Marty Flanagan: Yes, it’s a great question and needless to say it’s been in front of everybody. Look, we’ve not had that issue. I’d also say we don’t have the magnitude of size that where that has been sort of topical. So again, our client experience has been very different. But again, I recognize the relative scale that is what comes along with creating availability into these capabilities. And I think that’s €“ that would be a lesson for the market. And I think if you want to get exposure to some of these capabilities in extremely challenging times, you’re going to run into some situations like that. And my personal perspective is if we do a really good job educating investors and they have the time horizons that’s necessary for these exposures, they’re going to do really well.
So I would not make a decision not to have €“ to provide access to individual investors during just an extremely challenging time. So I don’t know if that’s helpful, but that’s how I think about it.
Brennan Hawken: And then on the institutional side?
Marty Flanagan: I’m sorry, can you repeat the question?
Brennan Hawken: Yes. There was some press coverage around the institutional €“ your institutional capabilities on commercial real estate and the fact that you €“ there’s a large queue rather of redemptions, but they’re €“ given the illiquid nature, it’s going to take time to work through that. And there’s prioritization given to the existing investors in the actual strategy. And so just it’s an understandable dance to try to balance, but how are you sustaining and maybe limiting damage control as far as relationships go around that inherent friction?
Marty Flanagan: We’re not experiencing what you’re describing. So when there are reductions, it’s €“ we have very, very strong relationships with our clients and they’re managed really quite well. So we’re not feeling the friction that you’re referring to. So
Brennan Hawken: Okay. I’ll follow up later. Thanks.
Marty Flanagan: Thank you very much. Yes.
Operator: Thank you. Now, Craig Siegenthaler with Bank of America.
Craig Siegenthaler: Hey, good morning, everyone.
Allison Dukes: Craig.
Craig Siegenthaler: So given the rise that we’ve seen in interest rates, I just wanted to see if you have a view on the potential reallocations in the fixed income in 2023? And also do you have a view within that on the potential mix between active and passive? And then how do you think Invesco is positioned within that to win these potential rebalancing?
Marty Flanagan: It’s a great question and I’ll give you an answer. I’m sure it’s wrong. But net-net I think getting, the rise in interest rates get into more natural interest rate levels is healthy for the marketplace. I think it’s healthy for active equities over time. And again, as I said before, once it sort of hits its stability level, I think it’s good for different types of asset classes and fixed incomes say. I really don’t know what the relative allocations are, but it’s been a long time that you’ve had a market where it’s positive for stock pickers and active equity. And yes, my personal view, once you get relative outperformance, you’ll start to see money go back to active equities and various elements of it. And that would probably not be a popular view. And history suggest that that’s not been the case. But that’s how I think about it.
