Ed Tilly: Thanks, Alex. I’ll start. So, we are seeing institutional flow certainly in the zero DTE. But I think most importantly is it’s not the expense of more traditional and historical third Friday, that’s the good news. That base remains very, very constant. So any new movement into the dailies similar to retail looks to be accretive or new flow and new strategies. And it is very much based on the moves that we see over the last year or so, substantial and meaningful moves in the S&P 500 on a daily basis today, yesterday, basically every day this week is a perfect example. As far as education, it’s — you really make the products available for institutions, and institutions talk to other practitioners on the success or not of new strategies.
So our focus has been on wallet size and having products for everyone to access the zero DTE. In particular, we called out the 1/10 size SPX and XSP and watching that growth. I would point to that as being more retail. And the SPX volume and growth that are coming from retail platforms are still small orders and still a mix between single leg and multi-leg strategy. So you hear the theme repeated here defined outcome investing tends to be much more sustainable, and that’s what we’re teaching. Institutions, I think, will catch on and add to that traditional third Friday and simply just gain more exposures on short dated.
Operator: Thank you. And the next question comes from Dan Fannon with Jefferies.
Dan Fannon: Brian, I want to come back to expenses, and I know you just gave a lot of color on the growth and what the initiatives are. I was hoping you could put some numbers around the ROI or the incremental revenue growth you’re expecting from those investments. But also to maybe avoid some of the confusion going forward, how do we think about normalized expense growth? Or are you in a multiyear period where we should be thinking about growth investments plus core expense growth? So this elevated expense growth isn’t just for ’23, it should be over a multiyear period.
Brian Schell: Yes. Thanks, Dan. Good color and I’m happy to provide a little bit more around that. The — I would say part of this is as we continue to see that return. And a little bit of this is we’ll continue to provide the, I’ll call it, the incremental contribution to the extent that we can, the — with the network that we have, and we don’t have a perfect clarity given the way the clearing works as to some of the investments and the increment of every single initiative. We know that in the aggregate, when you look at the broader ecosystem that as you increase access and distribution and, let’s say, for the SPX complex and the things that we’ve done there, right? So, we may see that incremental trading volume on certain initiatives and broadening 24×5, for example, introducing the new more expirations.
The collective benefit of that is hard to separate into any one single niche from that investment. So, we tend to look at it in totality to try and measure it again because we don’t have the clarity of the back end to see exactly who traded what. But we can see the broader volumes or so we have some limited view of that, but we will look at it, like I said, in the aggregate and continue to make an assessment every year as to did that exceed our, at a minimum, that invested return on invested capital. And because that is our more primary, I’ll call it, preference as far as capital allocation goes, those organic initiatives to generate incremental returns, so as we think about that, we’ll continue to evaluate that on a — some of that might be a multiyear basis to understand the traction behind that.
