Remove Healthcare Remove Hurdle Rate Remove Leverage
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Transcript: Tim Buckley, Vanguard’s CEO

Barry Ritholtz

A second guess would have been a healthcare company. But the true change comes when, hey, you know what, those loyal to that technological change figure out over not one, two, but three, five years, how to drive change and how to leverage it. That means a low hurdle rate. I mean, really, no one knows who Vanguard is.

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Transcript: Julian Salisbury, GS

Barry Ritholtz

But I would say generally, there’s less leverage in the system. But I don’t think this is a wholesale shift, we’re in a higher rate environment, obviously, for now. So you’ve got to be really mindful that you’re getting paid enough on a nominal return basis versus the risk-free rate.