think we have learned so much from the past, from the mistakes of people in history, but here we are at this day and age doing things on a grander scale than ever before. not to mention the fact that we were shooting a film where we felt the onset of climate change hit 2015. it was one of the hottest years in recorded history. we are seeing so many climactic changes, places in the southern tip of argentina. today we are seeing unprecedented weather all over the world. i was simultaneously doing a document about climate change. -- documentary about climate change. we were interviewing dozens of scientists and thinkers and politicians all over the world. i was doing a film about climate change while i was doing this movie. to see it firsthand like this -- it is an unforgettable moment in

my life because this is the turning point. charlie: this is you speaking at the climate change conference in paris in december. leonardo: good segue! [laughter] leonardo: the year that has been the hottest in recorded history, it is hard to understand how people refuse to accept the reality of climate change. every year we allow their refusal to hold the world back to making progress is another year gone. precious days, weeks, months and years, wasted on inaction. today is different. across the globe, people of all communities are demeaning change. -- demanding change. marching in raising their voices and saying, enough is enough, we must act, and we must act now. our world leaders have come to paris, construed to buy politics, the individual needs of their constituencies, but we

need to leave here, liberated by their humanity, and emboldened by their sense of stewardship to the planet. they have a choice -- be timid and to stop at an agreement that allows them to save face, or they can leave. they can return to their own towns and cities with a real plan to save the planet. it is these cities that the change must start. charlie: you have suggested, and you have in that speech, we can meet the energy demands with clean, renewable energy. if we start now. leonardo: the united states needs to lead the way. charlie: did they in paris? leonardo: these agreements are for all emissions. we are talking about a scale of carbon in the atmosphere that is unprecedented. the climate is reacting accordingly. there have been carbon emissions and temperatures throughout recorded history, now we are here.

it has been this grand puzzle that has been incredibly difficult to figure out. one thing is crystal clear, is plays one ofates the most major roles in the entire world. if they had not come to the table, if the world community had not come to the table at this conference, the environment movement and climate movement would be dead. there needed to be some sort of progress. each one of these climate summits have failed miserably. for the first time, the world community is taking it seriously. the big question is, are we too late? that has been the pondering question for everyone. we should all remain optimistic, i want to remain optimistic. charlie: you're worried we're too late. somehow we have done so much damage -- leonardo: the answer to that is in somebody else's hands. we do know that the scientific community has been screaming out loud for decades. others have stifled their voices

and manipulated the conversation. it is a shame. one thing i am proud of, for the first time, we have seen the world community take the issue seriously. if they hadn't, there would be no hope. we cannot wait another four years for people to start to listen to 99% of the scientific community. it has become an absurdity. it is not about the individual anymore. it is about we. it is about we as a species, as a world community, finally coming together to make some sort of progress forward. whether we are too late or not, remains to be seen. i am very happy as an environmentalist to see some thing happen. alejandro: something i was laughing -- when i was reading the news, the politicians were discussing about negotiating with nature. 2 degrees, no, two degrees anf d a half. as if they can control the

earth's systems. we experienced the difference between one degree and another. it is a difference between ice and water. charlie: and sea level. alejandro: we were supposed to be shooting in one location. "the revenant" the difference is ice and water. when ice becomes water, it destroys the whole thing. i saw that. when they say, two degrees is acceptable, i say, really? experience one degree of change and you will talk about it. what am saying is, the notion of climate change is one, but to experience it -- and scientists travel to these places to experience it, is a different thing. charlie: from your portfolio, you engage in this.

leonardo: it is very important. absolutely. like i said, simultaneously i was doing a document about climate change. i hope to have it released next year. we could talk about this till we are blue in the face. it is the most existential human crisis that world has ever known, in my opinion. it is the biggest problem that mankind has had to face. we're not talking about something that will change in a decade or not. charlie: and a threat to our national security. leonardo: it is something -- it is something that will change the planet for millions of years. at this point we are hoping for a miracle. charlie: future generations will say, why didn't you do something? leonardo: exactly. alejandro: people should go to "thre revenant." [laughter] charlie: last time you are here

