blackrock, the world's largest fund manager, came right out and said climate risk is investment risk.in: i don't think there is a choice between plan and profit. when you look at some of the esg wasti resourc part oft ethe -- it d the boom line.re y? well, th brings stight back i. >> screeng compaes for e critia has pven an fective y to antipate an avoid andals cable of wipi out sha prices.artin:so foe critia has pven an nuveen esg mutual fund hadn't hold volkswagen for a long time becae there questions around the gornanccompany.ure of the >> this allowed those esg funds to avoid the stock crash that followed vw's emissions cheating scandal. >> green companiesre also better prepared to face the growing threat of climate change. these factors are reviving the. sustainable funds are attracting new assets at a record pace so the real question, then, is not whether green investments can make profits. the question is whher th can be called green in the first place? marn: there certainly is a definition problem in regard to esg. the lack of a central standard is an issue. hauke so a company

s larry fink the chairman of blackrock the world's largest front manager came right out and said climate risk is investment risk. i don't think there is a choice between plan and profit. this in the extreme metrics that you're scoring companies on you look at anything or is this really any s.g. thing or is this just good business are you producing are you wasting resources or wasting resources back to the bottom line or that. bring it straight back into big business. screening companies for e.s.d. criteria has proven an effective way to anticipate and avoid scandals capable of wiping out share prices through for example in between mutual funds. for a long time because there were questions around the governance structure of the company. this allowed those e s g firms to avoid the stock crash that followed reasonable use emissions cheating scandal. millions of their cars with cheating software to make their. green companies are also better prepared to face the growing threat of climate change. to surviving the appeal of green investment. sustainable funds are attracting new assets at a rec

s larry fink the chairman of blackrock the world's largest fund manager came right out and said climate risk is investment risk. but i don't think there is a choice between plan and profit. the metrics that you're scoring companies on you look at anything or is this really an s.g. thing or is this just good business policing are you wasting resources or wasting resources back to the bottom line bring it straight back into big business. screening companies for d.s.t. criteria has proven an effective way to anticipate and avoid scandals capable of wiping out share prices for example in between mutual funds they had to hold folks who are going for a long time because there were questions around the governance structure of the company. this allowed those e s g phones to avoid the stock crash that followed reasonably use emissions cheating scandal. millions of their cars with cheating software to make them. green companies are also better prepared to face the growing threat of climate change. to surviving the appeal of green investment. sustainable funds or attracting new assets at a record

can you talk a little about the tent of micro's financial -- blackrock's financial prowess around the worldf you can comment on the choice of john kerry as a limit envoy by joe biden? a to talk about blackrock little bit, they control $70 worth of assets. that is grown enormously in the last 10 years. prior to the great recession ,hen interest rates were higher investors like pension funds with put their money into treasury bonds which offer reliable returns, right? with interest rates down, the response to the crisis of the financial crisis, that has become a less attractive option. you have these big institutional investors who are seeking reliable returns. the products that blackrock offers like other asset managers have become very attractive, particularly these passive funds which are managed by algorithms and notably are not subject to the sort of sustainability screens that brian deese -- is last four years at blackrock talking about. these are enormously powerful sort of bodies, institutional investors generally, these big asset managers generally have had become sort of bigger than

s larry fink the chairman of blackrock the world's largest fund manager came right out and said climate risk is investment risk. but i don't think there is a choice between plan and profit. to somebody actually metrics that you're scoring companies on you look at anything or is this really any s.g. thing or is this just good business are you producing are you wasting resources or wasting resources back to the bottom line or that. bring it straight back into big business. screening companies for e.s.d. criteria has proven an effective way to anticipate and avoid scandals capable of wiping out share prices through for example in the mean mutual fund. folks who are going for a long time because there were questions around the governance structure of the company. this allowed those e s g phones to avoid the stock crash that followed hughes emissions cheating scandal. of their cars with cheating software to make their. green companies are also better prepared to face the growing threat of climate change. these factors are reviving the appeal of green investment. sustainable funds or attracti

