The Business of America: Democracy and Capitalism

Part of the George Washington Presidential Library's Symposium "The Great Experiment: From the Founding to the Future. David Rubenstein, Co-Founder and Co-Chairman of The Carlyle Group, talks with Citadel Founder and CEO Kenneth C. Griffin.

[@donkkkong]

How is ”active managers driving the price where they want” a proof of efficient market? Sounds like market manipulation to me

[@timshelton189]

Just read all the due diligence regarding GME stock. Proof is in the pudding.

[@michaeleldridge5640]

how can there be an efficient market with all passive investing? every company would get equal buys because they were in the index regardless of performance. there has to be some stock pickers out there.

[@donkkkong]

Of course there are active investors, but they shouldn’t “actively drive the price to where they want it” -> that is, intentionally e.g. driving the price low (various mechanisms to achieve this) and by doing so affecting the underlying business itself while making a profit yourself. That’s manipulation and there are laws against it. It’s another story if the price, as the result of market participants traiding fairly, settles to certain level without a manager deciding that certain level is correct. Manipulative actions are of course most plausible with low (relative term) market cap companies.

[@zetopr8058]

Question would be whats efficient and for who? ​@michaeleldridge5640 Amc and gme. I buy em

[@kylebork9030]

Did Ken Griffin admit to manipulating the stock market during his investment advice segment? Steering the price to where he feels it belongs seems criminal to me.

[@billm4350]

That's exactly what I heard... That truly sounds like market manipulation to me.

[@kevinwebber3882]

that illegal. you can't do illegal stuff in the stock market. prove me wrong.

[@donkkkong]

Why is he confessing? …Or is he bragging?

[@melskluz]

yes, it is criminal but because he is a special billionaire that owns congress, he will see 0 repercussions,

[@Flomo112]

Ken Griffin knows he is untouchable and laughs at law enforcement because he owns the political will to enforce.He publicly admits to his crime.He also bought a high level reps in the secret service and DOJ. He destroyed the US markets and the world knows it. Supply and Demand? What a joke.

[@Koushi82]

So admission of fraud and financial terrorism

[@davidfrazier4575]

All I heard was, he manipulates the market and drives the price to where he believes it should be.

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[@michaeleldridge5640]

another idiot on here that doesn't understand finance. are you guys bots or something?

[@iWantaBTSsandwich]

"The average person should give their money to me so that i can buy a new yacht and then go back to being poor and eat bugs. Rinse. Repeat."

[@peltontree]

Skip to 34:20 Listen to his admission to manipulating 'free and fair' markets. Sorry, but he's a crook.

[@loganlatosz5904]

And they talk like theyre the good guys and expected people to eat it up

[@michaeleldridge5640]

@@loganlatosz5904 not a crook, at least from this interviews. you guys are idiots.

[@christalball93_]

34:20 admits Market Manipulation

[@michaeleldridge5640]

WRONG. YOU must not understand finance. where are you bots coming from?

[@AceKicker86]

What a bunch of crooks. Price manipulation and betting according to their price control. No wonder they are mega rich. .....

[@Makingblah71]

"Active management of the market" Isn't a market supposed to be a place for price discovery? Isn't that the whole point of a market? How can a price be discovered if it's being actively MANAGED? What a world we live in that one of the core functionalities that the world economy is built upon is completely disconnected from the fundamental aspect that drives it. A market is a place where prices can be discovered and buyers and sellers can match with each other. They've already admitted that the matching of a buyer and seller is no longer necessary, and now they're saying that price discovery is to be done by them and not the market. This is not right. The consequences of this ripple right down through society, these policies are anti-human and dangerous.

[@chiko4297]

Ken Griffin or Madoff

[@newdawnfades263]

This happened with a stock with ticker ICU yesterday. These companies drove the price down to get in cheap. Just look at this company and the products they have FDA approval for. This company is going to be huge in the healthcare sector, and the market makers know it, and yesterday they laddered down to lock in maximum profits for when it goes up.

