Raj Singh: Yes. I think it’s a very detailed answer because it’s not a portfolio, a lot of sub portfolios that add up to it. So I think where the industry needs to be cautious is obviously central business district office. That is, again, probably not as much of a deal in the next 12 months, but over the next 24 to 36 months, that’s the asset class to really pay attention to. And it will be an evolving story. And we’re spending a lot of time focused on whatever little of that we have. Now it helps us tremendously being in Florida, where everything is getting absorbed in Florida. But in markets outside of Florida, New York, for us, for example, and for other banks at the other part of the country, that’s the asset class that you want to pay attention to in the medium-term.
I think in the short-term, it’s not really an issue. And — but outside of that, retail has been a perpetual issue for banks. I think for the most part, banks have put that behind, and multifamily, warehouse industrial is still doing very well.
Tom Cornish: Yes. I would add, we’re super asset-allocation focused. When we think about the real estate portfolio, we’ve got a very disciplined approach to thinking about what sectors, geographies and asset classes we take exposure in. And even the broadest categories, as Rod said, really have multi-categories. So an anchor €“ a grocery store anchored center in Boca Raton is very different than retail that might be a Tom Ford store on Madison Avenue in 63rd Street. That’s very different kinds of retail, but we think pretty highly of the quality of the real estate portfolio that we have. And I think when we look at exposures across the platform in areas where we think there could be some softness, we feel really good about what our exposure levels are in those categories.
Jon Arfstrom: Okay. All right. Thank you for the help. Appreciate it.
Operator: Please standby for our next question. Our next question comes from Will Jones with KBW. Your line is now open.
Will Jones: Hey, great. Thanks for letting me jump back on guys. Just a quick follow-up, I wanted to hit on the buyback. I know by our math, you guys had massive buybacks this year, somewhere around 12% of the company repurchased in 2022. Raj, if the stock kind of hovers around the current levels, do you plan to keep the gas on the buyback here? And then just as it relates to your capital, I know you guys don’t look at TCE as much more so common actually, Tier 1 at the bank level. Did you have any internal targets or any internal threshold where you wouldn’t want to see that ratio draw down to? Thanks.
Raj Singh: Yeah. So yeah, we are active. The price of the stock is at right now, it’s a no-brainer from my perspective. And in terms of what ratios we look at, I’ll actually got Leslie answer that. Yeah.
Leslie Lunak: Yeah. We are more focused on CET1. A couple of things we think about when we think about capital levels, we are very protective of the company’s investment grade rating. So we’re very conscious of the ratings agencies’ view of buyback. We also want to be sure we’re retaining sufficient capital to support growth that we see on the horizon. So, those are the two constraints we think about. Our Board is probably going to meet in the next month or so to improve our actual capital plan for 2023. That hasn’t happened yet. Currently, I don’t anticipate any changes in the way we think about capital targets, but I’m going to refrain from putting them out there until that capital plan gets finalized.
