At the Helm Takeaways: Taking Your Purpose to New Heights
December 14, 2023
Tucked away high in the Wasatch Mountains, tranquil Deer Valley is an idyllic locale, particularly in the fall before the chaos of ski season, for a meeting of minds. Once you’ve acclimated to the 8,600-foot elevation of the Montage Resort, there’s a peaceful alertness that settles in, placing you in an ideal state for consuming knowledge and exploring new trends with your peers.
This year, a carefully curated slate of changemakers, industry leaders, entrepreneurs and investors, who have made an impact in sports, wellness, technology, geopolitics and the markets, shared their advice for defining and furthering your legacy.
We’re excited to share their guidance and experience with these key takeaways around leveraging emerging tech and generative AI as entrepreneurs, establishing and growing a family business, making an impact in women’s sports and navigating uncertain markets and geopolitics.
Learn the family business inside and out
Passing on a family business can be an important legacy goal. 78% of family businesses say the business will be the family’s most important asset in the next five years and 72% want to ensure it stays in the family.*
How can these ventures not only survive, but thrive, for generations? John Paul Mitchell Systems CEO Michaeline DeJoria thinks future family business leaders who fully immerse themselves in the company’s workflows and processes end up making better business decisions.
“The most valuable thing I ever did was work in every single department — I insisted on it,” she says. “I knew I could not possibly be the strongest, most effective leader if I didn’t understand how my decisions impacted every aspect of the business and every kind of customer.”
If you’re joining a family business and it’s in an industry you’re not familiar with, start by learning all the essential vocabulary, says John Paul DeJoria, who founded a successful spirits company after building and running John Paul Mitchell Systems. “Once you know the language, you can learn the industry much faster and better.”
In any business — and family — friction is inevitable. At work, your convictions as a business leader may sometimes conflict with other family members’ ideas and plans for the company’s future. Michaeline stresses the importance of trusting your expertise and standing your ground if you really believe in your direction, even if doing so results in temporary disagreement.
Conflict can be resolved, but poor business decisions may stick around much longer.
“You want to make your family happy and proud, but you also need to do the job you were hired for,” she says. “The quicker you can learn to sit in discomfort with family members and push through with things you believe in, the more value you will bring as a leader.”
*PwC: 2023 U.S. Family Business Survey, accessed November 2, 2023.
Ride out market uncertainty by maintaining a long view
With higher-for-longer interest rates, rising geopolitical tensions and the lingering possibility of a recession, investors are still grappling with a lot of uncertainty. But some of that fog may be lifting.
“With stronger-than-expected GDP growth and moderating inflation, it looks increasingly like the Federal Reserve might achieve a soft landing for the economy,” says Matt Weir, a managing director in the Goldman Sachs Wealth Management Investment Strategy Group (ISG). “The resilience of growth and the receding drag on growth from monetary policy tightening are key reasons why we revised our recession probability from 45-55% at the beginning of the year to 30-40% now.”
Still, the risks haven’t completely dissipated, and even 30-40% is still roughly double the unconditional likelihood of recession. That’s why it’s important for investors to be cautious and realistic.
“Unfortunately, there isn’t any mix of assets that will make a portfolio completely immune to geopolitical or macroeconomic risks,” Weir says, but there are ways to reduce some of that risk.
Being overweight in U.S. equities, having an allocation to investment-grade bonds and rotating out of cash into intermediate duration bonds can help clients power through macroeconomic and geopolitical uncertainty.
Additionally, during times of uncertainty, trying to time the market can result in missing out on potential gains. Goldman Sachs Private Wealth Management Global Head of Capital Markets Sara Naison-Tarajano shares this eye-opening statistic: From June 2009 to June 2023, the equity market had an annual return of 14.1%. If you weren’t invested during the market’s 10 best trading days during that 14-year period, your return would be 9.3%. If you’d been out of the market for the 50 best trading days, your annual return would be -0.1%.*
"You can still look for tactical dislocations, but stay disciplined and invested at your strategic asset allocation,” she says.
*Advisor Channel: The Potential Cost of Trying to Time the Stock Market, accessed November 30, 2023.
Geopolitics: it seems bleak, but shifting perspective can bring hope
While the state of U.S. politics seems tortuous, Andrew Bishop, senior partner and global head of policy research at Signum Global Advisors, says the political upheaval may not affect U.S. reputation and standing as much as Americans are inclined to believe.
“If you ask the average French or Italian person, they will tell you it’s not much better over there,” he says.
