Look, we looked at people using these marathon coding sessions to test a product or take it to the next level. Think about things they are not thinking of. And offer rewards, sometimes cash, swag. We find people whose entire apartment is littered with tvs, printers, shoes, anything you can think of from participating in these hackathon sessions. Oliver the idea was popularized in the social network. Its a very real thing. Oliver these guys are top of line and could work for major companies, but choose not to. Megan one thing i think that is great about this story, is that it is almost this cycle, this rite of passage, when you are young and dont have a lot of obligations, you probably feel free to go off and have an allnight hackathon and come back to your gross apartment. What just are thinking of longerterm goals, i am not sure hackathons are all that appealing. Oliver maybe not the most sustainable. In the market section, lets talk about a very interesting story, these different means of communications through texting on platforms that are hard to track. Megan yeah, i mean, one thing that has come out through the litany of scandals since the crisis was that a lot of these activity of alleged collusion between traders was happening in chat rooms, and we should say that bloomberg also runs proprietary chat services. This moves into this social chat services which are known to disappear and cant be tracked. Basically unmonitored. Carol great for compliance. Megan those compliance people love it but actually, how they are using these services to explicitly go around compliance. Banks have worked so hard to get ahead, Financial Services company, data companies, have worked so hard to get ahead and monitor these conversations. Bankers are no different than anybody else. They will migrate to the platform that provides them privacy. Whether that is to get ahead in work or send images they dont want to be seen sharing. Carol some companies are aware its going on and are turning a blind eye a little bit. Megan i think it is just we talk about this with uber, airbnb, the migration towards Disruptive Technology and how regulators and executives are just always one step behind. Yes, they are trying to get ahead of it and know it will be an issue, but they are only as good as the technology. Someone is always going to invent something that makes it that much more difficult to monitor. Carol lets talk about the cover story. I found this really moving, it is a photo essay. We talk about building a wall along the border with mexico. I feel like these pictures tell a true story of what is going on. Megan you know, this is one part of the country that i am not familiar with. It is the area we call north of the border, south of the wall. There is a large amount of area, that actually, whether that is farming, trade, trucks across the bridges, childrens, family, playgrounds, territory caught in the middle of where the wall will go and where the border with mexico will be. One of the things that is most fascinating about this story is not only the livelihood and places where they potentially let these people come over, that there are huge gaps in the existing fence, specifically to facilitate these people to come across where they legally live on United States soil but are south of where that wall would run. It is powerful imagery. Oliver it really is fascinating. We talked to the photo editor, clayton carville, about those photos. One of the main points of interest is you are looking at the Border Patrol manning an opening, but for the most part, these fences are not manned, so you have openings so that land owners can access their land. That is an important point. Because where this wall, there are farmers, golf courses. I mean, people own this land. State and national parks. There is life. There is activity going on. Yes, and there has to be access to these places because it is owned and use. And so what happens in most cases, the wall is punctuated by these openings fences that are like you see later in the essay, built on levees which were fortified when this project took place around 2006, so part of the buy in on the part of the land owners is that the levees would he made were going to be made better, because it is a floodplain. So she found one man who was dove hunting on a friends private land, undocumented workers harvesting spinach and beets. There is a public park that has actually become a hotspot for finding migrants trying to cross. Right. And the other piece of it is that 500 million in commerce is facilitated by the border crossings. In mcallen and reynoso, the bridge that goes between mexico it is actually like an incredible chunk of International Commerce taking place here. And i think kiersten is smart to recognize this is a huge economic story, and one that we say the topography runs against the rhetoric of what this wall should be. Oliver just looking through this, you capture a great deal of the labor that happens in this sliver that is north of the border and south of the wall. This photo here of undocumented immigrants working, they are basically able to move backandforth and Border Security pretty much looks the other way. Because they understand this is just how it works. Again, private land, private commerce. There are tacit arrangements built around trust between the Border Patrol and landowners, so it is not to say anybody is doing anything wrong, but there is a presumption of giving people access to the land they own. Carol at the same time