[@jakkidd8741]

Here’s Ken griffen admitting market manipulation 34 minutes in

[@michaeleldridge5640]

no. if you were educated in financial theory this is all terminology that is discussed. nothing illegal about it. everyone drives prices based on their buys and sells.

[@user-gj3kz7cm3x]

That is not at all what he said… Active investors push prices towards their fundamental valuation. That is their job. It adds value for every one else in the market, because now anyone can buy products at a perfectly fair price without having to do that research. When you have hundreds of competing active investors, the prices of instruments naturally approach their fundamental value.

[@nope3015]

Ah so there’s no such thing as price discovery and capital formation means “as long as you invest in the wake of kingmakers, you might get a taste”. None of those pesky laws of supply and demand because… liquidity. Gotcha.

[@bearnpici]

Reagan gave huge tax cuts to the wealthy which grew the debt hugely. The middle class and lower suffered and the gap between the right and poor grew tremendously. We have not recovered from this.

[@philipwong895]

The US also needs to develop policies to deal with these chronic issues of living in a “democracy”. Economic inequality, inflation, stagnant real wages for the last forty years, costly healthcare, expensive education system, student loan debt totaling $1.7 trillion with an average balance of $38,000, racial inequality, mass incarceration, the militarization of police, deteriorating infrastructure, housing affordability, homelessness, the opioid epidemic, and gun violence.

[@kellym7759]

This Ken guy thinks he’s God. Manipulating the stock price to reflect the value he thinks a company is worth? Is he for real?

[@annaaugstein4997]

David Rubenstein 1:52 coming up to stage. It is the middle of the night in Berlin: 02:58 am thinking of the Washington Book Festival in Washington DC.

[@himalaYAK1983]

Ken Griffin, what exactly do you mean at 34:23 when you say that "active managers from firms like Citadel set the prices of securities"? How can it be legal to "drive the value of companies to where *YOU* think they should be valued", as you say? How does any of this make sense to anyone? What if I disagree with your valuation? The market should work without your shady fiddling with it. This sounds like you're bragging about what you're oh so selflessly doing when all you do is fill your own pockets with practices that are suspicious at best and criminal at worst. People in the USA need to wake up and ask the right questions so Wallstreet doesn't keep getting away with it.

[@WEBUYUGLYAUTOS]

This is why we need a revolution... Ken G is now trying to corner the crypto market PFOF is banned in many countries all Ken does is steal from Retail with front running and naked shorting. PFOF should be banned in the USA but the people that suppose to represent us have sold us out

[@michaeleldridge5640]

the market does work without citadel involvement. he was talking figuratively and in theory. they have a lot of influence from massive $$$ they control. but economic forces and profits in the end drive prices.

[@himalaYAK1983]

@@michaeleldridge5640 No, he was definitely not talking figuratively and in theory. He was saying the quiet part out loud.

[@rihardsgrislis]

Passive investing is where price discovery goes to die.

[@Chris-PBTHOR]

Freaking disgusting. 34:20. Griffin and friends…every congressman and senator including at the state level will know what you said and how unacceptable it is. There is nothing you can do can say to walk it back. You said the truth. Your days of setting prices of our stocks must come to an end. Real supply and demand must be the answer. For Gods sake even China won’t let you do business there

[@michaeleldridge5640]

where are you bots coming from?

[@user-gj3kz7cm3x]

That is not at all what he said… Active investors push prices towards their fundamental valuation. That is their job. It adds value for every one else in the market, because now anyone can buy products at a perfectly fair price without having to do that research. When you have hundreds of competing active investors, the prices of instruments naturally approach their fundamental value.

[@systemanalyst3039]

@@user-gj3kz7cm3x Shut up bot

[@ryana42]

My grandparents sold eggs and put their grandkids through college, lol. So relevant to todays world with top schools charging a years medium salary. Dude was lucky, started closer to the top and luckily was in the right place, with the right mindset and got lucky with a trade. This is the defense of capitalism the dude gave. There are legit defenses, this wasn't one of them.

