Pete D’Arrigo: When we think about the organic contribution, of course, the market impact has a carryover effect. I mentioned a bit of that in the script. That is a headwind of, as we said, 3 to 4 percentage points, that’s all going to be AUA based. But on the AUA basis, it’s a higher percentage, right, because the 3% to 4% is on the total asset base. So again, in the range of AUA asset based revenue for the year to be about flat, which we think translates to around 6% growth. And then on the sub side, it’s in the range of mid single digits, 4% to 6% maybe and the wealth side is growing a little bit faster than the D&A side. We talked a little bit and we’ve talked over the past few quarters about kind of working through some challenges and the headwinds, which are persisting into 2023. We do expect, as we leave 2023, we’ll be at a much higher growth rate than we’re entering 2023 for all of that subs business.
Surinder Thind: And then taking a bit of a longer term view here, as you kind of work through the changes to your operating structure. Is the goal here that we should see some stability by 2025 on a run rate basis here? I kind of look at the differences between the GAAP and the non-GAAP earnings and that spread continues to grow. And at that point, how should we think about your target for organic growth over the next few years? You had laid out kind of a plan at the beginning of the investment cycle. And where do you think that you guys can get to from an organic growth perspective on a sustainable basis?
Bill Crager: So let me just take kind of a higher view and then I’m going to get to the details in your question. And it’s worth spending just a minute on it, because I think the ’22 environment and just setting it into a competitive context is probably important to do. The company, Envestnet, outperformed from an account growth, a net flow growth, usage growth, any of the kind of comps that we may — that we track, $57 billion in AUM/A net flows in 2022. I mean that was down 35% from the year before. Why? Well, the market has a lot to do with that, but also the industry has been significantly impacted from a flow standpoint. And I cited the industry data of a negative 1.7% net outflows in 2022. We fought tape. We outperformed significantly and said at the top tier in the results that we were able to bring on to the platform.
It is in foundational to the organic growth that this company will generate in the future. Some other data points that I think are important. Six publicly traded wealth management companies saw their net flows decline — we declined by 35%. Six publicly traded wealth management companies, they saw their net flows drop by 50%, average of 50% in 2022. Asset managers, publicly traded asset managers that we track, they saw their net flows decline by 70% last year. There are two publicly traded TAMs that we track and look at closely, their range of flow degradation last year is between 40% and 60%. We outperformed. And it’s really important because what that does is it adds more accounts, more advisers using our services, but at reduced values inside those accounts.
