Latest / Views from 6,230 / Staying Consistent in Volatile Markets: Insights from Baron Capital

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Staying Consistent in Volatile Markets: Insights from Baron Capital · Views from 6,230

• 0:01
  Welcome
• 0:02
  to
• 0:02
  the
• 0:02
  Adjusted
• 0:03
  for
• 0:03
  Risk
• 0:03
  Podcast.
• 0:04
  Join
• 0:05
  myself,
• 0:06
  Brian
• 0:06
  Nauman
• 0:07
  as
• 0:07
  I
• 0:07
  talk
• 0:07
  market
• 0:08
  investments
• 0:09
  economic.
• 0:09
  Let's
• 0:09
  get
• 0:09
  started
• 0:10
  in
• 0:10
  life,
• 0:11
  as
• 0:11
  I
• 0:11
  hope
• 0:11
  prepare
• 0:12
  you
• 0:12
  for
• 0:12
  the
• 0:12
  upcoming
• 0:13
  week
• 0:13
  in
• 0:14
  markets.
• 0:15
  I
• 0:15
  work
• 0:16
  for
• 0:16
  Zephyr
• 0:16
  in
• 0:17
  all
• 0:17
  of
• 0:17
  express
• 0:18
  by
• 0:18
  myself
• 0:19
  in
• 0:19
  my
• 0:20
  podcast,
• 0:20
  guests
• 0:21
  are
• 0:21
  solely
• 0:21
  of
• 0:21
  their
• 0:22
  own
• 0:22
  opinions
• 0:22
  and
• 0:22
  do
• 0:23
  not
• 0:23
  reflect
• 0:24
  the
• 0:24
  opinion
• 0:24
  of
• 0:25
  Zephyr
• 0:26
  or
• 0:26
  Informa.
• 0:27
  Its
• 0:27
  contains
• 0:27
  company.
• 0:28
  This
• 0:29
  podcast
• 0:30
  is
• 0:30
  for
• 0:30
  information
• 0:31
  purposes
• 0:32
  only
• 0:32
  and
• 0:32
  should
• 0:32
  not
• 0:33
  be
• 0:33
  relied
• 0:33
  on
• 0:34
  for
• 0:34
  investment
• 0:35
  decisions.
• 0:37
  Welcome
• 0:37
  everyone
• 0:38
  to
• 0:38
  zephyr's
• 0:38
  adjusted
• 0:39
  for
• 0:39
  Risk
• 0:39
  podcast.
• 0:40
  We
• 0:41
  are
• 0:41
  recording
• 0:42
  on
• 0:42
  location
• 0:43
  at
• 0:43
  the
• 0:43
  Exchange
• 0:44
  ETF
• 0:45
  conference
• 0:46
  in
• 0:46
  Las
• 0:46
  Vegas.
• 0:48
  You
• 0:48
  know,
• 0:48
  more
• 0:48
  and
• 0:49
  more
• 0:49
  asset
• 0:49
  managers
• 0:50
  have
• 0:50
  started
• 0:50
  to
• 0:51
  offer
• 0:51
  ETFs
• 0:52
  in
• 0:52
  recent
• 0:53
  years.
• 0:54
  While
• 0:54
  my
• 0:54
  next
• 0:55
  guest
• 0:55
  in
• 0:55
  his
• 0:56
  asset
• 0:56
  management
• 0:57
  firm
• 0:57
  are
• 0:57
  no
• 0:58
  different,
• 0:58
  he
• 0:59
  is
• 0:59
  going
• 0:59
  to
• 0:59
  share
• 0:59
  some
• 1:00
  great
• 1:00
  insights
• 1:00
  about
• 1:01
  the
• 1:01
  innovations
• 1:02
  and
• 1:02
  how
• 1:02
  ETFs
• 1:03
  compliment
• 1:04
  their
• 1:04
  mutual
• 1:05
  funds.
• 1:06
  I'd
• 1:06
  like
• 1:06
  to
• 1:06
  give
• 1:07
  a
• 1:07
  very
• 1:07
  warm
• 1:08
  welcome
• 1:08
  to
• 1:08
  Michael
• 1:09
  Baron.
• 1:10
  Michael
• 1:10
  is
• 1:10
  a
• 1:10
  co-president
• 1:11
  and
• 1:11
  portfolio
• 1:12
  manager
• 1:13
  at
• 1:13
  Baron
• 1:14
  Capital.
• 1:14
  Michael.
• 1:15
  Thank
• 1:15
  you
• 1:16
  so
• 1:16
  much
• 1:16
  for
• 1:16
  coming
• 1:17
  on
• 1:17
  the
• 1:17
  podcast.
• 1:17
  It's
• 1:17
  an
• 1:18
  honor
• 1:18
  to
• 1:18
  have
• 1:18
  you.
• 1:18
  I'm
• 1:19
  really
• 1:19
  excited
• 1:19
  about
• 1:19
  this
• 1:20
  conversation.
• 1:21
  Can
• 1:21
  you
• 1:21
  tell
• 1:21
  us
• 1:21
  a
• 1:21
  little
• 1:21
  bit
• 1:22
  about
• 1:22
  yourself
• 1:22
  and
• 1:22
  Barron
• 1:23
  Capital?
• 1:25
  Sure.
• 1:25
  Um,
• 1:25
  first
• 1:26
  of
• 1:26
  all,
• 1:26
  thank
• 1:26
  you
• 1:26
  for
• 1:26
  having
• 1:26
  me.
• 1:26
  Uh,
• 1:27
  this
• 1:27
  is,
• 1:27
  as
• 1:28
  you
• 1:28
  mentioned,
• 1:28
  we're
• 1:28
  doing
• 1:29
  this
• 1:29
  on
• 1:29
  location,
• 1:30
  um,
• 1:31
  at
• 1:31
  a,
• 1:32
  a
• 1:32
  conference
• 1:32
  here
• 1:32
  in
• 1:32
  Las
• 1:33
  Vegas,
• 1:33
  and
• 1:34
  it's
• 1:34
  actually
• 1:34
  my
• 1:35
  first
• 1:35
  ETF
• 1:36
  conference.
• 1:36
  So,
• 1:36
  so
• 1:36
  I'm
• 1:37
  a
• 1:37
  newbie
• 1:37
  here.
• 1:38
  Uh,
• 1:38
  but,
• 1:39
  uh,
• 1:39
  been
• 1:40
  been
• 1:40
  doing
• 1:40
  this
• 1:40
  for,
• 1:41
  for
• 1:41
  a
• 1:41
  little
• 1:41
  bit
• 1:41
  in
• 1:42
  terms
• 1:42
  of
• 1:42
  asset
• 1:42
  management.
• 1:42
  Our
• 1:43
  firm
• 1:43
  obviously
• 1:44
  has
• 1:44
  been
• 1:44
  doing
• 1:44
  it
• 1:44
  even
• 1:44
  longer.
• 1:45
  Uh,
• 1:46
  so
• 1:46
  I
• 1:46
  think
• 1:46
  the
• 1:46
  question
• 1:46
  was
• 1:47
  just
• 1:47
  tell
• 1:47
  you
• 1:47
  a
• 1:47
  little
• 1:47
  bit
• 1:47
  about
• 1:47
  Barron
• 1:48
  Capital
• 1:48
  and,
• 1:49
  and
• 1:49
  how
• 1:49
  we
• 1:49
  got
• 1:49
  our
• 1:49
  start
• 1:50
  as
• 1:51
  I
• 1:51
  think
• 1:51
  the
• 1:51
  name
• 1:52
  would
• 1:52
  suggest,
• 1:52
  you
• 1:53
  know,
• 1:53
  my
• 1:53
  dad,
• 1:53
  Ron
• 1:54
  Barron,
• 1:54
  he
• 1:54
  had
• 1:54
  been
• 1:54
  a
• 1:54
  traitor
• 1:55
  previously
• 1:56
  and
• 1:56
  he
• 1:56
  had
• 1:56
  this
• 1:56
  epiphany,
• 1:57
  um,
• 1:58
  looking
• 1:58
  back
• 1:58
  at
• 1:58
  all
• 1:59
  the,
• 1:59
  the
• 1:59
  trades
• 1:59
  he
• 2:00
  made
• 2:00
  and
• 2:00
  said,
• 2:00
  Hey,
• 2:00
  when
• 2:00
  you
• 2:01
  find
• 2:01
  these
• 2:02
  incredible
• 2:02
  businesses
• 2:03
  that
• 2:03
  fit
• 2:03
  the
• 2:03
  Barron
• 2:03
  Capital
• 2:04
  philosophy
• 2:05
  and
• 2:05
  premise,
• 2:06
  it's
• 2:06
  better
• 2:06
  to
• 2:06
  own
• 2:07
  them
• 2:07
  for
• 2:07
  the
• 2:07
  long
• 2:07
  term.
• 2:08
  And
• 2:08
  I'll
• 2:08
  go
• 2:08
  into
• 2:08
  exactly
• 2:09
  what
• 2:09
  that
• 2:09
  is
• 2:09
  in,
• 2:09
  in
• 2:10
  a
• 2:10
  second.
• 2:11
  Um.
• 2:12
  But
• 2:12
  as,
• 2:13
  as
• 2:13
  we've
• 2:13
  done
• 2:13
  that
• 2:14
  over,
• 2:14
  like
• 2:14
  I
• 2:14
  said,
• 2:15
  since
• 2:15
  1982,
• 2:15
  over
• 2:16
  44
• 2:17
  years,
• 2:17
  I
• 2:17
  guess
• 2:17
  at
• 2:18
  this
• 2:18
  point,
• 2:19
  not
• 2:19
  much
• 2:19
  has
• 2:19
  changed
• 2:20
  with
• 2:20
  Baron
• 2:20
  Capital.
• 2:21
  We,
• 2:21
  we've,
• 2:21
  you
• 2:21
  know,
• 2:22
  we
• 2:22
  wanna
• 2:22
  be
• 2:23
  known
• 2:23
  as
• 2:24
  the
• 2:24
  boutique
• 2:25
  equity
• 2:25
  growth
• 2:25
  manager,
• 2:26
  um,
• 2:26
  a
• 2:26
  long-term
• 2:27
  owner.
• 2:28
  And
• 2:28
  now
• 2:29
  at
• 2:29
  this
• 2:29
  next
• 2:29
  stage
• 2:29
  of
• 2:29
  the
• 2:29
  part
• 2:30
  of
• 2:30
  the
• 2:30
  business,
• 2:30
  it's
• 2:30
  about
• 2:31
  extending
• 2:31
  the
• 2:31
  number
• 2:32
  of
• 2:32
  product
• 2:33
  structures,
• 2:33
  not
• 2:33
  necessarily
• 2:34
  in
• 2:34
  terms
• 2:34
  of,
• 2:34
  of
• 2:35
  products,
• 2:36
  um,
• 2:37
  but
• 2:37
  what
• 2:37
  we
• 2:37
  do
• 2:37
  at
• 2:37
  Baron
• 2:38
  Capital
• 2:38
  and
• 2:38
  what
• 2:38
  it,
• 2:38
  why
• 2:39
  it's
• 2:39
  so
• 2:39
  unique
• 2:40
  is.
• 2:42
  We're
• 2:42
  growth
• 2:42
  managers.
• 2:43
  Um,
• 2:43
  when
• 2:43
  you're
• 2:44
  owning
• 2:44
  businesses,
• 2:44
  I
• 2:44
  think
• 2:45
  the
• 2:45
  average
• 2:45
  mutual
• 2:45
  funder
• 2:46
  or
• 2:46
  average
• 2:46
  manager
• 2:46
  out
• 2:47
  there
• 2:47
  owns
• 2:47
  businesses
• 2:47
  for
• 2:48
  10
• 2:48
  or
• 2:48
  11
• 2:48
  months,
• 2:48
  less
• 2:48
  than
• 2:49
  a
• 2:49
  year
• 2:49
  on
• 2:49
  average.
• 2:50
  You
• 2:51
  don't
• 2:51
  care.
• 2:51
  You
• 2:51
  don't
• 2:51
  care
• 2:52
  what
• 2:52
  the,
• 2:52
  why
• 2:52
  others
• 2:53
  can't
• 2:53
  do
• 2:53
  this.
• 2:53
  You're,
• 2:54
  you're
• 2:54
  saying,
• 2:54
  what's
• 2:54
  it
• 2:54
  gonna
• 2:55
  do
• 2:55
  next
• 2:55
  quarter
• 2:55
  or
• 2:56
  next
• 2:56
  year?
• 2:57
  We're
• 2:57
  thinking
• 2:57
  about
• 2:57
  what
• 2:57
  these
• 2:58
  businesses
• 2:58
  can
• 2:58
  become
• 2:59
  over
• 2:59
  five
• 3:00
  years,
• 3:00
  10
• 3:00
  years,
• 3:01
  and
• 3:01
  it
• 3:01
  shows
• 3:01
  the
• 3:01
  numbers,
• 3:02
  you
• 3:02
  know,
• 3:02
  our
• 3:02
  average
• 3:02
  holding
• 3:03
  period
• 3:03
  across
• 3:04
  the
• 3:04
  firm.
• 3:05
  I
• 3:05
  think
• 3:06
  it's
• 3:06
  around,
• 3:06
  uh,
• 3:07
  six
• 3:07
  years
• 3:07
  or
• 3:08
  so
• 3:08
  when
• 3:08
  some
• 3:08
  of
• 3:08
  our
• 3:09
  larger
• 3:09
  strategies
• 3:09
  have
• 3:09
  been
• 3:10
  higher,
• 3:10
  getting
• 3:10
  up
• 3:10
  to
• 3:10
  seven
• 3:11
  or
• 3:11
  eight
• 3:11
  years.
• 3:12
  Uh,
• 3:12
  so
• 3:12
  we
• 3:13
  really
• 3:13
  need
• 3:13
  to
• 3:13
  understand
• 3:13
  the
• 3:13
  competitive
• 3:14
  advantage.
• 3:14
  What's
• 3:15
  the
• 3:15
  dream
• 3:15
  and
• 3:17
  why
• 3:17
  can
• 3:17
  others
• 3:17
  not
• 3:18
  do
• 3:18
  this?
