Wilbur Ross Discusses his Next Big Idea [VIDEO]

Shipping is the next growth commodity sector, billionaire investor Wilbur Ross says.

Wilbur Ross also speaks at the Milken Conference.

Both videos are embedded below:

Topic:

To many, natural gas is the solution to the intermittent energy crises the U.S. has dealt with for decades. Domestic supplies have swelled, largely a result of shale discoveries accessed by fracking, a controversial technique. Partly as a consequence, prices have fallen dramatically since 2008 and companies are trying to figure out how to take advantage of it. But opponents of fracking remain active, and natural gas, though cleaner than coal for use in electric plants, is still a fossil fuel that emits climate-changing carbon dioxide. In addition, although natural gas could power cars and trucks, that would require infrastructure building and changes in vehicle manufacturing. Another challenge: Prices are so low, they don’t cover the cost of extraction. Will natural gas fuel our future? If so, how?

Computer transcript:

maturity. wilbur, let me ask you about your next big idea because, of course, we want your next big investment idea. you like shippers at this point. yes, i do. what kinds of shippers andwhy? well, there’s a very simple reason. it is supply/demand.ships are a strange kind of commodity because they’re verylumpy, very big individual units. but they’re commodities. rates have come down around 80%. and what’s been causing that isa few years ago rates were extremely high. so then they overordered ships because wall street and the banks were throwing money at them. that stopped. they haven’t been reallyordering for a while. and now because of the low rates, there’s a lot more scrappage. so i think in 2013, they’ll start to come more into balance, and you’ll finally have recovery sometime in 2014.

Speakers:

Ralph Eads III, Vice Chairman, Jefferies LLC

Rick Grafton, CEO and Chief Investment Officer, Grafton Asset Management

Yossie Hollander, Chairman, Fuel Freedom Foundation

Shaia Hosseinzadeh, Principal, WL Ross & Co. LLC

Nathaniel Keohane, Vice President, International Climate Program, Environmental Defense Fund
Moderator:

Brian Sullivan, Anchor, CNBC