last year or so we've seen now big institutional money coming into becoming blackrock the biggest money manager in the world fidelity huge 1000000000 dollar operation which has found like halted or johns and you know these guys typically operate as financial mercenaries right they really consider the great moral standards. but they've got a lot of money now how is this going to impact because if at all to me institutional money coming in is is to be expected because i think they're seeing even they're seeing that the dollar is just crashing like crazy and they're basically burning money by holding it and they need another asset and this is pretty much one of the few places that you can go that that's not stocks or real estate i mean i guess you can go to gold as well but we know how fractionally reserved lended that is and so on so. the fact that they're getting in is not a surprise and it is predictable just using incentives and game theory i mean there somebody is going to have to get in 1st and once they are at their end then other people are incentivized to go in before before even more people get in be

of blackrock the largest asset management firm in the world they have 7 trillion dollars under management so you know larry fink is like an untouchable right like he's probably more powerful than the president and he said to mark carney this clip we look at it is something is real but it still untested it still is still has many . we have to go to many markets to see if it's really probably real or if it's going to be a variant of that sometime in the future lastly that we're running out of time i would just say.

of blackrock the largest asset management firm in the world they have 7 trillion dollars under management so you know larry fink is like an untouchable right like he's probably more powerful than the president and he said to mark carney this clip we look at it is something is real but it still untested it still is still has many . we have to go to many markets to see if it's really probably real or if it's going to be a variant of that sometime in the future lastly if it were any other time i would just say. how do you additional currency has real impact on the u.s. dollar because having a digital currency makes the need for the u.s. dollar to be a lesser role of that. the u.s. the and so on i'm not certain i'm not talking about 4 americans i'm talking about for international holders of dollar based assets the question i would raise and you know maybe there's a market i could talk about it doesn't change the need for dollar reserves as a reserve currency if there was a true digital currency that was there was separated from from dollar b.'s assets and other things like that so many questi

of blackrock the largest asset management firm in the world they have 7 trillion dollars under management so you know larry fink is like an untouchable right like he's probably more powerful than the president and he said to mark carney this clip we look at it is something is real but it's still untested it's still it's still has many. we have to go to many markets to see if it's the probably real or if it's going to be a variant of that sometime in the future lastly that we're running out of time i would just say. how do you a digital currency has a real impact on the u.s. dollar because having a digital currency it makes the need for the u.s. dollar to be less relevant to. the u.s. at the end so and i'm not certain i'm not talking about for americans i'm dying but for international holders of dollar based assets the question i would raise and you know maybe there's a market i could talk about it doesn't change the need for dollar reserves as a reserve currency if there was a true digital currency that was there was separated from from dollar base assets and other things like that so man

the general trend and so i expect more of the same throughout 2021 that we saw throughout 2020 what's interesting blackrock biggest mad money manager the world something like 7 trillion they made the observation just studying their own flow of capital over their platform that money people are selling gold e.t.f. and buying big coin a.t.'s that this is something that because a community we've talked about for years and saying that because they are valuable in gold in many ways and we kind of thought that that this would be the case but now it's actually happening you know you manage a platform and you've got all kinds of investors and many investors are also into gold and so how do you position this going forward is this an accelerating trend is bitcoin actually going to start eating gold at lunch and in terms of capital flows are going to dry up in gold is that really in the cards simon dixon no i think those would always be gold and big question will always be bitcoin to a very complimentary say you know the wealthiest in the world so who is used to gold as a way of preserving the wealth of keeping their purchasing power they don't necessar