• 3:18
  And
• 3:19
  then
• 3:19
  finally,
• 3:19
  it's
• 3:19
  about
• 3:20
  people.
• 3:21
  We're
• 3:21
  we're,
• 3:22
  these
• 3:22
  are
• 3:22
  not
• 3:23
  nameless
• 3:23
  faces
• 3:24
  organizations.
• 3:25
  These
• 3:25
  are
• 3:25
  true,
• 3:26
  uh,
• 3:26
  people,
• 3:26
  entrepreneurs
• 3:27
  who
• 3:27
  are
• 3:28
  driving
• 3:28
  them,
• 3:28
  making
• 3:28
  decisions.
• 3:29
  It's,
• 3:30
  uh,
• 3:30
  it's
• 3:30
  actually
• 3:30
  the
• 3:31
  part
• 3:31
  of
• 3:31
  my
• 3:31
  job
• 3:31
  that
• 3:31
  I
• 3:31
  love
• 3:32
  the
• 3:32
  most
• 3:32
  other
• 3:33
  than
• 3:33
  coming
• 3:33
  to
• 3:33
  this
• 3:34
  conference
• 3:34
  and
• 3:34
  sticking
• 3:34
  with
• 3:34
  you.
• 3:35
  It's,
• 3:36
  you
• 3:36
  know,
• 3:36
  going
• 3:36
  out
• 3:37
  and,
• 3:37
  and
• 3:37
  doing
• 3:37
  research,
• 3:38
  talking
• 3:38
  to
• 3:38
  executives,
• 3:39
  talking
• 3:39
  to
• 3:39
  founders
• 3:39
  of
• 3:40
  businesses,
• 3:40
  understanding,
• 3:41
  uh,
• 3:41
  what
• 3:41
  their
• 3:42
  vision
• 3:42
  is
• 3:42
  for
• 3:42
  them.
• 3:43
  What's
• 3:43
  their
• 3:43
  mission,
• 3:44
  uh,
• 3:44
  what's
• 3:44
  their
• 3:44
  dream,
• 3:45
  um,
• 3:45
  where
• 3:46
  they've
• 3:46
  had
• 3:46
  successes
• 3:47
  in
• 3:47
  the
• 3:47
  past,
• 3:47
  where
• 3:47
  they've
• 3:47
  had
• 3:47
  failures
• 3:48
  in
• 3:48
  the
• 3:48
  past,
• 3:48
  and
• 3:49
  really
• 3:49
  betting
• 3:49
  on
• 3:49
  them
• 3:50
  whether
• 3:50
  or
• 3:50
  not
• 3:50
  we
• 3:50
  think
• 3:51
  they'll
• 3:51
  be
• 3:51
  successful
• 3:52
  in
• 3:52
  achieving
• 3:52
  the
• 3:52
  long
• 3:53
  term
• 3:53
  goals
• 3:53
  of
• 3:54
  that
• 3:54
  business.
• 3:55
  Um,
• 3:55
  and
• 3:56
  then
• 3:56
  finally,
• 3:56
  we're
• 3:56
  looking
• 3:56
  to
• 3:57
  buy
• 3:57
  them
• 3:57
  at
• 3:57
  attractive
• 3:58
  prices
• 3:58
  and.
• 3:59
  That's
• 3:59
  also
• 4:00
  maybe
• 4:00
  an
• 4:00
  interesting
• 4:00
  thing
• 4:01
  to
• 4:01
  talk
• 4:01
  about
• 4:01
  for
• 4:01
  a
• 4:01
  second.
• 4:02
  You
• 4:02
  know,
• 4:02
  people
• 4:02
  look
• 4:02
  at
• 4:02
  us
• 4:02
  and
• 4:03
  growth
• 4:03
  investors
• 4:04
  and
• 4:04
  they
• 4:04
  say,
• 4:04
  oh,
• 4:04
  it
• 4:04
  it,
• 4:05
  it's
• 4:05
  expensive.
• 4:06
  You
• 4:06
  know,
• 4:06
  you're
• 4:06
  expensive.
• 4:07
  What
• 4:07
  they're,
• 4:07
  what
• 4:07
  they're
• 4:08
  either
• 4:08
  doing
• 4:08
  today
• 4:09
  or,
• 4:09
  or
• 4:09
  what
• 4:09
  they're
• 4:09
  buying
• 4:10
  today
• 4:10
  with
• 4:10
  the,
• 4:10
  the
• 4:10
  prices.
• 4:11
  And
• 4:13
  when
• 4:13
  we
• 4:14
  look
• 4:14
  at
• 4:14
  valuations,
• 4:15
  we're
• 4:15
  looking
• 4:15
  out
• 4:15
  into
• 4:15
  the
• 4:16
  future.
• 4:16
  In
• 4:16
  terms
• 4:17
  of
• 4:17
  what
• 4:17
  these
• 4:17
  businesses
• 4:18
  can
• 4:18
  become,
• 4:19
  what
• 4:19
  they
• 4:19
  can
• 4:19
  earn
• 4:20
  in
• 4:20
  the
• 4:20
  future,
• 4:20
  and,
• 4:21
  and
• 4:21
  from
• 4:21
  those
• 4:22
  perspective,
• 4:22
  from
• 4:22
  that
• 4:23
  perspective,
• 4:23
  very
• 4:23
  unique
• 4:23
  perspective.
• 4:24
  Uh,
• 4:25
  we'd
• 4:25
  like
• 4:25
  to,
• 4:25
  we
• 4:25
  find
• 4:25
  businesses
• 4:26
  that
• 4:26
  we
• 4:26
  feel
• 4:26
  can
• 4:27
  double
• 4:27
  in
• 4:27
  value
• 4:27
  over
• 4:28
  the
• 4:28
  next
• 4:28
  five
• 4:28
  years
• 4:29
  and
• 4:29
  probably
• 4:29
  double
• 4:29
  again
• 4:30
  four
• 4:30
  or
• 4:30
  five
• 4:30
  years
• 4:31
  after
• 4:31
  that.
• 4:33
  Michael,
• 4:33
  fantastic.
• 4:34
  I
• 4:34
  love
• 4:34
  that
• 4:35
  backdrop.
• 4:36
  And
• 4:36
  going
• 4:37
  back,
• 4:38
  uh,
• 4:38
  I
• 4:38
  told
• 4:39
  you
• 4:39
  this
• 4:39
  story
• 4:39
  during
• 4:40
  our
• 4:40
  prep
• 4:40
  call,
• 4:41
  but
• 4:41
  years
• 4:42
  ago.
• 4:42
  Um,
• 4:43
  your
• 4:43
  father
• 4:44
  Ron?
• 4:44
  We
• 4:44
  used
• 4:45
  to,
• 4:45
  when
• 4:45
  I
• 4:45
  was
• 4:46
  in
• 4:46
  Seattle,
• 4:47
  uh,
• 4:48
  with
• 4:48
  a
• 4:48
  financial
• 4:48
  advisory
• 4:49
  practice
• 4:49
  to
• 4:50
  plan
• 4:50
  sponsors.
• 4:52
  We
• 4:52
  loved
• 4:52
  Baron
• 4:53
  Growth
• 4:53
  Fund.
• 4:53
  We
• 4:54
  loved
• 4:54
  it
• 4:54
  as
• 4:55
  a,
• 4:55
  uh,
• 4:55
  I
• 4:55
  love
• 4:55
  Barron
• 4:55
  Growth
• 4:55
  Fund
• 4:56
  too.
• 4:57
  Yeah.
• 4:57
  And,
• 4:58
  um,
• 4:58
  we
• 4:59
  had,
• 4:59
  Ron
• 4:59
  stopped
• 5:00
  by
• 5:00
  the
• 5:00
  office
• 5:01
  and
• 5:01
  gosh,
• 5:02
  I
• 5:02
  was,
• 5:02
  I
• 5:02
  was
• 5:02
  young,
• 5:03
  Michael.
• 5:04
  I
• 5:04
  was
• 5:05
  early
• 5:06
  in
• 5:06
  the,
• 5:06
  early
• 5:07
  in
• 5:07
  my
• 5:07
  career,
• 5:07
  early
• 5:08
  twenties,
• 5:09
  sitting
• 5:09
  there
• 5:09
  with.
• 5:10
  Myself
• 5:10
  and
• 5:10
  our
• 5:11
  CIO
• 5:12
  and
• 5:12
  just
• 5:12
  talking
• 5:13
  to
• 5:13
  Ron,
• 5:13
  your
• 5:14
  dad,
• 5:14
  about
• 5:14
  what?
• 5:15
  Picking
• 5:15
  his
• 5:15
  brain.
• 5:15
  And
• 5:16
  it
• 5:16
  was
• 5:16
  like,
• 5:16
  that
• 5:16
  was
• 5:17
  one
• 5:17
  of
• 5:17
  my
• 5:17
  highlights
• 5:17
  of
• 5:18
  early
• 5:18
  career.
• 5:19
  Now
• 5:19
  this
• 5:20
  is
• 5:20
  a
• 5:20
  new
• 5:20
  highlight.
• 5:21
  I'm
• 5:21
  not
• 5:21
  sure
• 5:22
  about
• 5:22
  that.
• 5:22
  Yeah.
• 5:23
  But
• 5:23
  it
• 5:23
  was
• 5:23
  just,
• 5:24
  now
• 5:24
  it's
• 5:24
  come
• 5:24
  full
• 5:24
  circle.
• 5:25
  Having
• 5:25
  you,
• 5:26
  how
• 5:26
  was
• 5:26
  it
• 5:26
  growing
• 5:27
  up?
• 5:27
  Did
• 5:27
  you
• 5:27
  always
• 5:28
  just
• 5:28
  know
• 5:28
  like,
• 5:29
  I'm
• 5:29
  gonna
• 5:30
  be
• 5:30
  working
• 5:30
  at
• 5:30
  Barron
• 5:31
  Capital?
• 5:31
  Was
• 5:31
  it
• 5:32
  one
• 5:32
  of
• 5:32
  like,
• 5:32
  for
• 5:32
  me,
• 5:33
  growing
• 5:33
  up,
• 5:33
  my
• 5:33
  dad,
• 5:34
  uh,
• 5:35
  owned
• 5:35
  a
• 5:35
  little
• 5:36
  bit
• 5:36
  different.
• 5:36
  Dental
• 5:37
  technician
• 5:37
  office
• 5:38
  and
• 5:38
  everybody
• 5:39
  was
• 5:39
  like,
• 5:39
  well
• 5:39
  Brian,
• 5:39
  you'll
• 5:40
  just
• 5:40
  take
• 5:40
  over
• 5:40
  your
• 5:40
  dad's
• 5:41
  business.
• 5:41
  Mm-hmm.
• 5:41
  And
• 5:41
  my
• 5:41
  dad
• 5:42
  was
• 5:42
  like,
• 5:42
  no,
• 5:42
  you're
• 5:42
  not.
• 5:43
  You
• 5:43
  are
• 5:43
  not
• 5:43
  gonna
• 5:43
  be
• 5:44
  making
• 5:44
  teeth
• 5:44
  for
• 5:44
  the
• 5:44
  rest
• 5:45
  of
• 5:45
  your
• 5:45
  life.
• 5:45
  Go
• 5:45
  do
• 5:45
  something
• 5:46
  different.
• 5:46
  How
• 5:47
  was
• 5:47
  it
• 5:47
  growing
• 5:47
  up?
• 5:47
  Did
• 5:47
  you
• 5:47
  just
• 5:48
  know
• 5:48
  this
• 5:48
  is
• 5:48
  what
• 5:49
  you
• 5:49
  wanted
• 5:49
  to
• 5:49
  do?
• 5:49
  Your
• 5:50
  dad's
• 5:50
  footsteps?
• 5:51
  Yeah,
• 5:51
  that's
• 5:51
  a,
• 5:52
  it's
• 5:52
  a
• 5:52
  great
• 5:52
  question.
• 5:52
  It's
• 5:52
  interesting
• 5:53
  question.
• 5:54
  It's
• 5:54
  a
• 5:54
  hard
• 5:54
  one
• 5:54
  to
• 5:54
  even
• 5:54
  answer.
• 5:55
  I
• 5:55
  mean,
• 5:55
  I
• 5:55
  don't
• 5:55
  know
• 5:56
  what
• 5:57
  I
• 5:57
  would've
• 5:57
  done,
• 5:58
  uh,
• 5:58
  had
• 5:58
  my
• 5:58
  dad
• 5:58
  been
• 5:59
  anything
• 6:00
  else.
• 6:00
  Yeah.
• 6:01
  But
• 6:02
  he
• 6:02
  ingrained
• 6:03
  it
• 6:03
  in
• 6:04
  both
• 6:04
  me
• 6:04
  and
• 6:05
  my
• 6:05
  brother
• 6:05
  David.
• 6:06
  And
• 6:06
  Sure.
• 6:07
  A
• 6:07
  young
• 6:07
  age,
• 6:07
  um,
• 6:08
  about
• 6:08
  investing
• 6:09
  in
• 6:09
  our
• 6:09
  style
• 6:09
  investing,
• 6:09
  and
• 6:09
  it,
• 6:10
  it
• 6:10
  sounds,
• 6:11
  you
• 6:11
  know,
• 6:13
  awful.
• 6:13
  I
• 6:13
  guess
• 6:14
  maybe
• 6:14
  to
• 6:14
  others
• 6:15
  outsiders,
• 6:15
  the
• 6:15
  way
• 6:16
  I
• 6:16
  just
• 6:16
  said
• 6:16
  it
• 6:16
  sounds,
• 6:16
  sounds
• 6:17
  awful,
• 6:17
  but
• 6:17
  to,
• 6:18
  but
• 6:18
  to
• 6:18
  my
• 6:18
  dad's
• 6:19
  credit,
• 6:19
  he
• 6:19
  actually
• 6:19
  made
• 6:20
  it
• 6:20
  fun
• 6:20
  and
• 6:20
  interesting.