you have immigrants trying to come across. Apprehensions. Yeah, so one of the pictures is a photograph of the Border Patrol agents as they got a call about a car that was trying to run across, and there was a concern this was a migrant vehicle. What the vehicle did was to sort of make a run for the river and try to hit water. And in fact, the car crashed and exploded, so he ended up running on foot to get across the border. There is also real action taking place. At the bridge, people cross frequently and present themselves requesting asylum a lot of times from central america. El salvador and nicaragua. Carol using these photos was the job of rob vargas. We knew we wanted a picture of the fence. It was taken from various angles. Some photographs were at an angle and the fence looked like this thin strip of the landscape, and some sort of at an angle, offense looked solid, but we thought this one was at a good distance, and we could tell what the fence looked like, and it also has an opening. Part of the reason we did the photo essay was to explain why the fence needs to be porous. In order for commerce to happen. Etcetera, etc. Oliver i feel like it is a very unimposing photo. I thought it was interesting the way you used to the space, the arrangement of the photo. A lot of the fence is unmonitored. So this photographer explored this 55 mile stretch, and there in that stretch, there are lots of openings that are devoid you know, of any, you know, Border Patrol or anything like that, so this also gets at that. It is impossible to have people stationed at all points of this enormous fence. Carol i also love that you do put out front and center north of the border, south of the, because there is this land behind the wall that is u. S. Land because you cannot put a wall between the two nations. It just does not work like that. A fence seems like a simple thing, but there are nuanced parts to it. Oliver up next, the real motive behind Donald Trumps registry of crimes committed by undocumented immigrants. Carol this is bloomberg. Carol welcome back to Bloomberg Businessweek. Im carol massar. Oliver and im oliver renick. Carol in the politics and policies section, a look at President Trumps efforts to document stories from alleged victims of crimes committed by undocumented immigrants. Oliver we talked to our group dairy is brought in. Voice stands for victims of immigration crime engagement. It was called for in an executive order by donald trump and elaborated on by a memo by Homeland Security secretary john kelly. I heard about this organization and was intrigued by the acronym, so i reached out to ice. And we dont the agency is not operable yet, and there are still a lot of uncertainties about what it will look like, but ostensibly being sold as an organization to engage with victims of crimes committed by undocumented immigrants. The memo by john kelly calls for funding for the program to come from services that previously had been devoted to advocating on behalf of of undocumented immigrants going through the enforcement system. Now, ice has said this is about serving victims, but some of the actions and statements made by the administration also allude to another purpose for this agency. Donald trump said in his first address to the joint session of congress that it was about giving a voice to people forgotten by the Mainstream Media. Oliver these Community Relations officers, how different will their role be from those previous officials who were in charge of facilitating relationships and getting to know the community . Are they now will it be separate people . Who will be in charge of finding these instances . We do know that the Community Relations officers working with voice are drawn from the same pool of Community Relations officers currently doing their work. We dont know what their job will entail. The Voice Program will issue a Quarterly Report and weekly report compiling instances of crimes committed by undocumented immigrants. Carol they started doing that in february. They put out their first weekly report, which i should be clear it is not explicitly tied to the Voice Program, but was mentioned in the same executive order that called for the creation of the Voice Program. The Quarterly Report is explicitly part of voice. We also know they will have a system in place for notifying victims of alleged crimes when an undocumented immigrant is released from a detention facility or has a court date or is supported. Carol it feels like so much is now focused on the victims of crimes from undocumented immigrants versus maybe kind of helping the kind of undocumented immigrant community assimilate. Ostensibly this is about helping victims, but when the president announced the creation of this in his speech to congress, he said it was about giving a voice to those maligned by the Mainstream Media and then immediately went into sort of highlighting these sort of inflammatory cases of crimes committed by undocumented immigrants, so there is this disconnect between the press release and the actions of the department are indicating. From what we can tell, it seems like a huge part of this mission is sort of influencing narrative as much as influencing policy. Carol its interesting that you point out, because isnt it, doesnt the data show that undocumented immigrants dont do the majority of crimes . Yes. I mean despite the assertion that Illegal Immigrants routinely victimize americans, Research Show this is not a particularly crime prone cohort. You