So I’m throwing a lot of numbers around here. But in the end, you wind up with a NIM, you wind up with NII that’s at a level before the Fed rate hikes. So even with the potential improvement next year, which would be an incremental positive, you’re still not getting credit for any of the Fed rate hikes that took place. So what happened with the structural positioning of the balance sheet that leads to such a low NIM and NII?
Clark Khayat: So I mean what I — where I’d start there, Mike, is that if you look at the composition of our loan book in general, it is, in our view, higher credit quality, but higher credit quality comes generally with lower yields. So we have over 50% of our C&I book is investment grade, we have super-prime consumer books. So those are not going to carry the same rates broadly is something like credit card, which we have very little exposure to or personal consumer loans, which we have very little exposure to. So in that regard, we’re starting probably structurally a little bit lower NII, but the counter to that is what we think is a higher credit quality book. So I’ll have to go back through the specific math you have there, but — and I’m happy to do that and talk about it offline. But I think that’s at least a starting point. But we think, over time, NIM that starts with a 3 is not an unreasonable place for us to be.
Mike Mayo: And so is that right, so next year, you’re guiding basically — from the fourth quarter level where it stabilizes, at least the NII should go up by about one-fourth by the end of the year. In other words, you’re guiding basically close to $900 million for the fourth quarter or a little above. And then you’re saying you’re gaining $900 million annualized by the end of next year. So that would imply NII would go one-fourth higher from that fourth quarter level, all else equal. Is that correct, the logic?
Clark Khayat: Not exactly. So the $900 million is annualized as of the first quarter of 2025.
Mike Mayo: Okay. So, just a little bit later. Got it. But eventually, NII goes up by one-fourth.
Clark Khayat: Correct.
Mike Mayo: And I said the words, all else equal, but what would not be equal? What could help — say NII, what could help that NIM go back from 2% to 3%? What is that logic missing?
Clark Khayat: Well, I think, it’s — I mean, the obvious one right there is the 73 basis points that comes from swaps and treasuries. So that’s what we’re talking about. And betas, I think, getting — or general rates and betas getting kind of more in line with historical averages, or overall funding costs. So as we just talked about, we have some opportunity to reduce some wholesale funding, which is obviously expensive, and we’re still yet to see pull-through on loan spreads. So I think there’s a variety of factors that could improve that, many of which we are either not experienced at the moment or haven’t seen kind of broadly in the industry.
Mike Mayo: And then last one, Chris, you started off saying you expect investment banking to be stronger in the second half of the year. There’s been some drought for the industry. What gives you confidence either for the industry for Key or for both?
Chris Gorman: Mike, I was just — I mentioned this earlier in the conversation. It is based on my experience being around this business as long as I have. People will defer transactions for so long, but eventually sort of the logjam starts to break. I think we’re starting to see it a little bit in the new issue equity business. And I’ve just been out talking to clients. And I think people that have put deals on hold now for 12 months, either these deals are going to start to happen, or they’re going to move on and do something else. So, it’s based on, one, just looking and scrutinizing the backlog. And then secondly, just more instinctive, as I’m out talking to people.