• 6:21
  We
• 6:21
  we're
• 6:21
  not
• 6:22
  talking
• 6:22
  about
• 6:23
  the
• 6:23
  macro,
• 6:24
  we're
• 6:24
  not
• 6:24
  talking
• 6:24
  about,
• 6:25
  uh,
• 6:25
  concepts
• 6:26
  that
• 6:26
  are
• 6:26
  difficult
• 6:27
  for
• 6:27
  kids
• 6:27
  to
• 6:27
  understand.
• 6:28
  Um,
• 6:29
  and,
• 6:29
  and
• 6:29
  about
• 6:29
  trades.
• 6:30
  He
• 6:31
  spoke
• 6:31
  about
• 6:32
  businesses
• 6:32
  and
• 6:32
  about
• 6:33
  what
• 6:33
  makes
• 6:33
  a
• 6:33
  business.
• 6:34
  Special
• 6:35
  and
• 6:35
  unique
• 6:35
  like
• 6:35
  I
• 6:35
  was
• 6:35
  talking
• 6:36
  about
• 6:36
  earlier
• 6:37
  and
• 6:37
  about
• 6:37
  the
• 6:37
  people.
• 6:38
  And,
• 6:38
  and
• 6:38
  he
• 6:38
  would
• 6:38
  often
• 6:38
  say
• 6:39
  to
• 6:39
  me
• 6:39
  that
• 6:41
  when
• 6:41
  we
• 6:41
  were
• 6:41
  a
• 6:41
  kid,
• 6:41
  you
• 6:41
  know,
• 6:42
  you
• 6:42
  early
• 6:43
  on,
• 6:43
  um,
• 6:44
  in
• 6:44
  first
• 6:44
  grade,
• 6:44
  you
• 6:45
  know
• 6:45
  who
• 6:45
  the
• 6:45
  smart
• 6:46
  kid
• 6:46
  in
• 6:46
  your
• 6:46
  class
• 6:46
  is.
• 6:46
  You
• 6:47
  know
• 6:47
  who
• 6:47
  the
• 6:47
  good
• 6:47
  kid
• 6:47
  in
• 6:47
  your
• 6:47
  class,
• 6:48
  you
• 6:48
  know
• 6:48
  who
• 6:48
  you
• 6:48
  wanna
• 6:48
  be
• 6:48
  friends
• 6:49
  with
• 6:49
  in,
• 6:49
  in
• 6:49
  your
• 6:49
  class.
• 6:50
  And
• 6:51
  that
• 6:52
  kind
• 6:52
  of
• 6:52
  follows
• 6:52
  you
• 6:52
  through.
• 6:53
  That's
• 6:53
  the
• 6:53
  people
• 6:53
  who
• 6:53
  we
• 6:53
  wanna
• 6:54
  invest
• 6:54
  with,
• 6:54
  the
• 6:54
  people
• 6:54
  who
• 6:55
  we
• 6:55
  think
• 6:55
  are
• 6:55
  smart,
• 6:55
  trustworthy,
• 6:56
  that
• 6:56
  we
• 6:56
  get
• 6:56
  to
• 6:56
  know
• 6:57
  like,
• 6:57
  um,
• 6:58
  and,
• 6:58
  and
• 6:58
  believe
• 6:58
  in.
• 6:58
  And
• 6:59
  then
• 6:59
  I
• 6:59
  have
• 7:00
  this
• 7:00
  incredible
• 7:00
  job
• 7:00
  where
• 7:01
  I
• 7:01
  get
• 7:01
  to
• 7:01
  go
• 7:01
  out
• 7:01
  and.
• 7:03
  Meet
• 7:03
  them,
• 7:03
  speak
• 7:04
  to
• 7:04
  them,
• 7:04
  uh,
• 7:04
  hear
• 7:05
  their
• 7:05
  stories,
• 7:05
  hear
• 7:06
  about
• 7:07
  what
• 7:07
  they
• 7:07
  think
• 7:07
  their
• 7:08
  business
• 7:08
  is
• 7:08
  gonna
• 7:08
  turn
• 7:08
  into
• 7:08
  and
• 7:09
  how
• 7:09
  they're
• 7:09
  going
• 7:09
  to
• 7:10
  achieve
• 7:10
  it.
• 7:11
  Um,
• 7:11
  yeah,
• 7:11
  so
• 7:12
  I'm,
• 7:12
  I'm
• 7:12
  very
• 7:12
  fortunate
• 7:13
  to
• 7:13
  have
• 7:13
  had
• 7:13
  him
• 7:13
  as
• 7:14
  a
• 7:14
  father
• 7:14
  really
• 7:14
  teaching
• 7:15
  me
• 7:15
  about
• 7:15
  this.
• 7:16
  Uh,
• 7:16
  and,
• 7:16
  and
• 7:17
  as
• 7:17
  I
• 7:17
  was
• 7:17
  talking
• 7:18
  about
• 7:18
  earlier,
• 7:18
  you
• 7:18
  know,
• 7:18
  that
• 7:19
  philosophy
• 7:19
  when,
• 7:20
  whenever
• 7:20
  you
• 7:20
  met
• 7:21
  him,
• 7:21
  I
• 7:21
  guess
• 7:21
  he
• 7:21
  said
• 7:21
  around
• 7:21
  20
• 7:22
  years
• 7:22
  ago,
• 7:23
  um,
• 7:23
  and,
• 7:23
  and
• 7:24
  then
• 7:24
  40
• 7:24
  years
• 7:25
  ago,
• 7:25
  44
• 7:25
  years
• 7:25
  ago
• 7:26
  when
• 7:26
  we
• 7:26
  started
• 7:26
  the
• 7:26
  business.
• 7:27
  Nothing
• 7:28
  has
• 7:28
  changed
• 7:28
  with
• 7:29
  Baron
• 7:29
  Capital.
• 7:29
  It's
• 7:29
  the
• 7:29
  same
• 7:30
  investment
• 7:30
  philosophy
• 7:31
  and,
• 7:31
  and,
• 7:31
  and,
• 7:31
  and
• 7:32
  process
• 7:33
  that
• 7:33
  we've
• 7:33
  implemented
• 7:33
  just
• 7:34
  keeps
• 7:34
  on
• 7:34
  expanding
• 7:35
  and
• 7:35
  growing.
• 7:36
  And
• 7:37
  you
• 7:37
  know,
• 7:37
  we've
• 7:37
  started
• 7:38
  as
• 7:39
  a
• 7:39
  small
• 7:39
  cap
• 7:39
  manager
• 7:40
  and
• 7:40
  when
• 7:40
  you're
• 7:40
  a
• 7:41
  successful
• 7:41
  small
• 7:41
  cap
• 7:42
  manager
• 7:43
  and
• 7:43
  you
• 7:43
  have
• 7:43
  a
• 7:43
  long
• 7:43
  term
• 7:44
  horizon,
• 7:45
  your
• 7:46
  businesses
• 7:46
  go
• 7:46
  from
• 7:47
  small
• 7:47
  cap
• 7:48
  to
• 7:48
  mid
• 7:48
  cap
• 7:48
  to
• 7:48
  hopefully
• 7:49
  large
• 7:49
  cap
• 7:49
  and,
• 7:49
  and
• 7:50
  happened
• 7:50
  in
• 7:50
  many,
• 7:50
  many
• 7:50
  cases.
• 7:51
  And
• 7:51
  we
• 7:51
  found
• 7:51
  that
• 7:51
  the
• 7:51
  same
• 7:52
  investment
• 7:53
  philosophy
• 7:53
  and
• 7:53
  process
• 7:54
  really
• 7:54
  does
• 7:54
  work
• 7:54
  across.
• 7:55
  Market
• 7:56
  caps.
• 7:56
  It
• 7:56
  works
• 7:56
  across
• 7:56
  geographies.
• 7:57
  It
• 7:57
  works
• 7:57
  across
• 7:58
  sectors.
• 7:58
  And
• 7:59
  at
• 7:59
  this
• 7:59
  point,
• 7:59
  we've
• 7:59
  had
• 7:59
  around
• 8:00
  19
• 8:00
  or
• 8:00
  20
• 8:00
  different
• 8:01
  investment
• 8:02
  strategies
• 8:03
  across
• 8:03
  the
• 8:03
  firm
• 8:03
  that
• 8:04
  have
• 8:04
  been
• 8:04
  wildly
• 8:05
  successful.
• 8:06
  It's
• 8:06
  not
• 8:06
  me
• 8:06
  just
• 8:06
  saying
• 8:06
  it's,
• 8:07
  I
• 8:07
  think
• 8:07
  we're
• 8:07
  the
• 8:07
  most
• 8:07
  successful,
• 8:08
  uh,
• 8:08
  growth
• 8:09
  equity
• 8:09
  manager
• 8:09
  out
• 8:09
  there.
• 8:10
  Um,
• 8:10
  and,
• 8:10
  and
• 8:11
  people
• 8:11
  say,
• 8:11
  well,
• 8:11
  how
• 8:11
  can
• 8:12
  you
• 8:12
  possibly
• 8:12
  say
• 8:12
  that?
• 8:12
  You
• 8:12
  know,
• 8:12
  when
• 8:13
  you
• 8:13
  look
• 8:13
  at
• 8:13
  the
• 8:13
  stats,
• 8:15
  we
• 8:15
  all
• 8:15
  know
• 8:15
  it's
• 8:15
  obviously
• 8:16
  very
• 8:16
  hard
• 8:16
  to
• 8:16
  beat
• 8:17
  the
• 8:17
  index
• 8:18
  yet
• 8:19
  96%
• 8:20
  of
• 8:20
  our
• 8:20
  assets
• 8:21
  beat
• 8:21
  their
• 8:21
  index
• 8:22
  since
• 8:22
  inception.
• 8:23
  For
• 8:23
  mutual
• 8:23
  fund
• 8:24
  assets
• 8:24
  be
• 8:24
  beat
• 8:24
  their
• 8:25
  index
• 8:25
  since
• 8:25
  inception,
• 8:26
  and
• 8:27
  it's
• 8:27
  not
• 8:27
  just
• 8:27
  beating
• 8:27
  by
• 8:27
  a
• 8:28
  little
• 8:28
  bit,
• 8:28
  we're
• 8:28
  not
• 8:28
  trying
• 8:28
  to
• 8:28
  be
• 8:28
  benchmark
• 8:29
  hugging
• 8:29
  and,
• 8:30
  and,
• 8:30
  and
• 8:30
  in
• 8:30
  that
• 8:31
  aspect,
• 8:31
  but
• 8:32
  95%
• 8:33
  are
• 8:33
  in
• 8:33
  the
• 8:33
  top
• 8:33
  20%
• 8:34
  of
• 8:34
  the
• 8:34
  respective
• 8:35
  category.
• 8:35
  Yeah.
• 8:36
  And
• 8:36
  over
• 8:37
  50%
• 8:38
  on
• 8:38
  the
• 8:38
  top
• 8:38
  5%
• 8:38
  of
• 8:38
  their
• 8:39
  category,
• 8:39
  including
• 8:39
  many
• 8:39
  funds
• 8:40
  that
• 8:40
  are
• 8:40
  in
• 8:41
  the,
• 8:41
  you
• 8:42
  know,
• 8:42
  one
• 8:42
  percentile
• 8:43
  of
• 8:43
  their
• 8:43
  category.
• 8:44
  So
• 8:44
  it's
• 8:44
  this,
• 8:44
  this
• 8:45
  process
• 8:45
  and
• 8:45
  philosophy
• 8:45
  that,
• 8:46
  as
• 8:46
  you
• 8:46
  were
• 8:46
  talking
• 8:46
  about
• 8:46
  earlier,
• 8:47
  you
• 8:47
  know,
• 8:47
  how
• 8:47
  did
• 8:47
  I
• 8:47
  get
• 8:47
  into
• 8:48
  it?
• 8:48
  He's
• 8:48
  been
• 8:48
  talking
• 8:49
  about
• 8:49
  and
• 8:49
  speaking
• 8:49
  about
• 8:50
  it,
• 8:50
  and
• 8:50
  making
• 8:50
  it
• 8:50
  fun
• 8:50
  for
• 8:50
  me
• 8:51
  to,
• 8:51
  to
• 8:51
  hear
• 8:51
  about
• 8:51
  and
• 8:52
  listen,
• 8:52
  um,
• 8:53
  and
• 8:53
  learn
• 8:53
  from
• 8:53
  him
• 8:53
  and,
• 8:54
  and
• 8:54
  learn
• 8:54
  from
• 8:54
  the
• 8:54
  other
• 8:54
  people
• 8:55
  that
• 8:55
  he
• 8:55
  brought
• 8:56
  on.
• 8:56
  Um,
• 8:57
  that,
• 8:58
  that's
• 8:58
  been,
• 8:58
  you
• 8:58
  know,
• 8:58
  an
• 8:58
  incredible
• 8:59
  privilege.
• 8:59
  And,
• 9:00
  and
• 9:00
  it's
• 9:00
  worked.
• 9:01
  And
• 9:01
  I,
• 9:01
  but
• 9:01
  I
• 9:01
  do
• 9:02
  wanna
• 9:02
  be
• 9:02
  clear,
• 9:02
  uh.
• 9:03
  One
• 9:04
  thing
• 9:04
  I
• 9:04
  think
• 9:04
  my
• 9:04
  dad
• 9:04
  doesn't
• 9:04
  get
• 9:05
  enough
• 9:05
  credit
• 9:05
  for,
• 9:05
  you
• 9:06
  know,
• 9:06
  he
• 9:06
  gets
• 9:06
  a
• 9:06
  lot
• 9:06
  of
• 9:07
  credit
• 9:07
  and,
• 9:07
  and,
• 9:07
  and,
• 9:08
  you
• 9:08
  know,
• 9:08
  accolades
• 9:09
  for
• 9:10
  his
• 9:10
  investment
• 9:11
  style
• 9:12
  and,
• 9:12
  and,
• 9:12
  and
• 9:12
  ability.
• 9:13
  But
• 9:14
  it's
• 9:15
  the
• 9:15
  people
• 9:15
  that
• 9:15
  he's
• 9:16
  brought
• 9:16
  on
• 9:16
  at
• 9:16
  Barron
• 9:16
  Capital
• 9:17
  in
• 9:17
  addition
• 9:17
  to
• 9:17
  him.
