Things up in the stock market by making investors and managers focus on companies longterm interests. Joining me is the founder and ceo, eric reese. Eric, its good to have you on the program. Thanks so much for being here. Thanks, happy fourth. Maria i want to talk about the longterm nature, but first, youve got some news. Tell us about the filing that the company made. Yes. So we were approved as a National Securities exchange on may 10th, and now were making our first in a series of filings that are the actual standards, the principles that companies have to comply with in order to be on our exchange. Maria lets talk about that in terms of the Ownership Structure of the company, which is what a lot of people want to better understand. Sure. So at this stage were talking about the disclosures that companies will be required to make that show how theyre in compliance with these principles. The principles are things that are aligned with what a 21st century company, a founder and employees really want, things like diversity, sustainability, giving everybody a fair shot. So in order to be compliant on our exchange, companies will have to publish what are the policies that theyre going to enact at the board level, at the compensation level, at the voting level that bring them into compliance with those principles. Maria how do you get people to think long term . How do you get people to actually hold onto stocks longer, not have these kneejerk reactions that have been really the story of investing, certainly in the 90s . Yeah. Certainly for the last 20 or 30 years the markets have become ever more about trading, Trading Volume andly quid fit and less about building Great Companies. So to reverse that, its going to be a longterm process. This is not going to be fixed overnight, so this is the first step. Its a twoway street. We have to get investors to be incentivized to hold longer, to be more consider rate in their Decision Making process, but we also need to get managers not to be using the instruments that have investments out of control. The more we have mutual alignment, the more we can plan for the future. More and its a group of companies, certainly, if you get the companies that youre targeting in california, Silicon Valley, technology names, theyve been, you know, really the subject for investors who are quick thinkers. They want satisfaction immediately. Sure. Maria what kind of a company are you expecting to list on the Longterm Stock Exchange . Well, we certainly are engaged with the kind of companies youve named, elite Silicon ValleyTechnology Companies, but theres Great Companies across this country that in any other era would already be public, and they dont have access to capital market. We have a company in wisconsin i think we talked about before, in salt lake are city, Companies Across the south where they need access to capital that the public can give. And, you know, we used to fund growth in this country using the savings of ordinary americans, and all of a sudden weve changed, you know . Now its only oligarchs and what are called accredited investors and a lot of foreign sovereign wealth funds, theyre funding growth even in Silicon Valley. Ing i dont think we consciously made that choice, itd be hard to defend, hey, lets not allow ordinary people to participate in our growth. Lets bar them from participating. And yet thats the reality of how we finance it today. Maria whats your business model, eric . And also how are you whats the sales pitch for a company to go on the Longterm Stock Exchange and not the nasdaq or the new york Stock Exchange . We have enough Stock Exchanges in this country, dont we . You know, we sit down with companies, and we can look them in the eye and say one thing no other exchange can say. We say you are the customer, not traders. Were not antitrading. Of course, liquidity is good. But were the one financial institution. We make our money by selling you services that allow you to build a great company, not just treat you as ad commodity to be traded by others. Maria i see. Do you think it will be largely californiarelated companies, Silicon Valley, these sharing economy Type Companies . Im sure youd like to get uber. You know, those are the companies that know me personally, they me my work, and any of these company, the Founders Group on those ideas, and that helped them build the company in the first place. So thats certainly our power base. But we dont expect this to be only Silicon Valleys exchange. In fact, we think these problems are affecting every company. Maria we will leave it there. Thank you very much for joining us. Eric ries. Stay with us, well be right back. Back in a minute. Still to come on Maria Bartiromos wall street, a fashion empire on the rise. Marias cantmiss interview with the ceo of posh mark is coming up next. I switched to liberty mutual, because they let me customize my insurance. And as a fitness junkie, i customize everything, like my bike, and my calves. Liberty mutual customizes your car insurance, so you only pay for what you need. Liberty. Liberty. Liberty. Liberty. Stimulant laxatives forcefully stimulate i switched to miralax for my constipation. The nerves in your colon. Miralax works with the water in your body to unblock your system