Katie Lorenson: Yes. This is Katie. Absolutely now is the time. In regard specifically to the ESOP business, a very small piece of the overall business and again it was the ESOP trustee business. So we retained the recordkeeping and administration of that ESOP business, but the trustee business a very small portion. And so better suited served for the leaders that took that over and then their ability to grow it so that we are redirecting our resources all to those core product lines where the opportunity to scale and continue to grow in the business is very significant especially in with Secure Act 2.0 that we’ve talked about on previous calls. And our investments in that business line we invested in the consultant to come in.
We are continuing to invest in talent. We are investing in our internal resources in terms of project prioritization into that business line again to streamline to improve processes, and at the end of the day of course make for a better client experience. In addition, we are investing in an executive 100% focused on the business. The last time that Alerus had an executive who’s primary and total responsibility was on the retirement business was when we experienced tremendous growth from $2 million to $60 million in revenue. So that would be the other facet of the investments in this business line.
David Feaster: Terrific. That’s great. Thank you.
Operator: [Operator Instructions] Our next question is from Nathan Race from Piper Sandler. Nathan, your line is now open. Please proceed.
Nathan Race: Great. Thank you. I hope everyone is doing well. A question maybe for Al. It sounds like with the margin guidance is going to come down a little further here in the fourth quarter. And just curious to kind of get your thoughts on how you think about high growth next year and a higher for longer interest rate environment. Looks like NII is tracking down 12% 13% for this year. But just curious how you think about the growth potential of NII under that environment.
Alan Villalon: Yes. Thanks Nate. I mean, so for NII growth I mean we are looking at — to be stable up some next year but a lot of it we’re just looking right now what is the loan outlook to drive that. But from a NIM basis we do think that we are closer to a trough on our net interest margin too. So those are kind of things we’re kind of thinking about as we head into 2024.
Nathan Race: Got you. And in terms of funding future loan growth it sounds like you have some cash flow coming out just curious about how that can help that? And hopefully, there will be some deposit growth starting year after some stability this year. So do you see an opportunity to kind of reduce some funding levels to hopefully support greater NII growth next year or how you kind of just think about the level of wholesale funding that you could potentially unwind as hopefully deposit growth increases in 2024?
Alan Villalon: Yeah, we definitely would love to see more deposits coming to door deposits is king. And we’d love to — deposits is what just — its music to my years these days. So as we look into our 2024 planning we are very focused on bringing in deposits and deposit relationships. The question right now is given how much liquidity is coming on to the system what is out of our control is trying to figure that out as well. But we’ve brought in a tremendous amount of talent especially in the treasury management side to help us with those deposit gathering activities.
Nathan Race: Got you. Makes sense. And then just kind of a bigger picture question on some of the fee income lines. Obviously, challenging equity markets was a headwind to wealth management and retirement revenue in the third quarter. But if we get kind of more stable market valuations going forward and with all the initiatives that you guys have put in place to increase the capture rate from the retirement platform into wealth how are you guys kind of thinking about the opportunity to grow those two lines in the next year particularly as you allocate more resources to the retirement unit led the ESOP trustee sale?