• 9:18
  So
• 9:18
  we
• 9:18
  all
• 9:19
  abide
• 9:19
  by
• 9:19
  the
• 9:19
  same
• 9:20
  investment
• 9:21
  philosophy
• 9:21
  and
• 9:21
  premise
• 9:21
  that
• 9:21
  you
• 9:21
  keep
• 9:22
  talking
• 9:22
  about,
• 9:23
  but
• 9:23
  he's
• 9:23
  gotten
• 9:23
  everyone
• 9:24
  at
• 9:24
  the
• 9:24
  firm
• 9:24
  to
• 9:25
  buy
• 9:25
  into
• 9:25
  it.
• 9:25
  So
• 9:25
  215
• 9:26
  employees
• 9:26
  across
• 9:27
  the
• 9:27
  firm,
• 9:27
  45
• 9:27
  investment
• 9:28
  professionals,
• 9:29
  approximately,
• 9:30
  um,
• 9:31
  you
• 9:31
  know,
• 9:31
  20
• 9:32
  ish
• 9:32
  or
• 9:32
  so
• 9:32
  portfolio
• 9:33
  managers.
• 9:34
  Everyone's
• 9:34
  doing
• 9:35
  the
• 9:35
  same
• 9:35
  thing.
• 9:35
  We're
• 9:35
  not
• 9:35
  making
• 9:35
  wid.
• 9:36
  So
• 9:36
  it's
• 9:36
  not
• 9:37
  like
• 9:37
  we
• 9:37
  can
• 9:37
  just,
• 9:37
  you
• 9:37
  know,
• 9:37
  turn
• 9:37
  on
• 9:38
  a
• 9:38
  factory
• 9:38
  and
• 9:38
  just
• 9:38
  pump
• 9:39
  it
• 9:39
  out.
• 9:39
  But
• 9:39
  we
• 9:39
  all
• 9:40
  truly
• 9:40
  apply
• 9:41
  this
• 9:41
  philosophy
• 9:42
  in,
• 9:42
  in
• 9:42
  a
• 9:42
  slightly
• 9:42
  different
• 9:43
  manner.
• 9:43
  Some
• 9:43
  might
• 9:44
  weight
• 9:44
  growth
• 9:44
  a
• 9:44
  little
• 9:44
  bit
• 9:45
  more,
• 9:45
  some
• 9:45
  might
• 9:45
  weight
• 9:45
  the
• 9:45
  people
• 9:46
  a
• 9:46
  little
• 9:46
  more
• 9:46
  the
• 9:46
  competitive
• 9:46
  advantage
• 9:47
  depending
• 9:47
  on
• 9:47
  what
• 9:47
  the
• 9:47
  strategy
• 9:48
  is
• 9:48
  and
• 9:48
  what
• 9:48
  you're
• 9:48
  trying
• 9:48
  to
• 9:48
  achieve.
• 9:49
  Um,
• 9:50
  but
• 9:50
  you
• 9:51
  kind
• 9:51
  of
• 9:51
  know
• 9:51
  what
• 9:51
  is
• 9:52
  a
• 9:52
  barren
• 9:52
  capital
• 9:53
  type
• 9:53
  investment
• 9:53
  and
• 9:54
  that's
• 9:54
  how
• 9:54
  true
• 9:54
  for
• 9:55
  over
• 9:55
  40
• 9:55
  years.
• 9:56
  Michael,
• 9:57
  I
• 9:57
  love
• 9:57
  that.
• 9:57
  I
• 9:58
  love,
• 9:58
  I
• 9:58
  always
• 9:59
  enjoy
• 9:59
  a
• 9:59
  good
• 10:00
  story
• 10:00
  or
• 10:01
  just,
• 10:01
  it's
• 10:01
  interesting
• 10:02
  how.
• 10:03
  Because
• 10:03
  we
• 10:03
  get
• 10:04
  so
• 10:04
  many
• 10:04
  different
• 10:04
  people
• 10:05
  in
• 10:05
  this
• 10:05
  industry
• 10:05
  from
• 10:06
  all
• 10:06
  walks
• 10:06
  of
• 10:06
  life,
• 10:07
  right?
• 10:07
  They
• 10:08
  were
• 10:08
  like,
• 10:08
  I
• 10:08
  would've
• 10:08
  never
• 10:08
  thought
• 10:09
  I
• 10:09
  was
• 10:09
  gonna
• 10:09
  be
• 10:09
  an
• 10:10
  investment
• 10:10
  management,
• 10:11
  or,
• 10:11
  oh,
• 10:11
  I
• 10:11
  knew
• 10:11
  early.
• 10:12
  I,
• 10:12
  I
• 10:12
  predated
• 10:13
  the
• 10:13
  business
• 10:13
  by
• 10:13
  an
• 10:13
  entire
• 10:13
  year.
• 10:14
  So
• 10:14
  I
• 10:14
  got
• 10:14
  a
• 10:14
  head
• 10:14
  start.
• 10:15
  That's
• 10:15
  nice.
• 10:15
  I
• 10:15
  love
• 10:16
  it.
• 10:16
  So
• 10:18
  my,
• 10:18
  and
• 10:18
  I
• 10:18
  love
• 10:19
  that
• 10:19
  consistency.
• 10:20
  I
• 10:20
  talk
• 10:21
  a
• 10:21
  lot
• 10:21
  about,
• 10:21
  whenever
• 10:21
  I
• 10:21
  do
• 10:22
  my
• 10:22
  research
• 10:22
  in
• 10:23
  Zephyr,
• 10:23
  it's
• 10:23
  about
• 10:24
  trying
• 10:24
  to
• 10:24
  find
• 10:24
  managers
• 10:25
  at
• 10:26
  either
• 10:26
  it's
• 10:26
  consistent
• 10:27
  performance,
• 10:28
  consistent
• 10:29
  philosophy
• 10:29
  where
• 10:30
  they're
• 10:30
  not
• 10:30
  changing.
• 10:32
  For
• 10:32
  the
• 10:32
  flavor
• 10:32
  of
• 10:32
  the
• 10:33
  month,
• 10:33
  whatever
• 10:34
  that
• 10:34
  flavor
• 10:34
  is.
• 10:34
  If
• 10:34
  value
• 10:35
  is
• 10:35
  now
• 10:35
  up,
• 10:35
  performing,
• 10:36
  changing
• 10:37
  their
• 10:37
  value,
• 10:37
  chasing
• 10:38
  that,
• 10:38
  uh,
• 10:39
  chasing
• 10:39
  returns,
• 10:40
  how
• 10:40
  have
• 10:41
  you
• 10:41
  guys
• 10:41
  been
• 10:41
  able
• 10:41
  to
• 10:42
  do
• 10:42
  it?
• 10:42
  You
• 10:42
  said
• 10:42
  like
• 10:42
  your
• 10:43
  people,
• 10:43
  they
• 10:44
  all
• 10:44
  know
• 10:44
  what
• 10:44
  their,
• 10:45
  you
• 10:45
  know,
• 10:45
  it's
• 10:46
  a
• 10:46
  growth,
• 10:46
  their
• 10:47
  investment
• 10:47
  philosophy,
• 10:48
  they
• 10:49
  buy
• 10:49
  into
• 10:49
  that
• 10:49
  culture.
• 10:50
  They
• 10:50
  know
• 10:51
  the
• 10:51
  culture,
• 10:51
  which
• 10:51
  is
• 10:52
  so
• 10:52
  important.
• 10:52
  But
• 10:53
  how
• 10:53
  have
• 10:53
  you
• 10:53
  guys
• 10:54
  been
• 10:54
  able
• 10:54
  to
• 10:54
  stay
• 10:54
  so
• 10:55
  consistent
• 10:55
  over
• 10:56
  the
• 10:56
  years?
• 10:57
  That's
• 10:58
  a
• 10:58
  great
• 10:58
  question.
• 10:58
  Being
• 10:59
  consistent
• 11:00
  is
• 11:00
  hard,
• 11:01
  um,
• 11:01
  especially
• 11:02
  in,
• 11:02
  in,
• 11:02
  you
• 11:02
  know,
• 11:03
  volatile
• 11:03
  markets.
• 11:04
  Um,
• 11:05
  you
• 11:05
  know,
• 11:06
  if
• 11:06
  you're
• 11:06
  consistent
• 11:06
  in
• 11:06
  philosophy
• 11:07
  and
• 11:07
  you
• 11:07
  have
• 11:07
  markets
• 11:07
  that
• 11:07
  are
• 11:07
  volatile,
• 11:08
  there's
• 11:08
  obviously
• 11:08
  gonna
• 11:08
  be
• 11:08
  times
• 11:09
  that
• 11:09
  you
• 11:09
  underperform
• 11:10
  and
• 11:11
  we're
• 11:12
  comfortable
• 11:12
  with
• 11:12
  that.
• 11:12
  We
• 11:12
  probably
• 11:13
  out
• 11:13
  underperform
• 11:14
  the
• 11:14
  market,
• 11:15
  uh,
• 11:16
  probably
• 11:16
  once
• 11:16
  every
• 11:16
  three
• 11:17
  years.
• 11:17
  I
• 11:17
  think
• 11:17
  we,
• 11:17
  we've
• 11:18
  seen,
• 11:18
  look
• 11:18
  back
• 11:18
  at
• 11:18
  many
• 11:18
  of
• 11:18
  our
• 11:19
  funds
• 11:19
  and
• 11:19
  strategies,
• 11:19
  so,
• 11:20
  so
• 11:20
  once
• 11:20
  every
• 11:20
  three
• 11:20
  years
• 11:20
  we'll
• 11:21
  underperform,
• 11:22
  not
• 11:22
  by
• 11:22
  a
• 11:22
  lot,
• 11:22
  but
• 11:23
  by
• 11:23
  little.
• 11:23
  And
• 11:23
  then
• 11:23
  we
• 11:23
  obviously
• 11:24
  do.
• 11:25
  Significantly
• 11:25
  better
• 11:26
  on,
• 11:26
  on
• 11:26
  the
• 11:27
  better
• 11:28
  years,
• 11:28
  on
• 11:28
  the
• 11:28
  up
• 11:28
  years,
• 11:29
  um,
• 11:29
  to,
• 11:30
  you
• 11:31
  know,
• 11:31
  have
• 11:31
  our,
• 11:31
  our
• 11:31
  long-term
• 11:32
  track
• 11:32
  record
• 11:33
  be
• 11:34
  what
• 11:34
  it
• 11:34
  is
• 11:34
  today.
• 11:36
  One
• 11:37
  of
• 11:37
  the
• 11:37
  things
• 11:38
  that
• 11:38
  I'm
• 11:38
  most
• 11:38
  proud
• 11:39
  of
• 11:39
  in
• 11:39
  terms
• 11:39
  of
• 11:39
  our
• 11:40
  portfolio
• 11:40
  performance
• 11:41
  isn't
• 11:42
  necessarily
• 11:42
  how
• 11:42
  you
• 11:42
  do
• 11:42
  in
• 11:43
  any
• 11:43
  one
• 11:43
  given
• 11:44
  year,
• 11:45
  um,
• 11:45
  but
• 11:46
  how
• 11:46
  you
• 11:46
  do
• 11:46
  over
• 11:46
  the
• 11:46
  course
• 11:46
  of
• 11:46
  a
• 11:46
  psych.
• 11:47
  Um,
• 11:48
  you
• 11:48
  know,
• 11:48
  how'd
• 11:49
  you
• 11:49
  do
• 11:49
  when
• 11:49
  times
• 11:49
  are
• 11:49
  good
• 11:50
  and
• 11:50
  how'd
• 11:50
  you
• 11:50
  do
• 11:50
  when
• 11:50
  times
• 11:51
  are
• 11:51
  are
• 11:51
  bad?
• 11:52
  And
• 11:53
  interestingly
• 11:53
  for
• 11:53
  growth
• 11:54
  managers,
• 11:54
  people
• 11:54
  kind
• 11:54
  of
• 11:54
  assume
• 11:55
  that,
• 11:55
  okay,
• 11:55
  well
• 11:55
  times
• 11:56
  are
• 11:56
  good.
• 11:56
  That's
• 11:56
  when
• 11:56
  you
• 11:56
  really
• 11:57
  shoot
• 11:57
  the
• 11:57
  lights
• 11:57
  up.
• 11:58
  And
• 11:58
  when
• 11:58
  you
• 11:58
  look
• 11:58
  at
• 11:58
  our
• 11:58
  numbers,
• 11:59
  when
• 11:59
  times
• 11:59
  are
• 11:59
  good,
• 12:00
  we
• 12:00
  do
• 12:00
  good,
• 12:01
  we
• 12:01
  do
• 12:01
  better.
• 12:02
  Um,
• 12:02
  but
• 12:02
  just
• 12:03
  a
• 12:03
  bit
• 12:03
  better.
• 12:03
  And
• 12:03
  what
• 12:04
  really,
• 12:04
  where
• 12:04
  we
• 12:04
  earn,
• 12:05
  um,
• 12:06
  our,
• 12:06
  our
• 12:06
  reputation
• 12:07
  is
• 12:07
  we've
• 12:07
  been
• 12:07
  able
• 12:08
  to
• 12:08
  protect
• 12:08
  investors
• 12:09
  on
• 12:10
  more
• 12:10
  challenging
• 12:11
  time
• 12:11
  periods.
• 12:11
  'cause
• 12:11
  we
• 12:11
  own
• 12:12
  these
• 12:12
  high
• 12:12
  quality
• 12:13
  growth
• 12:13
  businesses
• 12:14
  and.
• 12:15
  It's
• 12:15
  not
• 12:15
  just
• 12:15
  that
• 12:16
  we
• 12:16
  own
• 12:16
  high
• 12:16
  quality
• 12:16
  growth
• 12:17
  business.
• 12:17
  'cause
• 12:17
  I
• 12:17
  think
• 12:17
  it's
• 12:17
  a
• 12:18
  hard
• 12:18
  thing
• 12:18
  for
• 12:18
  people
• 12:19
  to
• 12:19
  understand
• 12:19
  and
• 12:19
  define,
• 12:20
  but
• 12:20
  you
• 12:20
  need
• 12:20
  to
• 12:20
  have
• 12:21
  balance
• 12:21
  and
• 12:21
  ballas
• 12:22
  in
• 12:22
  the
• 12:22
  portfolio.
