Marc Rowan

value alone is not enough we are standardized information standardized qsips or ice ids standardized data warehouses market making regular disclosure of prices other dealers this is about creating an ecosystem and by the end of september this will be across the entirety of our credit business

And I believe this is the direction of travel.

I've never seen a market in the world where you have transparency and price discovery that is not 10 times its size.

and change like everything else.

It may be uncomfortable for people, but it's coming.

And five other markets want it.

And will it be perfect the first day?

It will not.

Will it get better every day?

It will get better every day.

And one day soon, maybe it'll even come for equity.

But that's not this year's business.

So I do think it starts with a skill set of managing a credit book.

Because at the end of the day, managing credit is different than managing equity.

In credit, you only get your principal and interest.

You should not be around risk-taking.

As a rule, you should be fully diversified.

In the equity business, you actually get paid for risk-taking.

And so that mindset difference perhaps is obvious, but it has not been obvious in people's actual performance and how they have constructed portfolios.

The second is you need a low cost of capital.