meanwhile, two alums from the world's largest asset manager, blackrock, will hold key economic positions. brian deese, a current executive at the investment giant, will be biden's pick for the national economic council. and wally adeyemo, senior international economic adviser under obama, will act as janet yellen's top deputy at the treasury department. climate activists have condemned the picks due to blackrock's funding of fossil fuel companies, among other issues. joe biden is currently recovering from fracturing his foot while playing with his dog. president trump's efforts to overturn the election results appear to be exhausted as he faced a string of defeats over the weekend. lawsuits in pennsylvania were rejected, both by the state's supreme court and a federal appeals court. and a recount in two liberal wisconsin counties, ordered by the trump campaign, cemented biden's victory there. trump said for the first time he'll leave office if the electoral college votes for joe biden, even as trump refuses to concede the election, which biden won in both the electoral college and popula

the world. let's bring in the head of asian credit at blackrock. it is this continuing story.irst in, first out and people chasing yield in anything yuan denominated. >> that is true. from a fundamental perspective, it is very clear the growth in china has been all the way back to where was pre-pandemic. all of the sectors or most of the sectors have recovered. from the fund a metal, china's does not need to have -- from the fund when a perspective, china does not need easing of policy. it is not need tightening either. a slight tightening bias keeps the onshore assets attractive, particularly on the fixed income side where we looked at the onshore rate. solidrrency is on a very path. [indiscernible] juliette: still a lot of concern about default risk. here?re you looking for are you looking at that concern in the property space in particular? all, defaults are earning credit -- are an important part of the credit cycle. our expectation is we do not expect to see the default rate going up significantly in 2021 even though we do expect to see some continuation of the default cy

the fed has created in a positive way. so, you, you -- david: have two hats at blackrock. put some money to work here. given your situation, how do you view the world? what do you expect? what are the investment opportunities? where is it smart to put money right now? rick: it gets harder every day, every year. i think the equity market is going higher. listen to what the fed says, they will leave interest rates down for a long time. where the rates have gotten to, it doesn't make the treasury market interesting where the mortgage market interesting. when rates stay where they are, that's direct injection of value into equities for m&a, capex, r&d, etc.. create balance in the portfolio? hold some cash, hold some of your government rate risk, the government debt that you owe, in tips with inflation protection and then get yield on the portfolio. credit market, parts of the emerging-market and securitized market, gets a yield from a bit more cash as its harder to hedge the day and then open the equity market. i think equities are going higher. one of the stories of why equities are fully valued, people who do equities don't see fixed income or a bene

stuart: the world's largest, biggest asset manager, blackrock, just released their outlook for 2021. the next six to 12 months on u.s. equities, u.s. stocks. so stock up according to the world's largest asset manager. they manage $6 trillion or so. they say buy stocks but sell u.s. and global government bonds. why? vaccines, divided government, strong recovery in the u.s. economy. they're favoring tech like cloud computing which you know all about now. also online advertising and digital payments. blackrock recommends chip producers and business software. you like cyclical sectors, don't you? you know what that is. stuart: what is a cyclical sector? susan: those rally back off of the a recovery in the u.s. economy. housing autos, materials, according to blackrock. not just the u.s., but asia, japan, europe. stuart: producers get the buzzer back, not for ye but for me. might have to wait for the ford 2021 bronco suv. oh dear, a delay, lauren. why? lauren: pandemic. unspecified supply chain delays, causing ford to delay the new bronco until the end of summer. rumors are the issue has to

blackrock, some of my sources there. remember, it's not just an investment firm, it's the world's largest investment firm. $8 trillion under management. i asked my sources there, what do you think of this pick, for him as essentially the nation's top economist inside the white house? the fed is the top economist but that's separate. inside the white house, the head of the nec is essentially national economic council is essentially the top economist for the new president, joe biden, and what they basically said is this. brian's a smart guy, he's obviously steeped in progressive policy, but he was never an economist inside blackrock. he was never a portfolio manager inside blackrock. he was essentially a marketer, somebody that sort of pitched environmental investing parameters both to the company's portfolio managers as well as creating some investments for others, for clients, to invest in environmentally social conscious investments. it's interesting. they think, they question his qualifications as an economist, is essentially what i'm saying here, and they also say that if you are going to pick someone