• 12:23
  You
• 12:23
  need
• 12:23
  to
• 12:23
  have
• 12:24
  companies
• 12:24
  that
• 12:24
  don't
• 12:24
  all
• 12:25
  trade
• 12:25
  in
• 12:25
  the
• 12:25
  same
• 12:26
  manner.
• 12:27
  And
• 12:27
  even
• 12:28
  in
• 12:28
  our
• 12:28
  more
• 12:29
  concentrated
• 12:29
  portfolios
• 12:30
  like
• 12:30
  Baron
• 12:31
  Partners
• 12:31
  Fund
• 12:31
  on
• 12:32
  the
• 12:32
  mutual
• 12:32
  fund
• 12:32
  side
• 12:32
  things,
• 12:33
  Baron
• 12:33
  focused
• 12:33
  growth
• 12:33
  on
• 12:34
  the
• 12:34
  mutual
• 12:34
  fund
• 12:34
  side.
• 12:34
  Things
• 12:34
  both
• 12:35
  in
• 12:35
  the
• 12:35
  top
• 12:36
  percentile
• 12:36
  of
• 12:36
  the
• 12:37
  respective
• 12:37
  categories
• 12:37
  since
• 12:38
  inception
• 12:39
  and
• 12:39
  now
• 12:39
  we,
• 12:40
  we
• 12:40
  launched
• 12:41
  on
• 12:41
  December
• 12:42
  15th.
• 12:42
  Um,
• 12:43
  an
• 12:43
  officer
• 12:44
  that,
• 12:44
  a
• 12:44
  concentrated
• 12:44
  portfolio
• 12:45
  called
• 12:45
  Baron
• 12:45
  First
• 12:46
  Principles
• 12:46
  ticker
• 12:47
  Ron
• 12:47
  B
• 12:48
  and
• 12:48
  assume
• 12:48
  you
• 12:49
  can
• 12:49
  assume
• 12:49
  who
• 12:50
  it
• 12:50
  was
• 12:50
  named
• 12:50
  after.
• 12:51
  So,
• 12:51
  Baron
• 12:51
  first
• 12:51
  principles
• 12:52
  on,
• 12:52
  on
• 12:52
  the
• 12:52
  contract.
• 12:53
  So
• 12:53
  even
• 12:53
  in
• 12:53
  these
• 12:53
  concentrated
• 12:54
  portfolios
• 12:54
  of
• 12:54
  20,
• 12:55
  25
• 12:55
  names,
• 12:56
  we
• 12:56
  find
• 12:56
  companies
• 12:57
  that
• 12:57
  act
• 12:57
  differently
• 12:58
  in
• 12:58
  different
• 12:58
  market
• 12:58
  environments.
• 12:59
  We,
• 12:59
  we
• 12:59
  have
• 12:59
  these
• 13:00
  steady
• 13:00
  core
• 13:00
  growth
• 13:01
  businesses.
• 13:01
  We
• 13:01
  have
• 13:01
  these
• 13:02
  big,
• 13:02
  disruptive,
• 13:03
  big
• 13:03
  ideas,
• 13:03
  you
• 13:04
  know,
• 13:04
  that,
• 13:04
  that,
• 13:04
  that.
• 13:05
  Prove
• 13:05
  out
• 13:05
  over
• 13:05
  the
• 13:05
  long
• 13:06
  time
• 13:06
  that,
• 13:06
  that
• 13:06
  have
• 13:07
  that
• 13:07
  accelerated
• 13:07
  growth.
• 13:08
  We
• 13:08
  find
• 13:09
  growth
• 13:09
  businesses
• 13:09
  on
• 13:09
  the
• 13:09
  real
• 13:10
  estate
• 13:10
  side
• 13:10
  of
• 13:10
  things
• 13:10
  that
• 13:11
  when
• 13:11
  there's
• 13:11
  high
• 13:11
  inflation
• 13:12
  environments
• 13:12
  that
• 13:12
  they
• 13:13
  will
• 13:13
  do
• 13:13
  well,
• 13:13
  we
• 13:14
  find,
• 13:14
  um,
• 13:15
  growth
• 13:15
  businesses
• 13:16
  on
• 13:16
  the
• 13:16
  financial
• 13:16
  side
• 13:17
  of
• 13:17
  things
• 13:17
  that,
• 13:17
  that
• 13:17
  do
• 13:18
  well
• 13:18
  in,
• 13:19
  in
• 13:19
  more
• 13:19
  challenging,
• 13:20
  you
• 13:20
  know,
• 13:20
  interest
• 13:20
  rate
• 13:20
  environments.
• 13:22
  Um,
• 13:22
  so
• 13:22
  having
• 13:22
  this
• 13:23
  diversity
• 13:23
  of
• 13:23
  growth
• 13:24
  businesses
• 13:24
  allows
• 13:25
  us
• 13:25
  to
• 13:26
  consistently
• 13:27
  out
• 13:27
  do
• 13:27
  well
• 13:28
  over
• 13:28
  the
• 13:28
  long
• 13:28
  term,
• 13:28
  even
• 13:29
  though
• 13:29
  we
• 13:29
  might
• 13:29
  not
• 13:29
  do
• 13:29
  well.
• 13:30
  Or
• 13:30
  as
• 13:31
  well
• 13:31
  as
• 13:31
  the
• 13:31
  market.
• 13:31
  Any
• 13:31
  one
• 13:32
  given
• 13:32
  quarter,
• 13:32
  even
• 13:32
  one
• 13:33
  given
• 13:33
  year.
• 13:33
  And
• 13:33
  we're
• 13:33
  comfortable
• 13:34
  with
• 13:34
  that.
• 13:34
  And
• 13:34
  I
• 13:34
  think
• 13:35
  our
• 13:35
  clients
• 13:35
  know
• 13:35
  that
• 13:36
  and
• 13:36
  understand
• 13:36
  that,
• 13:36
  and
• 13:36
  they
• 13:36
  invest
• 13:37
  with
• 13:37
  us
• 13:37
  for
• 13:37
  the
• 13:37
  long
• 13:37
  term.
• 13:38
  Yeah,
• 13:38
  I
• 13:38
  think
• 13:39
  that's
• 13:39
  a
• 13:39
  very
• 13:39
  important
• 13:40
  Michael,
• 13:40
  because
• 13:41
  there's
• 13:41
  studies
• 13:42
  that
• 13:42
  show
• 13:42
  active
• 13:43
  manager
• 13:43
  they're
• 13:44
  gonna
• 13:44
  outperform
• 13:44
  or
• 13:45
  underperform.
• 13:46
  It,
• 13:46
  it's
• 13:47
  given,
• 13:47
  there's
• 13:47
  gonna
• 13:47
  be
• 13:47
  periods
• 13:48
  of
• 13:48
  underperformance,
• 13:49
  like
• 13:49
  you
• 13:49
  said.
• 13:49
  It's
• 13:49
  how
• 13:49
  you
• 13:50
  handle
• 13:50
  it.
• 13:50
  You're
• 13:50
  not
• 13:51
  hiding
• 13:51
  it.
• 13:52
  It's
• 13:52
  gonna
• 13:52
  happen.
• 13:53
  But
• 13:53
  also
• 13:53
  do
• 13:53
  you
• 13:53
  think
• 13:54
  that
• 13:54
  there's
• 13:54
  a,
• 13:54
  kind
• 13:55
  of
• 13:55
  that
• 13:55
  misconception
• 13:56
  you
• 13:56
  said
• 13:56
  because
• 13:57
  you
• 13:57
  own
• 13:57
  high
• 13:57
  quality
• 13:58
  growth
• 13:58
  names,
• 13:59
  you
• 14:00
  protect
• 14:00
  some
• 14:00
  on
• 14:00
  the
• 14:00
  downside
• 14:01
  during
• 14:01
  those
• 14:01
  bad
• 14:02
  market
• 14:02
  tough
• 14:03
  market
• 14:03
  cycles
• 14:05
  that
• 14:05
  you
• 14:05
  know,
• 14:06
  that
• 14:06
  might
• 14:06
  be
• 14:06
  a
• 14:07
  misnomer
• 14:07
  for
• 14:07
  growth
• 14:08
  managers.
• 14:08
  You
• 14:09
  think
• 14:09
  growth
• 14:09
  managers
• 14:10
  we're
• 14:10
  high
• 14:10
  volatility
• 14:11
  we're
• 14:11
  gonna
• 14:12
  lose
• 14:12
  on
• 14:12
  that
• 14:13
  downside.
• 14:13
  You
• 14:13
  think
• 14:14
  that's
• 14:14
  kind
• 14:14
  of
• 14:14
  a
• 14:14
  misconception
• 14:15
  on
• 14:15
  the
• 14:15
  growth
• 14:15
  side
• 14:16
  and
• 14:16
  you
• 14:16
  guys
• 14:17
  are
• 14:17
  kind
• 14:17
  of
• 14:17
  proves
• 14:18
  that
• 14:18
  it's
• 14:18
  a
• 14:18
  misconception.
• 14:19
  By
• 14:19
  the
• 14:19
  way,
• 14:20
  I'm
• 14:20
  hearing
• 14:20
  you
• 14:20
  say,
• 14:20
  you
• 14:20
  know,
• 14:21
  we
• 14:21
  own
• 14:21
  high
• 14:21
  quality
• 14:22
  growth
• 14:22
  and,
• 14:22
  and
• 14:22
  I,
• 14:23
  I
• 14:23
  said
• 14:23
  it
• 14:23
  previously
• 14:24
  and
• 14:24
  I
• 14:24
  know
• 14:24
  my
• 14:25
  dad
• 14:25
  hates
• 14:25
  it
• 14:25
  when
• 14:26
  I
• 14:26
  say
• 14:26
  that,
• 14:26
  when
• 14:26
  anyone
• 14:27
  says
• 14:27
  this.
• 14:27
  'cause
• 14:27
  it's
• 14:27
  kind
• 14:27
  of
• 14:28
  like,
• 14:28
  how
• 14:28
  do
• 14:28
  you
• 14:28
  define
• 14:29
  how
• 14:29
  quality
• 14:30
  and,
• 14:30
  and
• 14:30
  for
• 14:30
  us
• 14:31
  defining
• 14:31
  high
• 14:31
  quality.
• 14:32
  This
• 14:32
  competitive
• 14:33
  advantage
• 14:33
  aspect,
• 14:34
  you
• 14:34
  know,
• 14:34
  the
• 14:34
  companies
• 14:35
  that
• 14:35
  even
• 14:35
  in
• 14:35
  a
• 14:35
  period
• 14:36
  of
• 14:36
  time
• 14:36
  when
• 14:36
  things
• 14:36
  might
• 14:37
  be
• 14:37
  out
• 14:37
  of
• 14:37
  favor
• 14:37
  for
• 14:38
  them,
• 14:38
  um,
• 14:39
  that
• 14:39
  others
• 14:39
  aren't
• 14:40
  gonna
• 14:40
  come
• 14:40
  in
• 14:40
  and
• 14:41
  really
• 14:41
  disrupt
• 14:42
  them,
• 14:42
  that
• 14:42
  they're
• 14:43
  not
• 14:43
  going
• 14:43
  to
• 14:43
  be
• 14:43
  left
• 14:44
  behind.
• 14:45
  Uh,
• 14:46
  and,
• 14:46
  and
• 14:47
  many
• 14:47
  of
• 14:47
  these
• 14:47
  businesses
• 14:48
  are,
• 14:48
  you
• 14:48
  know,
• 14:49
  investing
• 14:49
  in
• 14:49
  themselves
• 14:50
  and,
• 14:50
  and
• 14:50
  penalizing
• 14:51
  their
• 14:51
  short
• 14:51
  term
• 14:51
  earnings
• 14:52
  for
• 14:52
  that
• 14:52
  greater
• 14:53
  potential.
• 14:54
  But,
• 14:54
  but
• 14:54
  if
• 14:54
  we
• 14:54
  feel
• 14:54
  that
• 14:54
  their
• 14:55
  competitive
• 14:55
  advantage
• 14:56
  remains
• 14:56
  intact.
• 14:57
  That
• 14:57
  allows
• 14:58
  us
• 14:58
  to
• 14:58
  remain
• 14:59
  an
• 14:59
  owner
• 14:59
  of
• 15:00
  these,
• 15:00
  these
• 15:00
  businesss
• 15:00
  that
• 15:00
  we
• 15:00
  define
• 15:01
  it
• 15:01
  as
• 15:01
  higher
• 15:02
  quality.
• 15:02
  Um,
• 15:03
  sorry,
• 15:03
  I
• 15:03
  went
• 15:03
  off
• 15:03
  on
• 15:03
  a
• 15:03
  tangent.
• 15:04
  Did
• 15:04
  I
• 15:04
  answer
• 15:05
  the
• 15:05
  question?
• 15:05
  Missed
• 15:05
  question?
• 15:05
  No,
• 15:05
  that's
• 15:05
  fantastic.
• 15:06
  It
• 15:06
  was
• 15:06
  just
• 15:07
  more
• 15:07
  like
• 15:08
  that
• 15:08
  misconception
• 15:09
  because
• 15:09
  you
• 15:10
  had
• 15:10
  mentioned
• 15:10
  it
• 15:10
  being,
• 15:11
  you
• 15:11
  know,
• 15:11
  you
• 15:11
  kind
• 15:11
  of
• 15:11
  protect
• 15:12
  on
• 15:12
  the
• 15:12
  downside
• 15:13
  there,
• 15:13
  you
• 15:13
  know,
• 15:14
  a
• 15:14
  little
• 15:14
  bit
• 15:14
  more
• 15:14
  protection
• 15:15
  there
• 15:15
  during
• 15:15
  bond
• 15:16
  market
• 15:16
  cycles
• 15:17
  are
• 15:17
  doing
• 15:17
  something
• 15:17
  a
• 15:18
  little
• 15:18
  bit
• 15:18
  different
• 15:18
  there.