[@rrosario7735]

"The theory that markets are efficient" 😂😅🤦‍♂️

[@annaaugstein4997]

😂 34:48 😂😂

[@2012photograph]

On Electoral College is form of check & balance because keep extreme left or right could destroy our democracy

[@stevemahoney1776]

Oh Kenny boy. Did you say you traded from your room at Harvard? Against their Rules.

[@matthewbuss1804]

That sounds really curropt to me.

[@vladkozajko7535]

Kenny G is like sophisticated Godfather on steroids One day there will be a movie about this criminal

[@mns8732]

Jefferson said an educated population was necessary for democracy. But who needs that aggravation?

[@davidoff59]

Seems his attitude has changed since 2021. As we move forward - and consider how to further improve our capital markets - it is important that we build on the tremendous progress of recent years. Individual investors are better served by America’s markets than ever before, and it is critical that our markets continue to be a force for fairness and integrity worthy of investor confidence and participation. I appreciate the opportunity to appear today and look forward to discussing the retail market structure with the Committee.

[@george4573]

Embarrassing to even associate with this criminal for you guys.

[@Flomo112]

I’m sure he bought them a new wing. Care to disclose?

[@robertprawendowski2850]

⭐

[@TheoriginalCallmeYuri]

Ken Griffin lied under oath

[@andresll.9366]

This is fraid. The world need to realize he is commiting fraud.

[@ReedtheRealtor]

Man minutes 34-36 Kenny G is literally explaining how he and his cronies manipulate stock prices to where ‘they feel’ the prices should be. He even goes on to basically explain how this helps keep a wealth gap 😬🙃 How can these videos be on national Tv and everyone’s just like, yup, that’s cool. 🤡

[@Callaway226]

Ken is one of the most successful investor because he cheats. Proof is in the pudding. Put him in jail for the rest of his life. 7 million fine from the SEC? Pfft they Should literally liquidate citadel and jail him for fraud.

[@oz7586]

Bro really crying about weed smells. like tobacco doesnt stink when you burn it. Oldhead mentality calling it dope

[@allstars617]

the answer is DRS

[@bearnpici]

China and Russia are and were dictatorships. They protected a system where only the rich could succeed and survive. I don’t think reaching to them as examples of failed socialist economies is reasonable. We need to look at countries like Sweden to appreciate how a blend of markets along with a strong social safety net can work. In the US we starve the social safety net and educational resources that enables the poor and elderly to live respectably and to get ahead. We don’t tax the wealthy at the same rate as we tax the middle class and this has caused not only a huge debt but the increasing gap between the rich and the poor. I will bet my family pays more percentage of our income in taxes than this speaker. Tax the wealthy proportionately more and you will close the debt, stop children going hungry and easily fund public education for all that wish to attend through college. Blaming a poor family for not being educated when their communities have poor schools and can barely feed themselves is ridiculous.

[@yaoliang1580]

Enjoy your plutocracy

[@bearnpici]

@@yaoliang1580 nothing to enjoy about the wealthy controlling our government and owning nearly all of the resources.

[@AmazingTater]

Negative. China is one the few countries have social mobility

[@michaelbadgley8024]

Dude just admitted to manipulating the stock market, but he won't be punished because he's untouchable. This country is a joke

[@noureddineelhoussni8704]

Quelque jours vers la DG banque populaire du maroc à but de regulariser notre transfert de 5,8 milliards euros reçu de deffente banking europain et que la banque populaire du maroc à refuser de declarer, il s'agit de non autorisation de chéque sur notre applique et de non autorisation de service remise de chéque

[@daviskelly4931]

Can’t believe David thinks we should remove the electoral college.

[@TechWeLove]

The electoral college is good and prevents big states from overwhelming small states.

[@caterinemasak2193]

We are a REPUBLIC and not a DEMOCRACY ! Lets keep it a REPUBLIC ! Lets not change the Constitution . Those who CARE about the country have many different ideas. The Middle is not always the best!