Bishop is confident the House Speaker turnover won’t have much of a ripple effect.
“Most non-Americans have never heard of Mike Johnson. They probably didn’t know that Kevin McCarthy was speaker and then he was no longer speaker,” he says. “Things like January 6 tend to have a bigger impact.”
His take of the ongoing Israel/Hamas war was more mixed: Andrew was quite sanguine that all parties involved — Iran, Israel, Hezbollah, the U.S. — shared an interest in keeping the conflict in Gaza from spreading throughout the region through the end of the year. He cautions that longer term, the October 7 attacks would make an Israeli strike on Iran’s nuclear program much more likely.
“There was some concern that because Israel was shutting down some if its gas field, which typically exports to Europe, it would create another gas crisis in Europe this winter, but that’s not happening. The volumes are too small. Basically, Europe is fine.”
And as far as oil goes, Bishop explains it would take a lot to disrupt the current patterns.
“You would really need Iran to close the Strait of Hormuz and/or strike at oil infrastructure in the Gulf in Saudi Arabia and the Emirates. I think that’s not likely to happen, frankly.”
As for foreign adversaries, Bishop notes that China is only interested in protecting its interests by “trying to be friends with everyone in the region” and unlike Russia, there is no motivation to leverage the fact that the U.S. has domestic distractions. But he says there’s reason to believe China may set its sights on a takeover of Taiwan in the future, and that’s an undeniable hovering cloud.
Success in emerging tech requires a disciplined, steadfast spirit
For entrepreneurs building or expanding a business, emerging tech can be a genius way to find a niche in competitive industries with high barrier to entry.
When he was exploring a new gaming apparatus that delivers VR for NFL enthusiasts, StatusPro Founder Troy Jones chose VR because it was a way to stand out in a crowded landscape.
“It’s trying to take advantage of the opportunities new tech brings in delivering something unique to fans that expands how they can experience football.”
Many challenges can arise in the early stages of development in emerging tech. Jones’ motto is to learn to appreciate them, especially when you run into a lot of negative feedback. The key is to “fall in love with the problem that is your solution,” he says.
Attracting investors and convincing them to believe in your vision can be humbling, particularly when things don’t go your way.
“When they say no, you can’t take it personally. You gather the information, all the barriers you think are preventing them from investing, go back to the drawing board and then try again,” Jones says.
Forme Founder Seiji Liu agrees it’s crucial to find a niche most dominant brands aren’t currently offering. He notes how many activewear brands focus on attractiveness and aesthetics.
“Other activewear brands have amazing products, but the premise of their technology is often dry fit or gold/silver threads for antibacterial use. So, there’s a limit to what it can do for you.”
Forme found its niche by focusing on functionality and weaving technology into fabric to optimize posture, recovery, breathing and performance.
“We built seamless physical augmentation technology into our products to enable wearers to transform their alignment and foundation for the better,” says Liu.
“80% of the U.S. is going to have back or neck pain in their lives. Americans spend $100 billion a year to diagnose and manage this pain,” he adds.* “It’s only getting worse given the heavy reliance on digital technologies. We knew this was a serious problem affecting every sector and demographic and the activewear segment is both approachable and growing rapidly. Why not tackle it from that aspect?”
*The American Journal of Medicine: Lumbar Disc Herniation: Diagnosis and Management, accessed November 30, 2023.
AI’s transformative potential
Goldman Sachs Global Investment Research economists believe efficiency gains from generative AI could boost labor productivity, resulting in an estimated 0.4 percentage point upgrade to U.S. GDP growth in the second half of their 10-year forecast horizon.*
In the months and years ahead, Replit Founder and CEO Amjad Masad thinks investments and interest in AI will continue to grow.
“Intelligence runs the world and has built civilizations, so intelligence is really the most important technology we could be working on,” he says. “We solved natural language processing which has been a problem in computing for a really long time... that’s really a huge moment.”
While some believe the technology is overhyped, other companies are already incorporating it and even transforming their businesses. Greylock General Partner Jacob Andreou explains that sometimes large technical shifts, including generative AI, can unfold in three phases.
- First, companies port their existing products into the technology.
- Second, they create toys, which are novel, enjoyable ways to use the technology but don’t serve a functional purpose.
- Third, businesses create native products that offer solutions to real needs.
“In phase three, these companies deeply understand the technology and the user and make something that solves a real need, a real business problem,” Andreou says. “We are 11 months into this, so we’re super, super early. I think you’re going to see a ton of false starts, because it takes a little bit of time for these things to take hold.”