-- were here we talked about a documentary. leonardo: i think it was veranga. another one called "cowspiracy." i'm just focused on environmental documentaries at this point. charlie: thank you for coming. alejandro gonzalez iñarritu: thank you. charlie: the film opens this weekend. on friday. much success. alejandro gonzalez iñarritu: thank you very much. charlie: back in a moment. stay with us. ♪

charlie: market turmoil in chinese financial markets spread across the world this week. the shanghai composite dropped by more than 7% on thursday, triggering a circuit breaker agenda trading for the day. regulatory authorities say they will suspend ineptness and going forward. effects were felt on the u.s. markets as well. the dow jones closed down nearly 400 point. investors were partly reacting him to the chinese control bank moving to weaken the yuan. joining us now is henry and ted. i am pleased to have both of them on the program at this time. i begin with you, my friend, him julian.

what is going on? >> it is not a good start to a happy new year. the issue is not just the fact that china is slowing down. pace of growth is going -- slowing down. what is worrying people right now is politics and policy uncertainty. we are seeing the chinese government do some pretty unforgettable things, whether it is having another billionaire disappear. whether it is essentially coming into the market and coming out. in the real sense it is actually a country we thought was a

bedrock of the global economy and whose leadership was really winning control is losing and him and winning control is losing control. charlie: will come back to you, same analysis. same question. >> to me, it is about the currency. if you think about the chinese currency, it has a volatility of 2%. right now it is four times that. we have never, as investors with that kind of volatility. to me what is going on is china is going and trying to liberalize, as they go forward their taking step back -- step back. it is hard to liberalize your interest rates and currencies, and flows all in one swoop. they're trying to manage the process. as she said, it will come with

volatility. the number 1.0, if the currency is moving -- the currency is moving more than people thought. china has three and a half him million in reserves to support it. the rest of the world, emerging in markets the trade with china, do not have that base. one of the conclusions of what is happening is there is in effect outside of china than what is actually going on inside in china. >> here's the interesting point, you're right in terms of saying it is actually not just about the chinese currency, it is about a range and emerging-market currencies. we were looking at the financial times, the emerging-market currencies excluding the china currency are lower than they were in the autumn when janet yellen and the rest of the fed is cited not to raise rates because of concern about global turmoil.

in many ways we are seeing an increasingly unstable situation and the tech not just tectonic plates for the global economy shift. charlie: it is not only about the markets. julian: it is important to remember a growing that is growing -- a country that is growing at that percent -- the issue is, we are seeing a lot of confidence. check can be damaging, not just in china, but worldwide. >> i was there a couple of weeks ago, we have 16 businesses in china. those of the business is doing fine print i think what you're seeing right now is more capital market phenomena. no question, the fundamental premise, china was a exporter from 2000-2013. it is shifting to a consumer story. that is slowing as well. it is really to me, about the capital markets. they want to control the liberalization process. right now you have the command and control economy facing off against capitalism. it is the intersection creating volatility. gillian: there is another issue,

there are pockets of the chinese economy that have run up white a lot of debt. that has not got a lot of attention. as we start to see more capital and market turmoil, as we see people questioning the chinese economic growth, one thing people should watch for is what happens to those people in debt. charlie: when you could world bank changing the forecast for 2016, from -- to 2.9, is that all connected to china? are the observations on the global market -- we have other factors on stability in the middle east. we have oil prices and those things are connected. we have other things going on around the world other than the chinese economy. gillian: absolutely. look at south africa right now, it used to be one of the darlings of the emerging-market

