They’re moving from one overall liquidity mechanism to another. And as we look out, I think it’s interesting to see that the balance is thus far in the quarter have held in just over $100 billion. And frankly, that’s higher, and it’s still early in the quarter, but that’s higher than what we would have anticipated at this point. And the $430 million to $440 million, just to give some context there. that assumes that net interest margin would be relatively flat, up a couple to a few basis points, but deposits would have to come down an average in the $93 billion to $95 billion for us to get down to that $430 million to $440 million. And so at this point, thus far, again, it’s varied — we’re 2 weeks into a 13-week quarter, the deposit levels are holding in higher than that.
Operator: And our next question will come from Alex Blostein with Goldman Sachs.
Alex Blostein : So just another one around deposits. you guys seem to have been a bit surprised, I guess, by this latest move in terms of kind of the catch up that you played there you articulated at the conference in September and obviously today. Do you feel like you caught up to where institutional pricing is? Or do you still think there might be incremental migration or kind of the need to increase price more? And then again, on the institutional side of things, is there a particular client base or channel internationally that’s driving this pickup? Or is that fairly broad-based? Because your competitor set there is fairly limited, right? I mean we know there is 3 or 4. And at the end of the day, that’s where you compete with on the custody side. So I’m just kind of curious where we are in that process?
Jason Tyler: It seems like we caught up. And we made — if we get to what we thought we were going to be down about 5% in NII. We ended up down 10%. We saw that mid-quarter and hit right on the number what happened in the — call it, the August time frame, we clearly saw that in general, the market was taking deposit pricing up. And we reacted to that. We’re not again, we’re not price makers. We’re price takers. And so we reacted to that and it seems to very much have leveled out the deposit activity. And that’s why you see things very kind of flattish. And then also into this quarter, stabilizing at levels we thought would be even higher. And so I think the big takeaway is it seems like the pricing is where it needs to be for clients to level things out.
And the pricing actions that we took were in pretty small number but of big accounts. And you asked about geography, the bigger actions we took were in the U.S. custody book on the institutional side of the business and then in wealth, it was in MMDA. And so we took a targeted approach to increase those pricings in early early reactions look like we got it, we hit the mark well.
Alex Blostein : Got it. All right. Shifting gears a little bit, pretty constructive comments from you guys on the new business. We’ve heard that for the last couple of quarters. As you know, converting net to fees is always a little hard, and it’s a bit opaque. So — any way you can frame maybe the fee backlog and as we sort of work that through into revenues over the next, call it, 12 months, do you feel like you have enough scale in the business to onboard, especially some of these larger mandates a material pickup in expenses. So in other words, to Glenn’s point, it sounds like you guys are aiming for, I don’t know, 3% to 4% expense growth in ’24. Is that doable with potentially more net new business?