Right now, most AI models are limited to performing one function at a time. For example, apps may use generative AI to power chatbots or edit videos. In the future, we can expect to see more multi-functional AI models that combine images, videos and text, and even collaborate with users, Masad says. “I think multi-modality is going to be the next big wave.”
It’s important to note this technology is not without risks. Speakers discussed the need for laws, guardrails and safety measures related to cybersecurity, privacy, hallucinations, bias and discrimination.
As for the go forward, Andreou encouraged attendees to be curious during these tech shifts and give room to explore what’s possible. “You don’t have to be a tech company to really embrace artificial intelligence,” adds Mary Snapp, Microsoft vice president of Strategic AI Initiatives.
*Goldman Sachs Global Investment Research: Upgrading Our Longer-Run Global Growth Forecasts to Reflect the Impact of Generative AI, accessed December 8, 2023.
Women’s sports will flourish with increased exposure and better facilities
As the landscape of sports advances to feature more women players in competitive branches, including basketball and soccer, there is still a sense of urgency when it comes to increasing exposure across the board.
Kate Johnson presents an analytical view of what the current climate looks like from her perspective as Google’s director and head of Global Sports & Entertainment Marketing Partnerships, Content and Media – which happens to be the first role of its kind.
“Total viewership of women’s sports now is up 15% from 4%,* which is a huge number and that’s since 2020. The 4% number is from 2020 and earlier. So that’s a really big deal,” she says.
However, there is still room for improvement, especially when it comes to sponsorships, advertising, exposure and facilities. Jessica Gelman, chief executive officer of Kraft Analytics Group, shares the need for a wider broadcast and media network to make women’s sports more accessible in both streaming and traditional broadcast.
“There are all these new ways of engaging both younger and older fan bases,” she says. “Specific media outlets focused on serving women’s sports fans are a great example.”
Michelle Hyncik, president of the Utah Royals FC, emphasizes the need for heavy investment in training facilities, because those help with generating interest and attracting talent, ownership and investors.
“If you build it, they will come,” she says. “If you don’t have that infrastructure and investment in athletic facilities, that permeates the whole organization and it’s a hurdle to overcome.”
Johnson also says investing in women’s sports should take into account the overall welfare of players.
“If you’re not looking at the whole model for what keeps women in the game, contributes to their longevity as athletes and helps them connect with fans, that affects the total investment package. Brands are drawn to highly engaged athletes who love what they’re doing,” she says.
*Wasserman The Collective: From the Shadows to the Spotlight, accessed November 7, 2023.
Investment Strategy Group (“ISG”). The Investment Strategy Group, part of the Asset & Wealth Management business (“AWM”) of GS., focuses on asset allocation strategy formation and market analysis for GS Wealth Management. Any information that references ISG, including their model portfolios, represents the views of ISG, is not financial research and is not a product of GS Global Investment Research and may vary significantly from views expressed by individual portfolio management teams within AWM, or other groups at GS.
This material is intended for educational purposes only and is provided solely on the basis that it will not constitute investment advice and will not form a primary basis for any personal or plan’s investment decisions. While it is based on information believed to be reliable, no warranty is given as to its accuracy or completeness and it should not be relied upon as such. Goldman Sachs is not a fiduciary with respect to any person or plan by reason of providing the material herein, information and opinions expressed by individuals other than Goldman Sachs employees do not necessarily reflect the view of Goldman Sachs. This material may not, without Goldman Sachs’ prior written consent, be (i) copied, photocopied or duplicated in any form, by any means, or (ii) distributed to any person that is not an employee, officer, director, or authorized agent of the recipient. This material is not an offer or solicitation with respect to the purchase or sale of any security in any jurisdiction. Investing involves risk, including the potential loss of money invested. Past performance does not guarantee future results. Neither asset diversification or investment in a continuous or periodic investment plan guarantees a profit or protects against a loss. Information and opinions provided herein are as of the date of this material only and are subject to change without notice.
© 2023 The Goldman Sachs Group, Inc. All rights reserved.
Goldman Sachs & Co. LLC is registered with the Securities and Exchange Commission (“SEC”) as both a broker-dealer and an investment adviser and is a member of the Financial Industry Regulatory Authority (“FINRA”) and the Securities Investor Protection Corporation (“SIPC”).
© 2025 Goldman Sachs. All rights reserved.