world. we seeing a lot of political uncertainty there. look at brazil, frankly again, him it was one of the great bricks, the so-called emerging-market darling the people wanted to invest in. those are concerning things right now. charlie: is that about political corruption or the drying up of the chinese market and the chinese demand for that economy? gillian: it is a combination. the commodity cycle is significant. it keeps falling in most sectors. here is something people do not look at, shipping index. one of the key shipping indexes which reflects global trade has fallen to its lowest level in several decades this week. a innocence, we do not need to

him and panic yet. certainly the type of growth rates people were expecting this year, are unlikely to be there. charlie: i think george said it reminded him of 2008. china has a crisis and it will challenge financial markets. henry: if you look at the global gdp, the u.s. is about a third, china is about a third. it is a two engine that drives the global economy. china's economy has been slowing for some time. fixed growth was growing 35%, today it is 10% and stabilizing. that is not new, what is new, is the moving towards dealer realization -- deliberat of the currency. central banks have created a greater environment for wall street. what is shifting is, we will see an ok environment for main

street, but tougher for wall street. gillian: if there is one lesson we learned from 2008, you cannot separate capital markets and the him real economy. something that has not gotten enough attention, is the fact, the trillions of dollars of quantitive easing have often ended up in the emerging-market world. that has created debt bubbles and emerging market world. just as in 2007, 2008, we are beginning to see those gigantic bubbles begin to actually, if not implode, the deflate. -- been deflate. --then deflate. that is what people are concerned about. henry: china runs a strong current account surplus. their fiscal balance is in good shape. to me, i don't worry much -- as a much about china unraveling. through our businesses we can see the consumers still growing. household income is growing.

that is 8-10% per year. it is what she hit on come of this phenomenon of global trade is something we take for granted. we think globalization is a one-way trade. what you have seen since 2014 is global trade as a percent of gdp is coming down. when that slows down, people try to devalue the currency to create competitive advantage. what has happened this time, it has only raised the price of imports. there has been no pickup in him exports. him and that is what is him that is what is different about the cycle. gillian: if you want to be geeky, go home and look at the voltage drive rate -- baltic drive rate and dekes. -- index. it is a signal of global trade. it indicates the price of having a chunk of space on a ship to move your goods around the world. when you have lower levels of trade, falling demand, you tend to have prices collapsed. charlie: because there is a lot

of space on the ship. him henry: with lower rates you build excess capacity. you have not created enough excess demand. what is different about recovery, there is not a lot of demand, but because consumers are not levering up, we have created a lot of supply. the second thing is china is trying to build a domestic consumption economy. by definition, if they are doing that, that means there are doing less trade with others. you have got, what i would say is the biggest part -- number one and number two in the global economy is now more inward focused. over time it makes them more of a defensive, more self-reliant economy. him the u.s. is 70%

him consumption. him largely, if we do not shoot ourselves in the foot, we could have a good economy. china has been largely fixed in -- investment and trade, they have to depend on exported to others. they are trying to make more of a domestic economy. charlie: to have a rising middle class. henry: as they do that, many partners are still betting on the old model, which was global trade. that is where you see the friction. charlie: those models cannot exist side-by-side? henry: they can on a long-term and him basis. we are in the hitter -- here in now right now. you are at a time where the federal reserve is changing and voluntary -- monetary policy.

we have two things, the fed is raising interest rates at a time where china is trying to liberalize the currency. that will create volatility. charlie: was that a mistake to liberalize currency? henry: they have to, to get to where they want to go, they need to liberalize. charlie weis liberalize means? -- charlie: liberalize means? henry: interest rates, currency, and flows in and out of the country. the currency can move and flows can come in and out, they are struggling right now with doing

that in a smooth fashion. what happens is, you're getting these moments where you are saying, we will liberalize, but then you intervene. the stock market intervention we saw over the last few months is a perfect example -- to your point earlier, it creates -- it hurts the confidence of the domestics. gillian: japan in the 1980's, was in the same position. the problem is coming to take an economy like japan in the postwar, or china, you build it up where you have intense control, all of the money in the economy directed towards industry, and bureaucrats control that and run it

him effectively. the problem today, like japan and the 1980's, is that when an economy outgrows that kind of model, moving to a brave new world market-driven finance is hard. him they should have started him this several years ago and had a gradual transition. by delaying reforms, unfortunately, china, just like japan before, is seeing a nasty shock. we all know how the japanese him bubble ended. him henry: i think you have to him separate the chinese economy into three parts. one is exports, we do think there is stress. the other is consumption. the third is value added services. but the number two is what people said -- or toothbrushes, combs, that is becoming more mature.