• 15:18
  Yeah,
• 15:19
  we
• 15:19
  try.
• 15:20
  Yeah.
• 15:21
  So
• 15:22
  1982.
• 15:23
  Right.
• 15:23
  That's
• 15:24
  the
• 15:24
  inception
• 15:24
  of,
• 15:25
  uh,
• 15:25
  Baron
• 15:26
  Capital.
• 15:27
  In
• 15:28
  December,
• 15:28
  you
• 15:28
  guys
• 15:28
  launched
• 15:29
  five
• 15:29
  new
• 15:30
  ETFs.
• 15:31
  Congrats.
• 15:31
  Hence
• 15:32
  why
• 15:32
  we're
• 15:32
  at
• 15:33
  Exchange
• 15:33
  the
• 15:33
  ET
• 15:33
  TF
• 15:34
  conference.
• 15:34
  Exactly
• 15:34
  right.
• 15:36
  What
• 15:36
  was
• 15:36
  your
• 15:36
  thought
• 15:36
  process
• 15:37
  and
• 15:38
  launching
• 15:39
  ETFs
• 15:39
  after,
• 15:40
  you
• 15:40
  know,
• 15:40
  40
• 15:41
  years
• 15:42
  of
• 15:42
  mutual
• 15:43
  funds,
• 15:43
  successful
• 15:44
  mutual
• 15:44
  funds
• 15:44
  going
• 15:45
  into
• 15:45
  getting
• 15:45
  into
• 15:46
  ETFs?
• 15:49
  Um.
• 15:50
  That's
• 15:50
  a
• 15:50
  great
• 15:50
  question
• 15:51
  in
• 15:51
  terms
• 15:51
  of
• 15:51
  what
• 15:52
  we
• 15:52
  did
• 15:52
  and
• 15:52
  why
• 15:52
  we
• 15:52
  did
• 15:53
  it.
• 15:53
  Uh,
• 15:54
  the
• 15:54
  business
• 15:55
  was
• 15:55
  really
• 15:55
  built
• 15:56
  around.
• 15:58
  We
• 15:58
  have
• 15:58
  this
• 15:58
  a
• 15:58
  mission
• 15:58
  at
• 15:58
  our
• 15:59
  businesses
• 15:59
  as
• 15:59
  well,
• 15:59
  and
• 16:00
  it's
• 16:00
  about
• 16:00
  changing
• 16:00
  lives.
• 16:00
  It's
• 16:01
  about
• 16:01
  changing
• 16:01
  the
• 16:01
  lives
• 16:01
  of
• 16:02
  our,
• 16:02
  of
• 16:02
  our
• 16:03
  clients,
• 16:03
  of
• 16:03
  our
• 16:04
  investors.
• 16:04
  And,
• 16:05
  you
• 16:05
  know,
• 16:05
  a
• 16:05
  big
• 16:06
  percentage
• 16:06
  of
• 16:06
  our
• 16:06
  assets
• 16:07
  are
• 16:07
  in
• 16:07
  the
• 16:07
  private
• 16:08
  wealth.
• 16:08
  We'll
• 16:08
  keep
• 16:08
  the
• 16:08
  mutual
• 16:08
  funds,
• 16:09
  keep
• 16:09
  our
• 16:09
  clients
• 16:10
  that
• 16:10
  are
• 16:10
  appropriate,
• 16:11
  but
• 16:11
  it's
• 16:11
  about
• 16:11
  segmenting
• 16:12
  the
• 16:12
  client
• 16:12
  appropriately
• 16:13
  and
• 16:13
  giving
• 16:13
  them
• 16:13
  the.
• 16:14
  Uh,
• 16:15
  wrapper,
• 16:15
  the
• 16:15
  vehicle
• 16:16
  that
• 16:16
  is,
• 16:17
  is
• 16:17
  best
• 16:17
  suited
• 16:17
  for
• 16:18
  them
• 16:18
  in,
• 16:18
  in
• 16:18
  the,
• 16:18
  in
• 16:19
  the,
• 16:19
  for
• 16:19
  the
• 16:19
  strategy
• 16:20
  that's
• 16:20
  best
• 16:20
  suited
• 16:21
  for
• 16:21
  them.
• 16:22
  So
• 16:23
  that
• 16:23
  being
• 16:23
  said,
• 16:24
  um,
• 16:25
  if
• 16:25
  you
• 16:25
  really
• 16:25
  want
• 16:26
  to
• 16:26
  change
• 16:26
  lives
• 16:27
  of
• 16:27
  your
• 16:27
  clients,
• 16:27
  you
• 16:27
  need
• 16:28
  to
• 16:28
  meet
• 16:28
  them
• 16:28
  where
• 16:28
  they
• 16:29
  want
• 16:29
  to
• 16:29
  be
• 16:29
  met,
• 16:29
  and
• 16:29
  that
• 16:30
  you
• 16:30
  need
• 16:30
  to
• 16:30
  give
• 16:30
  them
• 16:30
  the,
• 16:31
  the
• 16:31
  structure
• 16:31
  that
• 16:32
  they
• 16:32
  want.
• 16:32
  And
• 16:32
  there's
• 16:32
  a
• 16:33
  lot
• 16:33
  of
• 16:33
  advantages
• 16:34
  of.
• 16:35
  The
• 16:35
  ETF
• 16:35
  wrapper
• 16:36
  from
• 16:36
  our
• 16:36
  operational
• 16:37
  efficiency,
• 16:37
  from,
• 16:37
  from
• 16:38
  tax
• 16:38
  efficiency,
• 16:39
  um,
• 16:40
  from
• 16:40
  tradability,
• 16:41
  uh,
• 16:41
  and
• 16:41
  transparency.
• 16:42
  Uh,
• 16:43
  I'm
• 16:43
  sure
• 16:43
  your
• 16:43
  listeners
• 16:44
  all
• 16:44
  all
• 16:44
  know
• 16:44
  these.
• 16:45
  Um,
• 16:46
  by
• 16:46
  the
• 16:46
  way,
• 16:46
  there's
• 16:46
  a
• 16:46
  lot
• 16:47
  of
• 16:47
  advantage
• 16:47
  of
• 16:47
  the
• 16:47
  mutual
• 16:47
  funds
• 16:48
  too
• 16:48
  by
• 16:48
  making
• 16:48
  sure
• 16:49
  that
• 16:49
  we
• 16:49
  weren't
• 16:50
  gonna
• 16:50
  do
• 16:50
  a
• 16:50
  disservice
• 16:51
  to
• 16:51
  our
• 16:51
  existing
• 16:51
  clients
• 16:52
  by
• 16:52
  offering
• 16:52
  this,
• 16:53
  by
• 16:53
  being
• 16:53
  able
• 16:54
  to
• 16:54
  release
• 16:54
  this
• 16:55
  daily
• 16:55
  transparency,
• 16:56
  um,
• 16:57
  by
• 16:57
  having
• 16:57
  tradability.
• 16:58
  Um,
• 16:59
  once
• 16:59
  we
• 16:59
  got
• 16:59
  comfortable
• 17:00
  with
• 17:00
  all
• 17:00
  those
• 17:01
  factors,
• 17:02
  uh,
• 17:02
  we
• 17:02
  decided
• 17:03
  to
• 17:03
  launch.
• 17:04
  And
• 17:05
  what
• 17:05
  was
• 17:05
  interesting
• 17:06
  when
• 17:06
  I
• 17:06
  noticed,
• 17:06
  when
• 17:06
  I
• 17:06
  see
• 17:06
  so
• 17:07
  many
• 17:07
  people
• 17:07
  that
• 17:07
  were,
• 17:08
  you
• 17:08
  know,
• 17:08
  in
• 17:08
  our
• 17:08
  same
• 17:09
  shoes
• 17:09
  and,
• 17:09
  and,
• 17:09
  and
• 17:10
  launching,
• 17:11
  they
• 17:11
  would
• 17:11
  launch
• 17:12
  strategies
• 17:13
  that
• 17:13
  weren't
• 17:14
  working,
• 17:14
  that
• 17:15
  weren't
• 17:15
  working
• 17:15
  for
• 17:15
  them
• 17:16
  in
• 17:16
  the
• 17:16
  mutual
• 17:16
  fund
• 17:17
  format,
• 17:18
  or,
• 17:18
  or
• 17:18
  weren't,
• 17:19
  you
• 17:19
  know,
• 17:19
  wasn't
• 17:19
  really
• 17:19
  true
• 17:20
  to
• 17:20
  who
• 17:20
  they
• 17:20
  were.
• 17:20
  It
• 17:21
  was
• 17:21
  kind
• 17:21
  of
• 17:21
  a,
• 17:22
  um,
• 17:23
  just
• 17:25
  an
• 17:25
  offshoot
• 17:26
  and
• 17:27
  that's
• 17:27
  not
• 17:27
  what
• 17:27
  we
• 17:27
  wanted
• 17:27
  to
• 17:27
  do.
• 17:28
  We
• 17:28
  wanted
• 17:28
  to
• 17:28
  do
• 17:28
  things
• 17:29
  that
• 17:29
  were
• 17:29
  truly
• 17:29
  core.
• 17:30
  To
• 17:31
  Baron
• 17:31
  Capital,
• 17:31
  um,
• 17:32
  what
• 17:32
  we're
• 17:32
  known
• 17:32
  for,
• 17:33
  and
• 17:34
  obviously
• 17:34
  the
• 17:34
  first
• 17:34
  thing
• 17:34
  that
• 17:35
  we're
• 17:35
  known
• 17:35
  for
• 17:36
  is
• 17:36
  small
• 17:37
  and
• 17:37
  mid
• 17:37
  cap
• 17:37
  growth.
• 17:37
  Investing
• 17:38
  around,
• 17:38
  around
• 17:38
  half
• 17:39
  of
• 17:39
  our
• 17:39
  assets
• 17:39
  right
• 17:39
  now
• 17:40
  are
• 17:40
  in
• 17:41
  small
• 17:41
  and
• 17:41
  growth,
• 17:42
  you
• 17:42
  know,
• 17:43
  strateg,
• 17:43
  I
• 17:43
  mean,
• 17:43
  small
• 17:44
  and,
• 17:44
  and
• 17:44
  mid
• 17:44
  cap
• 17:45
  strategies
• 17:46
  have
• 17:46
  been
• 17:46
  even
• 17:46
  more,
• 17:47
  but
• 17:47
  obviously
• 17:47
  with
• 17:47
  the
• 17:47
  run
• 17:48
  in,
• 17:48
  in
• 17:48
  the
• 17:48
  mega
• 17:48
  caps,
• 17:49
  uh,
• 17:50
  as
• 17:50
  opposed
• 17:50
  to
• 17:50
  appreciation
• 17:51
  and
• 17:51
  it's
• 17:51
  come
• 17:51
  down
• 17:51
  to
• 17:51
  it,
• 17:52
  usually
• 17:52
  around
• 17:52
  two
• 17:52
  thirds
• 17:53
  are
• 17:53
  in.
• 17:53
  Or
• 17:54
  in
• 17:54
  small
• 17:54
  and
• 17:54
  mid
• 17:54
  cap.
• 17:55
  So
• 17:55
  we
• 17:55
  wanted
• 17:55
  to
• 17:55
  do
• 17:55
  a,
• 17:56
  a,
• 17:56
  a
• 17:56
  small
• 17:56
  cap
• 17:57
  and
• 17:57
  a
• 17:57
  mid
• 17:57
  cap
• 17:57
  strategy.
• 17:58
  Um,
• 17:58
  we
• 17:59
  have
• 17:59
  three
• 17:59
  small
• 17:59
  cap
• 18:00
  strategies
• 18:00
  to.
• 18:01
  Uh,
• 18:02
  mid
• 18:02
  cap
• 18:02
  strategies.
• 18:03
  We
• 18:03
  never
• 18:03
  had
• 18:03
  a
• 18:03
  smid,
• 18:04
  a
• 18:04
  small
• 18:04
  and
• 18:04
  mid
• 18:04
  cap
• 18:04
  strategy
• 18:05
  combined.
• 18:06
  Um,
• 18:06
  and,
• 18:06
  and
• 18:07
  so
• 18:07
  that
• 18:07
  made
• 18:07
  sense
• 18:07
  to
• 18:07
  be
• 18:08
  offering
• 18:09
  in
• 18:09
  the
• 18:09
  ETF
• 18:10
  fabric,
• 18:10
  a
• 18:10
  little
• 18:10
  bit
• 18:10
  more
• 18:11
  liquidity
• 18:11
  to
• 18:11
  be
• 18:11
  able
• 18:11
  to
• 18:11
  go
• 18:12
  across
• 18:12
  market
• 18:12
  caps.
• 18:13
  As
• 18:13
  I
• 18:13
  was
• 18:13
  talking
• 18:13
  about
• 18:14
  earlier
• 18:14
  with
• 18:14
  the,
• 18:15
  our
• 18:15
  success
• 18:15
  in
• 18:15
  concentrated
• 18:16
  portfolios,
• 18:16
  Baron
• 18:17
  Partners
• 18:17
  Fund
• 18:17
  and,
• 18:17
  and
• 18:18
  Baron
• 18:18
  focused
• 18:19
  growth.
• 18:19
  We
• 18:19
  want
• 18:19
  to
• 18:20
  a
• 18:20
  contrary
• 18:20
  portfolio
• 18:21
  and
• 18:21
  that's
• 18:21
  Baron
• 18:21
  first
• 18:22
  principle.
• 18:23
  Uh,
• 18:23
  we
• 18:23
  have
• 18:24
  a
• 18:24
  great,
• 18:24
  uh,
• 18:25
  strategy
• 18:25
  in
• 18:25
  the
• 18:25
  US
• 18:26
  uh,
• 18:27
  for
• 18:27
  durable
• 18:27
  advantage.
• 18:28
  These
• 18:28
  are.
• 18:28
  Uh,
• 18:29
  large
• 18:29
  cap
• 18:30
  later
• 18:30
  stage
• 18:30
  growth
• 18:30
  companies
• 18:31
  that
• 18:31
  are
• 18:31
  able
• 18:31
  to
• 18:32
  have
• 18:32
  excess
• 18:32
  free
• 18:32
  cash
• 18:33
  flow.
