“Focus on the Fastball”

This podcast episode analyzes the earnings reports of Goldman Sachs and Morgan Stanley, examining their respective strengths and weaknesses. Goldman Sachs reported significant profit growth due to the release of provisions for credit losses, but its shift away from consumer banking raises concerns. Morgan Stanley's wealth management unit is performing well but has increased credit loss provisions. The discussion also explores the importance of tangible common equity as a key metric for bank investors and provides guidance on investment strategies for lump sums, minors, and retirement savings, including 529 plans and ABLE accounts.