00:00Joining us now is Bloomberg's Isabel Lee. I think this is what Eric meant when he said spray and
00:05pray. Is that what you meant? Spray and pray or throw spaghetti in the wall and see what sticks?
00:09Spaghetti cannon. That's Ben Johnson. There you go. You can't beat that. I mean, it's just throwing
00:13everything out there and seeing what happens, right? So they're on track to launch 500 ETFs
00:18this year and the goal is a thousand. So that's their big, hairy, audacious goal. And I asked them,
00:23what's your timeline? And they refused to give a timeline, but then a thousand. And Eric would
00:27know that's putting it, I think, third in the league table. I shouldn't have said third,
00:31but it's way up there. Definitely. I mean, how many issuers do you know that has a thousand? And I
00:36feel like, okay, you can look at Corgi in multiple ways. First of all, their logo is a Corgi, which
00:42is my dream dog. And second, they're not like your traditional asset manager. They run a 24-7 cafe.
00:48They have a Corgi bus, which takes people from Y Combinator to the Corgi cafe. And they're an
00:57Silicon Valley mentality. To Eric's point, when we were talking, I was really bugging him for the
01:01story. So they're not traditional in that sense. And at the heart of it all is AI. That's really
01:05what powers them to launch this crazily. Yeah. Well, you know, when you bring up a thousand,
01:10that's insane, by the way. So right now, Corgi has, I don't know, almost 200. They've launched over
01:15one a day since they've been come out. And if you look, BlackRock, they're going to pass BlackRock
01:19in a year. This chart here has got to be a top five chart of the ETF industry this year.
01:27Corgi is the bottom, by the way. Yeah. Corgi is doing in 12 months what it took BlackRock
01:31two decades to do. Now, a lot of these ETFs will close. But in their credit, you'd need a
01:37flagship. We've looked at this. You'd have to have a hit to rally around. They're just throwing way
01:43more spaghetti at the wall to get that hit than most people. Yes. And maybe their Silicon Valley
01:49mindset is a little naive, but might help them. Or maybe they have a higher tolerance for failure
01:53and they have more resilience. Because to be clear, they have a lot of ETFs, like almost 200.
01:59The AUM is only around $800 million so far. And around half of that is concentrated in one ETF.
02:05But as we all know. Which ETF is that? The Photonics ETF, which is, I think, a first in the
02:09category.
02:10But you just really need one anyway to really succeed. And you can take a little breather and
02:14then you can go on. Another thing that really caught my attention early on was that they don't
02:17use a white label. Because in the beginning, I thought, oh, this has got to be this one big shop
02:22that does nearly every ETF. But no, so everything is in-house. That's how they make everything cheap.
02:27And we've made the point a lot in the past that their fees are very competitive. So basically,
02:32they have AI in everything. And because of that, they have economies of scale. And that's where
02:35everything is cheaper. That's at least what they told me.
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