[@valboolin3538]

Будь или не будь , сделай хоть что-нибудь

[@chiko4297]

AMC to the moon

[@JieSuCabc]

Thank you both for the great conversation.

[@user-sk8lh8ij7k]

😂

[@Thinkerbell12]

Pro people government is the thing.

[@bearnpici]

Elon Musk inherited a fortune and his wealth allowed him to hire brilliant engineers. That is who is really changing things - not Musk himself.

[@Pug318]

I don’t understand how listening to these gentlemen doesn’t generate millions of views no matter what side of the political spectrum, they are so intelligent and influential in business and politics.

[@tyrelljingini]

It’s called the 1% of learners and executors for a reason

[@mns8732]

Because it's a superficial discussion of bullet points of which everyone has heard ad nauseum. Did free markets lift the Chinese, or did Chinese left the Chinese once sanctions were lifted and they were integrated into the world economy.

[@yaoliang1580]

They didn't get the viewership they deserve bcos the majority of the brainwashed Americans n those of its vassal states prefer their anti China fake news propaganda

[@jayghosh6175]

Because there is nothing meaningful to listen to here, unless you are a clown.

[@philawsonfur]

@@mns8732your point in merely observing is null without an actual argument on why something creates less than objective desirable outcomes with a superior alternative suggested.

[@I_am_ka]

George Washington was *against bi-partisonship.* He clearly said bi-partisonship would strip the fabric of a democracy

[@cboy0394]

He wasn't against bipartisanship; he was very cautious about political parties as a whole. He recognized that it was natural for people to organize themselves into groups and form political parties, but he warned against their potential dangers and their inclination to divide societies, punish their political opponents, and distract the government from its duties.

[@silliousbillington]

he warned us about Partisanship, not bipartisanship. bipartisanship is 2 sides agreeing

[@I_am_ka]

My mistake/typo. I was also using the etymological definition rather than the modern. Indeed, Washington viewed parties as *factions* which regardless of them "agreeing" or not, were dangerous to elections and especially nations. He termed factions/parties as *fatal* Thanks for the revisal fellas. Any dialogues on the founders is needed (now) more than ever.

[@I_am_ka]

It was a typo. I was using the etymological definition also, rather than the modern. Washington viewed parties as (multi or binary) as *factions* which regardless of them "agreeing" or not were dangerous for not only elections but especially nations. Thanks for the input

[@dariusrichardson4554]

The comment section of this video serves as testament to systemic financial illiteracy in the U.S. and abroad.

[@kevinwebber3882]

Ken for AMC ceo

[@richardjohnson884]

He basically already is

[@jeffreypritchard6102]

UGH! Rubenstein wants majority vote. I can't understand how someone who supposedly understands history would want such a thing.

[@bryanbanks9995]

Ken Griffen always intrigues me when he speaks.

[@darkskinnedpimp]

Ken Griffen lied under oath

[@gamaTamarama]

Kenneth Griffen entirely nauseates me when he speaks 🤢

[@marcwhite6267]

Two great American patriots. Thank you for sharing the talk.

[@darnold1984]

😂

[@duffman1098]

Two financial terrorists*

[@innovativethinker7494]

Ken Griffin makes a lot of sense, dodged a few Qs though

[@timshelton189]

Yeah. Intriguing that he is admitting to market manipulation. How is he allowed to be both a market maker that sets the price of stocks where they think it should be, and also own a hedge fund that can bet on the price of said stocks???

[@user-jd2ek4ny1e]

Superb conversation. Hoping he could run for president. You as well Mr Rubenstain . Thanks Gosh are people like both of you that loes America.

[@Teksnek42]

are you real

[@IAmTheJRex]

@@Teksnek42 doubt lol

[@logan8942]

Ken is a financial terrorist

[@MrCrimsonBubble]

BRAVO!!!❤

[@Philos11z]

To born in a diffetent country....human is over lucky in a human life span......