• 18:33
  Uh,
• 18:34
  we're
• 18:34
  now
• 18:34
  gonna
• 18:34
  deal
• 18:35
  with
• 18:35
  that
• 18:35
  on
• 18:35
  a
• 18:35
  global
• 18:36
  level.
• 18:37
  And
• 18:37
  then
• 18:37
  we
• 18:37
  converted
• 18:38
  two
• 18:38
  of
• 18:38
  our
• 18:38
  sector
• 18:38
  funds.
• 18:39
  Um,
• 18:40
  Baron
• 18:40
  Technology,
• 18:41
  ETF
• 18:42
  was
• 18:42
  was
• 18:42
  a,
• 18:42
  it
• 18:42
  was
• 18:42
  a
• 18:44
  conversion
• 18:45
  from
• 18:45
  a
• 18:45
  mutual
• 18:45
  fund.
• 18:46
  Um,
• 18:46
  what
• 18:47
  was
• 18:47
  interesting
• 18:48
  about
• 18:48
  that?
• 18:48
  We
• 18:48
  have
• 18:49
  a
• 18:49
  great.
• 18:50
  Uh,
• 18:50
  strategy
• 18:51
  Baron.
• 18:51
  Opportunity
• 18:52
  Mutual
• 18:52
  Fund.
• 18:53
  Baron.
• 18:53
  This
• 18:54
  is
• 18:54
  a
• 18:54
  a
• 18:55
  and
• 18:55
  I
• 18:55
  hate
• 18:55
  using
• 18:56
  these
• 18:56
  adjectives.
• 18:56
  Don't
• 18:56
  mean
• 18:57
  anything
• 18:57
  like
• 18:57
  great
• 18:57
  and,
• 18:58
  and,
• 18:58
  and
• 18:58
  excellent
• 18:58
  or
• 18:58
  whatever,
• 18:59
  but,
• 18:59
  but
• 18:59
  to
• 18:59
  show
• 18:59
  how
• 19:00
  great
• 19:00
  it
• 19:00
  is.
• 19:00
  There
• 19:00
  was
• 19:00
  just
• 19:01
  an
• 19:01
  article
• 19:01
  in,
• 19:01
  I
• 19:01
  believe
• 19:02
  it
• 19:02
  was
• 19:02
  Morningstar,
• 19:03
  talking
• 19:03
  about
• 19:03
  Baron
• 19:04
  Opportunity
• 19:04
  Fund.
• 19:05
  This
• 19:05
  is
• 19:05
  our
• 19:06
  higher
• 19:06
  growth,
• 19:07
  um,
• 19:07
  all
• 19:07
  cap
• 19:08
  strategy.
• 19:08
  And
• 19:08
  on
• 19:08
  a
• 19:08
  mutual
• 19:09
  fund
• 19:09
  side.
• 19:09
  Baron
• 19:09
  Opportunity
• 19:10
  Fund
• 19:10
  was
• 19:10
  the
• 19:11
  best
• 19:11
  performing
• 19:12
  mutual
• 19:12
  fund
• 19:13
  over
• 19:13
  the
• 19:13
  past
• 19:13
  25
• 19:13
  years,
• 19:14
  from
• 19:15
  2000
• 19:15
  through
• 19:16
  2025.
• 19:17
  Um.
• 19:18
  Okay.
• 19:18
  Baron
• 19:19
  Tech
• 19:19
  is
• 19:19
  a
• 19:19
  little
• 19:19
  bit
• 19:19
  of
• 19:19
  an
• 19:20
  offshoot
• 19:20
  of
• 19:20
  that.
• 19:20
  I
• 19:20
  think
• 19:20
  around
• 19:20
  70%
• 19:21
  overlap
• 19:21
  in,
• 19:22
  in
• 19:22
  terms
• 19:22
  of
• 19:22
  names
• 19:23
  holding.
• 19:23
  So
• 19:23
  a
• 19:23
  little
• 19:23
  bit
• 19:23
  more
• 19:24
  concentrated,
• 19:25
  purely
• 19:25
  on,
• 19:25
  on
• 19:26
  the
• 19:26
  tech
• 19:26
  side
• 19:26
  of
• 19:26
  things,
• 19:27
  um,
• 19:27
  to
• 19:27
  obviously
• 19:27
  know
• 19:28
  how
• 19:28
  to
• 19:28
  do
• 19:28
  high
• 19:28
  growth.
• 19:28
  And
• 19:28
  then
• 19:29
  financials,
• 19:30
  uh,
• 19:30
  was
• 19:30
  a
• 19:30
  conversion
• 19:31
  as
• 19:31
  well
• 19:32
  as
• 19:32
  I
• 19:32
  was
• 19:32
  talking
• 19:32
  about
• 19:32
  earlier,
• 19:32
  that
• 19:33
  we
• 19:33
  have
• 19:33
  a
• 19:33
  big.
• 19:34
  Belief
• 19:34
  in,
• 19:34
  in
• 19:35
  growth
• 19:35
  financials.
• 19:35
  Not
• 19:36
  just
• 19:36
  financials,
• 19:36
  they're
• 19:36
  not
• 19:36
  commoditized.
• 19:37
  Financials,
• 19:37
  not
• 19:38
  banks,
• 19:38
  but,
• 19:38
  but
• 19:38
  growth
• 19:38
  financials.
• 19:39
  And
• 19:40
  that's
• 19:40
  allowed
• 19:41
  us
• 19:41
  to
• 19:41
  do
• 19:41
  well.
• 19:41
  An
• 19:42
  interesting
• 19:42
  stat
• 19:42
  I
• 19:42
  just
• 19:42
  saw
• 19:43
  out
• 19:43
  of
• 19:43
  our
• 19:44
  firm,
• 19:44
  we
• 19:45
  have
• 19:45
  around
• 19:45
  18
• 19:45
  or
• 19:45
  19%
• 19:46
  of
• 19:46
  our
• 19:46
  assets
• 19:47
  are
• 19:47
  in
• 19:47
  financial
• 19:47
  companies.
• 19:48
  Okay?
• 19:49
  For
• 19:49
  the
• 19:50
  s
• 19:50
  and
• 19:50
  p
• 19:50
  500,
• 19:51
  I
• 19:51
  think
• 19:51
  it's
• 19:51
  around
• 19:52
  12%.
• 19:53
  For
• 19:53
  the
• 19:53
  Russell
• 19:53
  3000
• 19:54
  growth,
• 19:55
  it's
• 19:55
  around
• 19:55
  5%.
• 19:56
  So
• 19:56
  we're
• 19:56
  significantly
• 19:57
  overweight
• 19:57
  financial,
• 19:58
  the
• 19:58
  firm.
• 19:59
  Um,
• 20:00
  led
• 20:00
  to
• 20:00
  be,
• 20:00
  you
• 20:00
  know,
• 20:00
  had
• 20:01
  great
• 20:01
  benefits
• 20:02
  to
• 20:02
  our
• 20:02
  portfolios
• 20:03
  and
• 20:03
  our
• 20:03
  investors
• 20:04
  as
• 20:04
  a
• 20:04
  result
• 20:04
  of
• 20:04
  that,
• 20:05
  you
• 20:05
  know,
• 20:05
  finding
• 20:05
  these
• 20:05
  high
• 20:05
  quality,
• 20:06
  um,
• 20:07
  growth
• 20:07
  investments
• 20:08
  in
• 20:08
  the
• 20:08
  financial,
• 20:09
  um,
• 20:09
  area.
• 20:10
  Um,
• 20:11
  and
• 20:11
  now
• 20:11
  we're
• 20:11
  just
• 20:11
  bringing
• 20:11
  that
• 20:11
  out
• 20:12
  for
• 20:13
  other
• 20:13
  investors
• 20:14
  to
• 20:14
  use
• 20:14
  it,
• 20:14
  you
• 20:14
  know,
• 20:14
  to
• 20:15
  tack
• 20:15
  onto
• 20:15
  their
• 20:15
  existing
• 20:16
  other
• 20:17
  portfolios
• 20:17
  to
• 20:17
  give
• 20:17
  them
• 20:17
  that,
• 20:18
  that,
• 20:18
  uh,
• 20:18
  balance
• 20:19
  and
• 20:19
  balance
• 20:20
  that
• 20:20
  they
• 20:20
  typically
• 20:20
  don't
• 20:21
  get
• 20:21
  in,
• 20:21
  in
• 20:21
  most
• 20:22
  growth
• 20:22
  portfolios.
• 20:22
  Yeah,
• 20:23
  I
• 20:23
  love
• 20:24
  it.
• 20:24
  Michael,
• 20:24
  I'm
• 20:24
  glad
• 20:25
  you
• 20:25
  brought
• 20:25
  up
• 20:25
  how.
• 20:26
  Really,
• 20:26
  it's
• 20:26
  to
• 20:26
  compliment
• 20:27
  your
• 20:27
  ETFs
• 20:28
  to
• 20:28
  your
• 20:28
  mutual
• 20:29
  fund
• 20:29
  business
• 20:30
  to
• 20:30
  give,
• 20:31
  you
• 20:31
  know,
• 20:31
  like
• 20:31
  you
• 20:31
  said,
• 20:32
  it's
• 20:32
  people's
• 20:32
  lives
• 20:33
  change.
• 20:33
  You
• 20:33
  know,
• 20:34
  giving
• 20:34
  them
• 20:34
  different
• 20:35
  vehicles
• 20:36
  to
• 20:36
  help
• 20:36
  them,
• 20:37
  whether
• 20:37
  their
• 20:38
  mutual
• 20:38
  funds
• 20:38
  aren't
• 20:39
  going
• 20:39
  anywhere,
• 20:39
  like
• 20:40
  you
• 20:40
  said,
• 20:40
  right?
• 20:40
  But
• 20:41
  offering
• 20:41
  ETFs,
• 20:42
  it
• 20:42
  just
• 20:42
  helps
• 20:42
  them,
• 20:43
  you
• 20:43
  know,
• 20:44
  um,
• 20:45
  maybe
• 20:45
  create
• 20:46
  better
• 20:46
  portfolios,
• 20:47
  right?
• 20:47
  And
• 20:47
  so
• 20:47
  that
• 20:48
  aligned
• 20:48
  with
• 20:49
  what
• 20:49
  they
• 20:49
  need
• 20:50
  and
• 20:50
  their
• 20:50
  objectives
• 20:51
  and
• 20:51
  so
• 20:51
  on.
• 20:52
  Lastly.
• 20:53
  S
• 20:53
  real
• 20:54
  quickly,
• 20:54
  you
• 20:54
  know,
• 20:54
  mutual
• 20:55
  funds.
• 20:55
  How
• 20:55
  have
• 20:55
  mutual
• 20:56
  funds,
• 20:57
  you
• 20:57
  know,
• 20:57
  you
• 20:57
  guys
• 20:57
  have
• 20:57
  been,
• 20:58
  um,
• 20:59
  you
• 20:59
  know,
• 20:59
  have
• 21:00
  had
• 21:00
  great
• 21:01
  success
• 21:01
  over
• 21:01
  40
• 21:02
  some
• 21:02
  years
• 21:02
  with
• 21:02
  their
• 21:03
  mutual
• 21:03
  funds.
• 21:03
  How
• 21:03
  have
• 21:03
  mutual
• 21:04
  funds
• 21:04
  evolved
• 21:06
  based
• 21:06
  on
• 21:06
  the
• 21:06
  success
• 21:07
  of
• 21:07
  ETFs?
• 21:08
  Have
• 21:08
  they,
• 21:08
  like,
• 21:09
  is
• 21:09
  there
• 21:09
  anything
• 21:09
  mutual
• 21:10
  funds
• 21:10
  have
• 21:10
  taken
• 21:10
  from
• 21:11
  the
• 21:11
  success
• 21:12
  of
• 21:12
  ETFs
• 21:12
  and
• 21:13
  be
• 21:13
  like,
• 21:13
  Hey,
• 21:13
  maybe
• 21:14
  we
• 21:14
  can
• 21:14
  do
• 21:14
  this
• 21:14
  within
• 21:15
  a
• 21:15
  mutual
• 21:16
  fund
• 21:16
  wrap?
• 21:18
  Um.
• 21:19
  Yes.
• 21:19
  I,
• 21:19
  I,
• 21:19
  I
• 21:20
  don't
• 21:20
  think
• 21:20
  mutual
• 21:20
  funds,
• 21:21
  at
• 21:21
  least
• 21:21
  us,
• 21:21
  at,
• 21:21
  at
• 21:22
  our
• 21:22
  mutual
• 21:22
  fund,
• 21:22
  you
• 21:23
  know,
• 21:23
  business,
• 21:23
  we're
• 21:23
  not
• 21:23
  sitting
• 21:24
  still.
• 21:25
  Uh,
• 21:25
  we
• 21:25
  are
• 21:25
  obviously
• 21:26
  always
• 21:26
  trying
• 21:27
  to
• 21:28
  give
• 21:28
  a
• 21:28
  better
• 21:29
  product
• 21:30
  to
• 21:30
  our
• 21:30
  investors.
• 21:31
  And,
• 21:31
  and
• 21:31
  one
• 21:31
  of
• 21:31
  the
• 21:31
  biggest,
• 21:32
  um,
• 21:34
  one
• 21:34
  downfall
• 21:34
  we've
• 21:35
  had
• 21:35
  that
• 21:35
  some
• 21:35
  of
• 21:36
  our
• 21:36
  investors
• 21:36
  have
• 21:36
  said
• 21:36
  are
• 21:36
  critique
• 21:37
  we
• 21:37
  they've
• 21:37
  had
• 21:37
  on
• 21:38
  our
• 21:38
  mutual
• 21:38
  funds
• 21:39
  is
• 21:39
  when
• 21:40
  we
• 21:40
  rebalance.
• 21:41
  Um,
• 21:41
  and
• 21:41
  when,
• 21:41
  when
• 21:42
  we
• 21:42
  get
• 21:42
  outta
• 21:42
  one
• 21:43
  position
• 21:43
  in
• 21:43
  order
• 21:43
  to
• 21:43
  get
• 21:43
  into
• 21:43
  another
• 21:44
  position,
• 21:44
  it,
• 21:44
  it
• 21:44
  happens
• 21:45
  rarely.
