This is CNBC.com's real-time coverage of Goldman Sachs CEO Lloyd Blankfein's Keynote Interview with Alan Murray at the WSJ Deals & Dealmakers Conference in New York on Wednesday, June 27, 2007.
All times are Eastern.
You can also see live video coverage of the entire conference on the CNBC.com Live Events Player.
9:44AM: The event has begun.
9:45AM: Blankfein says Goldman is agnostic on whether market has hit a top. Conditions seem quite benign if you look at the underlying funadamentals.
9:47AM: Q. Is there less risk in the world or is there more liquidity? A. The world has gotten less risky but that doesn't mean in the future we won't look back and say we underestimated the risk.
9:50AM: It's smug to think there's no risk but its also smug to think that the world will revert back to the way it was.
9:51AM: We have to prepare for the possibility that risk is being underestimated, but must also see that world is creating a lot of wealth.
9:53AM: We should have a conversation about a bubble bursting in prospect. It's easy to see a bubble in hindsight.
9:54AM: With the benefit of hindsight, if we lose money on private equity we will regret doing it. But right now the risk seems reasonable.
9:56AM: Private equity boom has not peaked.
9:57AM: Biggest risk we face is a very large crisis in the credit markets.
10:00AM: If there was a sudden sentiment shift things could unravel very quickly.
10:01AM: Fundamentals are more important right now. Sentiment doesn't matter until it does.
10:02AM: Still waiting to be "recruited" to support a candidate. Revealing "for the first time, I am a Democrat."
10:03AM: We have to look at "this entire scheme" on taxing private equity. Not comfortable with climate of "getting" the rich, although private equity has invited the scrutiny and fairness is important.
10:05AM: When there's someone you really want to "get" it makes "bad law" when you set precedents.
10:06AM: The genius of America is that 90% of Americans think they are in the middle class.
10:07AM: There is resentment in the country against the very rich. We need to have better communication about what's in everyone's best interests.
10:07AM: We are the greatest recipients of globalization yet people are criticizing it. "I hope that everyone overseas invests in my infrastructure here."
10:08AM: There's very poor communication with the American people about what's in their interests.
10:10AM: Not my favorite part of the political campaign right now as candidates try to stake out extreme positions.
10:10AM: Better stage coming as candidates move to the middle.
10:11AM: Things are going very well in emerging markets. I have built my career on not getting seduced by fads in investing in emerging markets, but I think there's a tipping point. I'm voting with my feet.
10:12AM: There are more risks in emerging markets than anywhere else but all things being equal better to invest someplace where things are growing at 11% instead of 2%. We're betting the growth is worth the risk.
10:13AM: If you forego opportunities in emerging markets you are putting your global franchise at risk.
10:15AM: Murray asks audience if they worry about conflicts of interests at Goldman Sachs. 55% say yes.
10:16AM: We aspire to be a major firm. Big firms will sometimes have to represent different interests.
10:18AM: Q. Why weren't you in on the Blackstone IPO? A. We were a second tier. We represented Steve and his firm. We have a great relationship with Steve and I admire him and think he has done a great job. Every day deals get done and sometimes we're not in them.
10:23AM: Event has ended