bucket three, the value added services, health care, wellness, financial services, that is booming. can tell you, we were just there. environmental protection, people want to make sure their kids have the right health care. it was a make sure they are not being hurt by smog. those businesses are growing 20 percent-.5%. destiny 5%. -- 25%. charlie: they have an enormous him -- in or miss reserves, what can they do to restructure their economy and create a stimulus that might boost their economy? henry: the number one thing right now is you need to create more transparency. i think people internally and externally want to know what the game plan is. charlie: to that, in both, people have said they do not trust the numbers. henry: i think the anticorruption initiative is widespread. we see it, we have a liquor distribution business where him distribution business where sales have fallen by 30%. people used to graft gifts. him that business has fallen

off. people do not know if you can give a gift or not because of corruption. you extend that fear beyond just traditional corruption. to me, creating more him transparency about that. the second is, if you go back to the interest rate and the currency, in august we had a shock overnight. that created an unsettled -- environment, similarly you mentioned eight days were the currency went down. nobody expected china would get into the s cr and move their currency down eight days in row. those kinds of messages in terms of communicating, think about what has happened. him we have gone from a government in china that communicated well, and ben bernanke communicated well, so

right now we have janet yellen. people question whether she fully understands proper medication with the market. i think in the chinese him leadership we have strong officials who know how to consolidate power. they know where they want to go. in terms of capital market express, they are learning. gillian: there are three areas, one, you need policy transparency. him transparency. one day they say they are trying to intervene in the currency market, the next day they him vanish. that is not help confidence. they need political transparency. today we had another billionaire banish -- vanish. and data transparency. a $1.5 billion hedge fund, a successful one in london announced this week it is

him shutting down because the him him him markets in china are so un-transparent it him is hard to invest in a rational way. it was an emerging market fund. that is knocking on investor confidence. henry: investors moving into the emerging market are going to him him need to be able to move away from a hedge fund model. him him they will have to lock him up their money for a longer amount of time. if you think about it, the volatility that we are seeing is going to be higher, going forward. by definition. him gillian: i agree. i understand, right now, anyone himi understand, right now, anyone hoping to make short-term

gains on a market like china, might as well take their money him on the blackjack table. it is a gamble. himit is a gamble. you might be lucky. charlie: i assume you mean by that, you might as well put it him on a blackjack table, is simply because no one -- things him simply because no one -- things are so volatile, the factors that will determine the success -- you have no capacity to predict what way they'll go. gillian: you have three factors making it hard for people, complete data uncertainty in china and india, also the big changes in the way the market works. algorithmic trading means that him markets behave and kill your ways. three is the good old fashion political risk. all manner of military conflicts. we have not seen that for a number of years. that makes life unpredictable.

charlie: thank you for joining us. see you next time. ♪

emily: i am emily chang and you are watching "bloomberg west." to let's get started with your him first word news. major indexes saw their worst weekly declines in more than four years. the s&p 500 ended the week 6% himthe s&p 500 ended the week 6% lower, one of the worst starts of the year in history. oil has reached its lowest level in more than five years. mexico says a fugitive drug lord has been recaptured. mexico's president tweeted, "mission accomplished, we have him." this after el chapo escaped from him one of mexico's most secure prisons using a mile-long tunnel that opened in his cell shower. president obama vetoed legislation to repeal the signature health care law, as expected. this t