naturally. And it doesnt cause bloating, cramping, gas, or sudden urgency. Miralax. Look for the pink cap. I was on the fence about changing from a manual to an electric toothbrush. But my hygienist said going electric could lead to way cleaner teeth. She said, get the one inspired by dentists, with a round brush head. Go pro with oralb. Oralbs gentle rounded brush head removes more plaque along the gum line. For cleaner teeth and healthier gums. And unlike sonicare, oralb is the First Electric toothbrush brand accepted by the ada for its effectiveness and safety. What an amazing clean ill only use an oralb oralb. Brush like a pro. Look into my eyes you will see what you mean to me dont tell me its not worth trying for you know its true everything i do i do it for you maria welcome back. With 50 million users, about 5 million sellers on its app and web site, poshmark is revolutionizing retail. Poshmark has now expanded into home decor with hopes of making your living room as stiecial as your wardrobe. I recently spoke with Manish Chandra to get his take on how Online Shopping has changed the game. We have very simply been able to buy and sell stuff from your home, from your closet for fashion, but the thing thats different is we are very social. People follow, people connect, and we provide that Human Element that most other sites lack. Maria so you can be talking to someone who might be wanting to buy your sweater and say, well, is it a true medium, a true large and just have a chat. Exactly right. And if you find your style to it. Somebody who loves your style, and you can shop from each others closet, and thats how you build these connections. We also have a way in which people can share the items, and that helps build a community. Were probably one of the only marketplaces where every seller spends 3040 of their time promoting other sellers. Maria wow. This is an industry now. I mean, youre one of a couple of companies. How do you think that has evolved, and why such popularity . Consumers have so much choice in retail. So to be the honest, im, like, pretty surprised how big this whole industry has become [laughter] i knew wed be big, but i didnt know thered be a whole industry. A lot of it has to do with two things. One is, i think, an increased sense of the value of what everyone has, and second, i think, a different relationship people have with their products. Were not buying cars anymore, we sort of taking lyfts, were not staying in hotels, and were sort of changing our relationships and buying and selling them on poshmark. Its very much a sign of the times. Maria yeah. The shared economy has done really well because its enabled people who otherwise would not have access to certain things like black cars or, you know, home chefs to actually have access to this kind of stuff. So poshmark is free to join, right . Yep. Maria for sales under 15 you take a flat commission of 2. 95, over 15, you take 20 , and the person whos selling the item keeps 80 , which is a great deal. Is it largely used stuff or new and used . 70 used, about 30 new stuff, and we also have sellers who have started selling from their closet, and thousands of them today have created their own fashion label. So we have fashion labels like bella and blue which are all prominent on the platform, and then we created a wholesale market where theyre able to sell it to other sellers. Maria that is very cool, that people is have come up with their own design brands. You know, its interesting when you look at how its done, why would a company sell on your site . Like, lets say im a Small Business and i want to have more eyeballs, i might put it on poshmark just for that reason, right . Yeah, absolutely. And you can create a following. So theres no cost of marketing. You can cure rate and ultimately what happens to our sellers is 7080 of their customers are repeat customers. Maria give us a sense of the broad economic backdrop. Sure. So we are growing fast. Were tackling almost a trillion, trillionandahalf dollar market. We Just Launched home decor this week, and whats exciting is that people are really engaging at a very deep level. Weve got a community of 50 million users, 5 million seller stylists. Any given day you have about 75 million items for sale and roughly 100 million of inventory being uploaded every week. Maria i can imagine home decor really lends itself, its something you probably had in your that has been untouched. Absolutely. Stuff on your walls, stuff in your closet thats been untouched, stuff in your kitchen, so we see a lot of opportunities. But more importantly, i think the inspiration that our platform provides is missing. At least with fashion you can see people. Its hard to look inside everyones home. Maria you had mentioned to my producer about an indicator that is shoe sales. Tell me about that. Oh, yeah. So one of the things, you know, that we talk about is the velocity of shoe sales equals the velocity of the economy, particularly the fondness of shoes we all have. Women in particular, but recently women. We launched a sneakers market recently, and its doing very well. Ive purchased about half a dozen sneakers from it. So its definitely velocity in terms of enthusiasm for where we are as an economy. Maria so shoe sales going up meaning