Ep 306. William Cohan

William D. Cohan is a former investment banker turned journalist, bestselling author and Bloomberg TV contributing editor. On this episode of Tavis Smiley season 7, Cohan sits down with host Tavis Smiley to discuss his latest work, "Why Wall Street Matters," as well as his insightful analysis on the current state and future of the American economy.

Cohan begins by sharing his opinion on how Wall Street should be viewed – as a necessary component of the American economy that often gets a bad rap from the media and public alike. He argues that Wall Street is not inherently evil, but has been corrupted by greedy individuals who have abused its power for personal gain, causing the rest of society to suffer.

He goes on to assert that without Wall Street, the United States would not be the global economic powerhouse that it is today, as it provides capital and financing opportunities to businesses of all sizes, which in turn fuels innovation, job creation and economic growth. However, Cohan acknowledges that the industry is flawed, as it often rewards short-term gains over long-term stability and systematic risk management, a mentality that he believes led to the 2008 financial crisis.

Throughout the interview, Cohan provides insights on how the industry operates, including the role of investment banks, hedge funds and private equity firms, and how they differ in their approaches. He also discusses the importance of regulation and the role of government in ensuring a fair and balanced financial system.

Cohan also offers his thoughts on the challenges facing the American economy today, including income inequality, political polarization, and lack of investment in infrastructure and education. He notes that these issues are interconnected and require a multifaceted approach to achieve long-term solutions.

As an author, Cohan has written several bestsellers, including "House of Cards" about the downfall of Bear Stearns, "Money and Power" about Goldman Sachs and the financial crisis, and "The Last Tycoons" about Lazard Freres. He talks about his research process for these books, which often involves extensive interviews with industry insiders and exhaustive analysis of financial documents.

Overall, William Cohan offers a unique perspective on the inner workings of Wall Street and its impact on the American economy. His experience as a former banker and extensive knowledge of the industry make him a valuable resource for those looking to better understand the financial system and its role in society.