Dominic Ng: We are getting some. We are not — I mean, like I said, we are not like aggressively pursuing like this HSBC bring the whole team over and that kind of things. A bunch of people going to JPMorgan, we are very selective. And obviously, what happened to those institutions, there are a lot of do a lot of bankers seeking new homes. So I mean, without being in California, without a doubt, there are many inquiries coming to us. And so we just find the right people with the right cultural fit with the right type of mindset that fit into what we — in our model, and then we bring them on. And then same thing for customers. We have I personally have more inquiries from our clients referring to friends who were customers. Well, we sell our customers for these sales banks, and they’re just looking for a new home.
So we’re very busy in discussion with many of those. And we — some of those loans booked. I mean if you look at C&I, you noticed that commitment on up 15%, but outstanding balance gone up 1%. We took a lot of commitment, but it’s going to take a little while to do the drawdown and same thing for deposit. We opened a lot of accounts, but it’s taken a little while to start getting them operating and start getting deposit flowing. And we’re not trying to hurry up in doing that because, again, it’s not like we have one quarter or two quarter or three quarters finish line, and then we’re done. We’re running a long-term business. And so we just gradually start taking on these new clients, making sure that they get the right experience. And then we also don’t want to get overwhelmed for the surge of this increase and ending up neglecting our existing customers.
So — and then in addition to that, we also wanted to continue our journey of further enhancing and upgrading our whole enterprise risk management. And so, this work cannot be sort of like put aside just because there are increase from customers from these sale banks, and I wanted to migrate over, and then we stop taking care of all the other fundamental business that we need to take care of. So all in all, we’re just like doing all of that at the same time. And I would expect that gradual slowly gradually, we’ll get more of these customers, not only from the fall banks. By the way, some of these other regional banks or that also have some sort of challenges that also have their customers going to be stopped looking at East West because many of these clients are going to be looking at who are the banks have a high likelihood.
They don’t have to worry much about the future. And banks have very high capital ratio. And year in, year out, always put out strong numbers and don’t always get in and out of gel with the regulators. These are the ones that, in general, going to be well soft. So therefore, we want to keep it that way. So we don’t want to go crazy and get all excited about this opportunity and then get ourselves back in gel or something like that. That wouldn’t be good, right? So that’s where we are.
Manan Gosalia: And I guess related to that, in terms of investing in the business, I know you moved your expense guide up slightly. Can you talk about what’s driving that revision? Is it mainly investments and there some opportunity you’re seeing in this environment? And then, how we should think about due expenses overall, even going into next year is maybe you continue to invest in the business, but also as I guess the bank industry as a whole sees more of an impact from regulation, if there’s anything else you need to do there given your asset size?
