So we will get more swings at the plate, and we believe that there’ll be more opportunities to hire selectively folks that bring in good client base and books. So that might accelerate a little bit, but we’re maintaining the overarching momentum that we signed up for.
Chris O’Connell : Got it. And for the ones that you hires —
Kevin Conn : I was just going to say, and it’s across wealth management, private banking and commercial banking. And within commercial, a bit more emphasis on deposit generators. People who have just had a track record of large deposit books.
Chris O’Connell : Got it. And I was just going to ask for the ones that you have hired particularly from the Boston Private to be our FRC recently better deposit focused. Any sense of the size of their books at the prior institution that they can maybe get to over the long-term?
Nitin Mhatre : Chris, we won’t put those in the names and books sizes on the call, but suffice it to say that they’re really talented high-quality producers with outstanding relationships in the market. So we’re hopeful that, that comes with customers and books over time. And it’s relatively new hires, so it takes time to build that pipeline.
Chris O’Connell : Great. And then I may have missed it if you mentioned earlier in the yield discussion. But where are the commercial origination yields coming on?
Nitin Mhatre : The new business for commercial?
Chris O’Connell : Yeah.
Nitin Mhatre : Yeah, that is roughly about those 7-7.3-ish.
Chris O’Connell : Great. And for the securities portfolio, it seems like in the near term, still some opportunity to run-off. But on the yield, which has remained relatively stable here in the past few quarters, any sense of where that securities yield could migrate to by year-end?
Nitin Mhatre : Yeah, good question. It’s relatively static. It’s a fixed rate portfolio. So the yield is not going to change. It’s — this is another one of these fundamental questions, right, which is the — we haven’t bought a bond in that portfolio for a long period of time, and it’s way underwater basically like almost every other bank in the country. You’ve started to see some people talk about the accretion back of AOCI and laying out those cash flows, which is a really important concept. So I can’t tell you what those numbers are yet. Honestly, we haven’t done the work, but we did see a tick up surprisingly in prepayment activity linked quarter. It’s modest. But we will probably share that next quarter, our cash flow expectations and AOCI build out of that.
And obviously, there is a static view there, and then there’s — if rates fall like forward suggest, it’s going to accelerate dramatically in 2024. But specifically, your question is, will the yield change in the back half of the year from the front half of the year? Very marginally because it’s a fixed rate portfolio.
Chris O’Connell : Okay. Got it. Just circling back on the resi — RE growth in selling off 20% to 25% going forward. Is there any thought as to selling off more of that production just given the marginal cost of funding versus the margin yield of what’s coming on the balance sheet there?
