Ed Ludlow

We saw equities in Korea, the KOSPI dropped the most on record, as Caroline quite rightly points out.

You know, that's an issue of leverage as much as anything else.

What do you do in this situation where you have a war in the Middle East, in Iran?

You have fluid tariff policy, let's say.

And again, you know, we are looking in particular at the energy sector in the context of Iran.

What are you doing right now, Todd?

Well, it's our 31st year at Parnassus, 25 years managing the Parnassus core equity strategy.

We haven't put in a trade since this conflict began.

We're focused on great American companies, durable franchises, the AI investment wave, and just quality companies, quality compounders.

So for us...

Our clients really come to us during these times to invest in durable businesses.

So again, the headlines can be emotionally jarring, but we're not here to predict the price of oil for the next three weeks or some of the short-term supply shocks.

It's really invest in durable earnings,

tech regime changes, quality American companies.

So it's the applied materials, the Costcos, the MasterCards, the Microsofts, and keep it low turnover.

And that's where our clients come to us during these times for that long-term perspective.

Todd, is the long-term perspective still one where you build out an AI infrastructure?

Are the winning trades of 24, 25, the NVIDIAs still the way to go, or is it shifting?

Well, I think there's a durable investment behind the infrastructure.

So we like to look for the bottlenecks in AI and we think that compute demand is going to exceed supply for quite some time.