the economy may go up . The economy continues to go up. When we start to see shoe sales go down, we should start to think a recession is coming. Maria i like it. [laughter] my thanks to Manish Chandra. Stay with us, a lot more of my exclusive interview coming up next with president trump. Stay with us. Iran, trade, technology and even the 2020 ticket. Nothing is off the table when Maria Bartiromo goes oneonone with president trump. Thats next right here on fox business. All right brad, once again i have revolutionized the songwriting process. Oh, here we go. I know i cant play an instrument, but this. This is my forte. Obviously, for auto insurance, weve got the wheel route. Obviously. Retirement, were going with a longterm play. Makes sense. Pet insurance, wait, let me guess. Flea flicker. Yes howd you know . Studying my playbook . Yeah, actually. Wanna take your xfi now you can with xfi advantage. Giving you enhanced performance and protection. When devices are connected to your homes wifi, theyre protected. Helping keep outsiders from getting inside. And if someone tries, well let you know. So you can stream, surf and game all you want, with confidence you can get coverage where you need it most. Thats xfi advantage. Make your xfi even better. Upgrade today. Call, click or visit a store. Maria welcome back. With the next democratic debate just a couple of weeks away, now you can expect one of the main focuses to be the economy. And another part of my exclusive interview with the president , we spoke about the economy, trade as well as iran and the risks the country faces today. Listen. Are we going to have a war with iran, mr. President . Well, i hope we dont, but were in a very strong position if we, if something should happen, were in a very strong position. It wouldnt last very long, i can tell you that. It would not last very long. Im not talking boots on the ground, im not talking were going to send a million soldiers. Im just saying it wouldnt last very long. Maria yeah. Ive been very nice to them. I decided not to do they shot down our drone, i like iranians so much, and that plays into your decision too. I mean, theyre human beings, theyre people. I didnt want to kill 150 people when they shot down an unmanned drone, so i didnt do that. Maria the sanctions at this point, the sanctions are enough, in your view, to fight back on irans provocations . Well, the sanctions are very biting. When i took over, iran was a terror. We had 1418 sites of conflict. Iran was behind every one of them. They would have taken over thed middle east, and they were going to make it really very bad. They would have taken over saudi arabia. Maria so are you working on a deal with europe . Is europe going to be the next tart after youre done with china . . Target . Oh, yeah, europe treats us worse than china. Europe is, believe me, you know, look, i come from europe, we come you come from europe, okay . Maria yeah. Youre one of, youre of the european nation. European nations were set up in order to take advantage of the united states. And they have the, you know, they very smartly have. And they have draghi, who is we should have draghi instead of our fed person. Draghi, as you know last week, he said lower Interest Rates, and were going to stimulate the economy. Theyre going to put money into the economy. Theyre e going to force money into the economy because europe is doing, you know, okay, but theyre not doing great. And with us, we have a fed that keeps raising Interest Rates. I mean, you explain that one. And this was not what i thought we had. So we have maria look, if things are so great in the u. S. And the economy is doing as well as it is, hey, were at a 51year low at unemployment, 3. 1 growth in the first quarter, why do we need Interest Rates to go lower . Why do we need a cut in rates . For one thing, we have a lot of debt. I want to get it out, i want to pay it off. But what we really have, we have to stay even with these people. These people are devaluing their currency because theyre not doing well against us, and so they devalue, and we cant, we are no longer on a level are playing field. When they stimulate their economy and we have, we have a tightening, we having quantitative tightening, he was doing 50 billion a month he was tightening. Hes taking it out, hes sucking it like from a vacuum clearance, he was taking it out. A lot of people didnt even know that. Now its 25 billion a month. Thats a lot of money. Thats a lot of money. So not only are we raising ive had nine Interest Rate hikes. Obama had nothing. He had cheap money. So my economy is far better than obamas economy. Obamas economy was ready to crash. You couldnt do anything i have great rules and regulations, but theyre the reasonable. Obama, under obama you couldnt do anything. You couldnt do a keystone pipeline, you couldnt do anything. Maria right. Well, the regulations were right. But now, but maria, now were really rocking and rolling. My problem is that as they reduce their currency in order to take advantage of the united states, we have a man that doesnt, he doesnt do anything for us. Maria yeah. Were sitting there, and we stay. He should have never raised the rates to level that he raised them maria hes saying hes not going to get pushed around