• 21:45
  As
• 21:45
  I
• 21:45
  was
• 21:45
  talking
• 21:46
  about,
• 21:46
  you
• 21:46
  know,
• 21:46
  our
• 21:46
  average
• 21:46
  holding
• 21:46
  period
• 21:47
  being
• 21:47
  in.
• 21:48
  Um,
• 21:48
  depending
• 21:48
  on
• 21:48
  the
• 21:49
  actual
• 21:49
  strategy,
• 21:49
  anywhere
• 21:49
  between
• 21:50
  four
• 21:50
  to
• 21:50
  eight
• 21:51
  years
• 21:51
  or
• 21:51
  something.
• 21:52
  Um,
• 21:52
  but
• 21:53
  when
• 21:53
  it
• 21:53
  does,
• 21:53
  uh,
• 21:54
  it
• 21:54
  can
• 21:54
  be
• 21:55
  costly
• 21:56
  and
• 21:56
  we've
• 21:57
  entered
• 21:57
  into
• 21:58
  contracts
• 21:59
  with,
• 21:59
  with,
• 21:59
  you
• 21:59
  know,
• 21:59
  big
• 22:00
  institutions,
• 22:00
  big
• 22:00
  banks,
• 22:01
  in
• 22:01
  order
• 22:01
  to
• 22:01
  make
• 22:01
  us
• 22:02
  rebalance
• 22:03
  more
• 22:03
  cost
• 22:04
  effectively.
• 22:05
  Uh,
• 22:05
  let
• 22:05
  them
• 22:05
  do
• 22:05
  the
• 22:06
  trading
• 22:06
  for
• 22:07
  us
• 22:07
  as
• 22:07
  opposed
• 22:07
  to
• 22:07
  us
• 22:08
  impacting
• 22:09
  the,
• 22:09
  the
• 22:09
  price
• 22:09
  and,
• 22:10
  and,
• 22:10
  and
• 22:10
  timeline.
• 22:11
  Um,
• 22:11
  it
• 22:12
  allows
• 22:12
  us
• 22:12
  to
• 22:12
  get,
• 22:12
  you
• 22:12
  know,
• 22:13
  out
• 22:13
  of
• 22:13
  position
• 22:13
  to
• 22:13
  allow
• 22:13
  us
• 22:13
  to
• 22:13
  get
• 22:14
  into
• 22:14
  new
• 22:14
  positions.
• 22:15
  And
• 22:15
  the
• 22:15
  ancillary
• 22:16
  benefit
• 22:16
  is
• 22:17
  it's
• 22:17
  a
• 22:17
  non-taxable
• 22:18
  event,
• 22:19
  uh,
• 22:19
  when
• 22:19
  we're
• 22:19
  able
• 22:19
  to,
• 22:20
  to
• 22:20
  rebalance
• 22:20
  that
• 22:20
  portfolio.
• 22:21
  So
• 22:21
  it's
• 22:21
  been
• 22:21
  a
• 22:21
  big,
• 22:22
  uh,
• 22:23
  win
• 22:23
  for
• 22:23
  our,
• 22:24
  for
• 22:24
  our
• 22:24
  clients.
• 22:24
  So
• 22:24
  it's
• 22:25
  a,
• 22:25
  a
• 22:25
  more
• 22:25
  cost
• 22:25
  effective
• 22:26
  way
• 22:27
  of
• 22:27
  rebalancing
• 22:28
  our
• 22:28
  portfolios.
• 22:29
  Um,
• 22:29
  I
• 22:29
  do
• 22:29
  wanna
• 22:30
  mention
• 22:30
  before
• 22:30
  we
• 22:30
  do
• 22:30
  go,
• 22:31
  you
• 22:31
  know,
• 22:31
  you
• 22:31
  were
• 22:31
  talking
• 22:32
  about
• 22:32
  why
• 22:32
  these
• 22:32
  five.
• 22:33
  On
• 22:34
  the
• 22:34
  ETF
• 22:34
  side
• 22:34
  of
• 22:34
  things
• 22:35
  and
• 22:36
  you
• 22:36
  know,
• 22:36
  like
• 22:36
  I
• 22:36
  was
• 22:36
  saying,
• 22:36
  it
• 22:36
  was,
• 22:37
  it,
• 22:37
  it's
• 22:37
  a
• 22:37
  very
• 22:37
  important
• 22:38
  five.
• 22:38
  It's
• 22:39
  who
• 22:39
  we
• 22:39
  are.
• 22:39
  Bearing
• 22:39
  capital,
• 22:40
  it's
• 22:40
  like,
• 22:40
  you
• 22:40
  know,
• 22:40
  the
• 22:41
  essence
• 22:41
  of
• 22:41
  us,
• 22:41
  whether
• 22:41
  it
• 22:41
  be
• 22:42
  small
• 22:42
  cap
• 22:42
  or
• 22:42
  concentrated
• 22:43
  or,
• 22:43
  or,
• 22:44
  you
• 22:44
  know,
• 22:44
  higher
• 22:44
  growth
• 22:45
  things
• 22:45
  or
• 22:45
  financials.
• 22:46
  Um,
• 22:47
  it's
• 22:47
  not
• 22:47
  gonna
• 22:47
  be
• 22:47
  our
• 22:47
  last
• 22:47
  five
• 22:48
  and
• 22:48
  we've
• 22:49
  already
• 22:49
  filed
• 22:50
  for,
• 22:50
  for
• 22:50
  two
• 22:50
  more.
• 22:51
  And
• 22:51
  I
• 22:52
  would
• 22:52
  expect
• 22:52
  over
• 22:52
  the
• 22:53
  coming
• 22:53
  years,
• 22:54
  uh,
• 22:55
  you'll
• 22:55
  see
• 22:56
  more
• 22:56
  new
• 22:56
  strategies
• 22:57
  come
• 22:57
  from
• 22:57
  us.
• 22:58
  You'll
• 22:58
  see
• 22:58
  some
• 22:58
  conversions
• 22:59
  come
• 22:59
  from
• 22:59
  us,
• 23:00
  um,
• 23:01
  but
• 23:01
  it's
• 23:01
  really.
• 23:02
  Taking
• 23:02
  this
• 23:02
  approach
• 23:03
  and
• 23:03
  matching
• 23:04
  the
• 23:04
  investment
• 23:05
  strategy
• 23:06
  with
• 23:07
  to
• 23:07
  the
• 23:07
  client
• 23:08
  to
• 23:08
  in,
• 23:08
  in
• 23:08
  the
• 23:08
  structure
• 23:09
  that
• 23:09
  makes
• 23:09
  the
• 23:09
  most
• 23:09
  sense
• 23:10
  for
• 23:10
  them.
• 23:10
  Um,
• 23:10
  and
• 23:11
  that's
• 23:11
  what
• 23:11
  we'll
• 23:11
  continue
• 23:11
  to
• 23:11
  do.
• 23:12
  Awesome,
• 23:13
  Michael,
• 23:14
  fantastic
• 23:14
  conversation.
• 23:15
  I
• 23:16
  love
• 23:16
  it.
• 23:16
  Great
• 23:17
  insight.
• 23:17
  I
• 23:17
  love
• 23:18
  just
• 23:18
  hearing
• 23:18
  the
• 23:18
  backdrop,
• 23:19
  the
• 23:19
  inner
• 23:19
  workings
• 23:19
  up
• 23:20
  barren
• 23:20
  capital.
• 23:20
  What
• 23:20
  makes
• 23:21
  it
• 23:21
  so
• 23:21
  special?
• 23:22
  Special
• 23:22
  place.
• 23:23
  Michael.
• 23:24
  Where
• 23:24
  can
• 23:24
  our
• 23:24
  audience
• 23:25
  get
• 23:25
  more
• 23:25
  information
• 23:26
  about
• 23:26
  Baron
• 23:26
  Capital?
• 23:28
  Uh,
• 23:28
  sure.
• 23:29
  Um,
• 23:30
  come
• 23:30
  visit
• 23:30
  us.
• 23:31
  Uh,
• 23:32
  obviously
• 23:32
  the
• 23:32
  first
• 23:33
  play
• 23:33
  thing
• 23:33
  to
• 23:33
  do
• 23:34
  is
• 23:34
  to
• 23:34
  go
• 23:34
  to,
• 23:35
  uh,
• 23:35
  baron
• 23:35
  capital
• 23:36
  group.com.
• 23:38
  One
• 23:38
  of
• 23:38
  the
• 23:38
  thing
• 23:38
  I
• 23:38
  do
• 23:38
  wanna
• 23:39
  mention
• 23:39
  is,
• 23:41
  you
• 23:41
  know,
• 23:41
  we're
• 23:42
  not
• 23:42
  a
• 23:42
  firm
• 23:43
  that's
• 23:43
  about
• 23:44
  advertising
• 23:45
  and,
• 23:45
  and,
• 23:45
  and
• 23:45
  putting
• 23:45
  big
• 23:46
  ads
• 23:46
  out
• 23:46
  there
• 23:47
  and,
• 23:47
  and,
• 23:47
  you
• 23:47
  know,
• 23:48
  splashy
• 23:48
  content
• 23:49
  and
• 23:49
  all
• 23:49
  of
• 23:49
  a
• 23:49
  sudden
• 23:49
  people.
• 23:50
  Finding
• 23:50
  us
• 23:50
  and
• 23:50
  hearing
• 23:51
  about
• 23:51
  us
• 23:51
  and,
• 23:51
  and
• 23:51
  investing
• 23:52
  with
• 23:52
  us.
• 23:53
  We
• 23:53
  wanna
• 23:53
  have
• 23:53
  real
• 23:53
  conversations,
• 23:54
  um,
• 23:55
  with
• 23:55
  advisors
• 23:56
  about
• 23:56
  their
• 23:56
  clients'
• 23:57
  needs
• 23:57
  and
• 23:57
  what
• 23:57
  their
• 23:58
  objectives
• 23:58
  are,
• 23:58
  and
• 23:58
  finding
• 23:59
  the,
• 23:59
  like
• 23:59
  I
• 23:59
  said,
• 23:59
  the
• 23:59
  right,
• 24:00
  uh,
• 24:00
  strategy
• 24:01
  and
• 24:01
  the
• 24:01
  right,
• 24:01
  you
• 24:01
  know,
• 24:01
  structure
• 24:02
  for
• 24:02
  them.
• 24:03
  So
• 24:03
  we've
• 24:03
  really
• 24:03
  built
• 24:04
  out
• 24:04
  our
• 24:04
  distribution
• 24:05
  team,
• 24:05
  whether
• 24:06
  it
• 24:06
  be
• 24:06
  on
• 24:06
  the,
• 24:06
  on
• 24:06
  the
• 24:07
  RIA
• 24:07
  side
• 24:07
  of
• 24:07
  things
• 24:08
  or
• 24:08
  on
• 24:08
  the
• 24:08
  wholesaling
• 24:09
  side
• 24:09
  of
• 24:09
  things,
• 24:10
  um,
• 24:10
  to
• 24:10
  have
• 24:10
  those
• 24:11
  kind
• 24:11
  of
• 24:11
  conversations.
• 24:12
  So
• 24:13
  the
• 24:13
  first
• 24:13
  thing
• 24:13
  to
• 24:13
  do
• 24:13
  is
• 24:14
  obviously
• 24:14
  come
• 24:14
  to
• 24:14
  our
• 24:14
  website,
• 24:15
  but
• 24:15
  then
• 24:15
  drop
• 24:15
  us
• 24:15
  a
• 24:15
  line
• 24:16
  and,
• 24:16
  and
• 24:16
  let
• 24:16
  us
• 24:17
  come
• 24:17
  visit
• 24:17
  you.
• 24:18
  Um,
• 24:18
  and
• 24:18
  have
• 24:18
  that
• 24:18
  conversation
• 24:19
  about
• 24:19
  what
• 24:19
  is
• 24:19
  the
• 24:20
  right,
• 24:20
  uh,
• 24:20
  strategy
• 24:21
  and
• 24:21
  structure
• 24:21
  for
• 24:22
  you
• 24:22
  and
• 24:22
  your
• 24:22
  clients.
• 24:23
  I
• 24:23
  love
• 24:23
  it.
• 24:23
  Michael,
• 24:24
  thank
• 24:24
  you
• 24:24
  so
• 24:24
  much.
• 24:25
  It's
• 24:25
  been
• 24:25
  a
• 24:25
  fun
• 24:26
  conversation,
• 24:27
  honor
• 24:27
  to
• 24:27
  have
• 24:27
  you
• 24:27
  on,
• 24:28
  and
• 24:28
  thank
• 24:28
  you
• 24:29
  everyone
• 24:29
  for
• 24:29
  joining
• 24:30
  this
• 24:30
  or
• 24:30
  listening
• 24:31
  to
• 24:31
  this
• 24:31
  episode
• 24:32
  of
• 24:32
  zephyr's
• 24:32
  Adjusted
• 24:33
  for
• 24:33
  Risk
• 24:33
  podcast.
• 24:34
  You
• 24:34
  can
• 24:34
  watch
• 24:34
  all
• 24:34
  of
• 24:34
  our
• 24:35
  other
• 24:35
  episodes
• 24:35
  on
• 24:36
  the
• 24:36
  Zephyr
• 24:36
  YouTube
• 24:36
  channel
• 24:37
  and
• 24:37
  Spotify.
• 24:38
  Please
• 24:38
  be
• 24:39
  sure
• 24:39
  to
• 24:39
  like
• 24:39
  subscribe
• 24:40
  to
• 24:40
  those
• 24:40
  channels
• 24:40
  and
• 24:41
  give
• 24:41
  us
• 24:41
  a
• 24:41
  follow
• 24:41
  on
• 24:41
  LinkedIn.
• 24:42
  Thank
• 24:43
  you
• 24:43
  very
• 24:43
  much
• 24:43
  and
• 24:43
  have
• 24:43
  a
• 24:44
  great
• 24:44
  rest
• 24:44
  of
• 24:44
  your
• 24:45
  week.
• 24:45
  Started.