Brian Moynihan: The scenario of rate cuts and rate rises, we basically use blue chips. So, I’m not sure. It depends on what’s causing that. So if it’s a normalization of the rate curve back to say, 3% at front end, 4.5% at the back end or something like that. That’s different than what you saw when they had to cut rates for the pandemic or after the financial crisis and left in there for years to get the engine of the United States economy restarted. What’s different this time, frankly, and that’s what we’re talking about the consumer data is even with a strong rise in interest rates, you have a less tight labor market, and inflation and what people are being told to worry about, you’re actually seeing consumer spending consistent with a good 2% growth environment, a low inflation environment, which is good because the consumer is being appropriately conservative right now.
Alastair Borthwick: Erika, the other thing I’d just say is you think about why we’ve got a slowdown in some of our fee-based businesses right now, it’s because rates have risen so quickly and that’s created a lot of volatility and it’s created — the asset management business that set a excel off in bonds and stocks. So, we’re poised now in a lower base where we can grow from here. Same thing, if you look at our net income, we’ve really outrun pretty historic decline in investment banking fees. So, we got a diversified set of businesses where as some normalcy returns, we can see some pickup in those fee lines as well.
Operator: We’ll go next to Ken Usdin with Jefferies.
Ken Usdin: I wanted to follow up, Alastair. You had about $800 million of incremental interest income from the securities book. And I’m just wondering if you can help us understand how much of that was attributed to the continued benefit from the swap portfolio? And also then how would you expect that to impact your outlook for the 14.4% in the first quarter guide? Thank you.
Alastair Borthwick: Yes. So most of the increase in securities portfolio, we’re not really reinvesting in there at this point as the securities portfolio started declining. We’re using the money that’s throwing off to put it into loans. That’s always our first preferred place. So, you’re picking up on the right thing. It’s mainly the treasuries that are in there, they’re swapped to floating. That way, we don’t have any capital impact from rising rates. And so, you’re going to see the securities yield just continue to pick up. Number one, based off of the treasuries swap to floating as floating rates go higher. And number two, as the securities come due, there’ll be fewer and fewer of them at lower rates. And so, you’re going to see the pickup over time.
Ken Usdin: And just as a follow-up, what’s our best benchmark rate to kind of watch that trajectory for how we can understand that helper from that swap portfolio?
Alastair Borthwick: Normally, it’s SOFR, secured overnight financing rate.
Ken Usdin: Okay, great. Second quick one just on capital. You had 20 basis points increase in your CET1. You did $1 billion or so of the buyback. Just wondering how you’re thinking about capital return with the bar package of rules still ahead of us going forward. Thanks.