by political. I know, so now hes trying to prove how tough the he is because hes not going to get pushed around. Maria yeah. Heres a guy, nobody ever heard of him before, and now i made him, and he wants to show how tough he is. Let him show how tough he is, hes a hes not doing a good job. Let me be nice about it. Maria you basically said you wanted to demote him, i know you didnt say that, you were answering a question, but youre suggesting i have the right to demote him. I have the right to fire him maria is that what youre thinking about doing . Are you considering that right now . Ive never suggested i was going to do that. I do have the right to do it, but let me just tell you, he has to lower Interest Rates for us to compete with china. What theyre doing is pouring money into their economy, and theyre lowering rates. What europe just did with draghi who with, frankly, did a great move, but hes been doing a lot of great moves, what europe did with draghi is theyre forcing money in. Were doing the opposite, were taking money out and raising Interest Rates. Its insane. Maria so are you to raise the rates to extent that he did, if would have raised them just half and not done then quantitative tightening, our market would have been up another 10,000 points, and gdp would have been up another point or two points. We potentially could have hit five. Maria how concerned are you that Technology Companies are censoring conservatives, and theyre going to do this right up to 2020 election . Well, theyre doing it to me on twitter. Its incredible. I have, you know, millions and millions of follower, but i will tell you, they make it very hard for people to join me at twitter, and they make it very much harder for me to get out the message. Maria really . Its incredible, yeah. Maria what are you going to do about it . Companies have an enormous amount of power if they can even stop the president of the free world in terms of getting his message out. What am i going to do about it . These people are all democrats, its totally biased towards democrats. If i announce tomorrow that im going to become a nice liberal democrat, i would pick up five times more followers. I was picking up 100,000 followers every few days. And all of a sudden and im much hotter now than i was a number of months ago, okay in a number of months ago. Then all of a sudden it stopped. And now i pick up a lot, but i dont pick up nearly maria devin nunes on twitter maria, whos shoeing twitter . Congressman nunez. Thats great. Theres the a lot of ways hes great. Hes right about it. Twitter is just terrible, what they do. They dont let you get the word ive had so many people come to me, sir, i cant join you on twitter. I see whats happening, 100 . Maria so would you rather see competition, or do you want to see legislation coming down to you may need legislation in order to create competition. Maria there was an oped in the journal the other day, mr. President , and it said basically advising you to take nikki haley as your running mate going into 2020. Are you locked in on Vice President pence for 2020, or would you consider having nikki haley as your running mate . I love nikki, shes endorsed me, shes friday mend, a part of my campaign, but mike is 100 , and this was written, actually, by a friend of mine. Let me tell you, mike pence has been a great Vice President. Finish nikki haley represented us so well and our country so well. I love nikki, and theres places for her and her futures great, but mike pence is the person 100 . Yeah, we won, we won together. We have tremendous evangelical support, we have tremendous support from every angle. Maria yes. And you cant break up a team like that. Maria my very special thanks to president trump. Dont go anywhere, more wall street right after this. My insurance rates are probably gonna double. But dad, youve got allstate. With accident forgiveness they guarantee your rates wont go up just because of an accident. Smart kid. Indeed. Are you in good hands . Content on their endless quest, to nowhere. S, run hopelessly in their cage. But perhaps this year, a more exhilarating endeavor awaits. Defy the laws of human nature,at the summer of audi sales event. Get exceptional offers now. If ywhen you brush or floss, you dont have to choose between healthy gums and strong teeth. Complete protection from parodontax has 8 designed benefits for healthy gums and strong teeth. Complete protection from parodontax. Maria thanks so much for joining me hn wall street. Catch us every friday night at 9 p. M. Eastern, and on sunday join me for sunday morning futures live at 10 a. M. Eastern on fox news. Plus, weekdays here on fox business tune in to mornings with maria from 69 a. M. Eastern week dies weekdays on fox business s. Have a great rest of the holiday weekend. Ill see you again next time. Gerry hello and welcome to wall street journal at large. This week americans have been celebrating once again that glorious moment almost 250 years ago when a bunch of bold and courageous rebels rose up and kicked out the representatives of the most powerful empire the earth had seen. People who sounded rather like me back then. Sorry about that, america. But its all turned out really very well for this country and its citizens. Information, the