know, there is no correlation between high immigrant areas and high instances of crime. There is research that suggests that nativeborn americans are twice as likely to be incarcerated as undocumented immigrants. And in fact, if you remove the undocumented immigrants from detention facilities, native born americans are three times as likely to be incarcerated. Oliver up next, how the bank of canada inspires some fed governors. Carol the strategies competing for the big slice of a 10 trillion market in actively managed funds. Oliver this is Bloomberg Businessweek. Oliver welcome back to Bloomberg Businessweek. Im oliver renick. Carol and im carol massar. You can also listen to us on sirius xm, new york, boston, and washington, d. C. Oliver in the Global Economic section, new York Federal ReserveBank Chairman bill dudley has a special trick when it comes to Monetary Policy. He looks north for inspiration. This story goes back 20 years to when he was chief economist at Goldman Sachs before he joined the fed. He has been on a crusade to get central bankers focused on the stock market and how that sort of interacts with Interest Rates, and so what he tries to say is that if the stock market continues to go up when we are raising rates, that does not necessarily mean conditions are getting tighter even though we might be trying to tighten them, and so the reason why it has become relevant in 2017 and this current tightening cycle, this idea that goes back 20 years, is that is what we have seen so far this year since the election, the fed raising Interest Rates, raised rates twice over the last three months or so, but stocks keep going up, so on balance, conditions have been getting easier so that raises the question do they need to start raising rates faster to counteract that at some point. Oliver how far does this go back . Is this bill dudleys theory . So, bill borrowed it from the bank of canada in the early 1990s. At the time, the bank of canada was having a similar issue where they were setting Interest Rates, but they were being subjected to big swings in the Canadian Dollar because of the time there were a lot of international investors, capital flows, a lot of the problems we deal with today, but they needed to figure it how to communicate that. They needed to adjust Interest Rates based on these moves in the Exchange Rate, so they combined Interest Rates and the Canadian DollarExchange Rate into a single index so that people could see actually see netnet whether conditions were getting easier or getting tighter regardless what they were doing with Interest Rates, then that could get investor to expect them to respond in kind with Interest Rates to what was happening with the Exchange Rate. Carol it shows there is another thing we as investors have to think about when it comes to the fed and Monetary Policy. They have this dual mandate, but it shows through bill dudley and his thinking and impact on the fed that there is more at work here. Thats right. This goes beyond the traditional notion of central banking, if we raise the Interest Rates, we are tightening. If we reduce Interest Rates, we are easing. It gets a little more complicated than that, you have to look at Everything Else going on in the world. In 1996, he was saying it is not enough to judge the stance of Monetary Policy based on where the Interest Rate currently is because we cannot observe that socalled equilibrium Interest Rate that fed officials have been obsessed with trying to figure out, so he says you need to look at the stock market, broader financial conditions, to see, to guide your next steps. Carol in the markets and finance section, the race to corner the market in etfs. Oliver we talked to reporter rachel evans. With the active etfs being proposed, we have a situation where passive investments have been taking more market share from active management. You see flows into Exchange Traded funds. Where you are seeing outflows and stagnation is the active mutual funds. Really, these active etfs are a hybrid between mutual funds and etfs to stop the rot. Carol it is a story we have been talking about a lot at bloomberg. Why do folks see active etfs as a good solution . Right, its a story we have been talking a lot about here at bloomberg. It is an interesting question, because i think the Fund Provider see it as a good solution to their situation. Theyre seeing a lot of outflows into etf. Carol that does not mean it is good for the investor. That is the real question. We have seen 100 million for low in two funds, drop in the ocean compared to the amount of money that flowed into Exchange Traded funds at the same time. So where the real disconnect comes is, we have these Fund Managers who want to keep the money and active funds, but we have the investors who are more and more moving into passive funds because they see those as better value for money, so there is an interesting disconnect between the supply and demand for these products. That question really has not been answered. We havent seen demand pickup to show there is a point to these funds. Oliver now when you say a mutual fund sort of wrapped in a package that looks like an etf, how do they get the disclosure to trade intraday . So when it comes to etf pricing, and etf is still a passive etf, meaning it will probably still be cheaper. An Exchange Traded fund has tax efficiencies a mutual fund does not have and brings the costs down. When you get to the disclosure side, the way they get around this is they are trying to give the