Taking Stock of the State of U.S. Financials

The video features a discussion with Estimize CEO on the current state of the banking sector, highlighting the impact of technology and regulatory changes. It covers Goldman's strategic shifts, the effects of tax reform, and the implications of MiFID II on asset management. The conversation emphasizes the need for banks to adapt to technological advancements and regulatory environments to remain competitive.

What was the main reason for the poor performance in Goldman's trading revenue?

• Increased competition from new banks

• A secular shift due to financial technology

• Higher interest rates

• Lack of skilled traders

How is Goldman planning to adapt to the changing financial landscape?

• By reducing their investment banking operations

• By focusing solely on equities

• By entering the crypto market

• By increasing their workforce

What is the expected impact of tax reform on US equities?

• Increase in multiples

• Reduction in trading volumes

• Stagnation of market growth

• Decrease in market volatility

What is a significant challenge faced by asset management firms regarding MiFID II?

• Lack of awareness about the regulations

• High costs of implementing new technology

• Increased competition from European banks

• Inadequate preparation for compliance

How does MiFID II affect US investors?

• It impacts all major US investors

• It only affects small investors

• It benefits US investors by reducing costs

• It has no impact on US investors

What is a major theme in the banking sector regarding cost management?

• Expanding into new markets

• Cutting costs through automation

• Increasing workforce

• Raising capital through IPOs

What competitive pressure is mentioned in the context of asset management?

• Increased interest rates affecting investments

• Government regulations favoring new entrants

• BlackRock's iShares dominating active managers

• New startups entering the market