Robert Falzon: See, from a VII standpoint, Wes, it’s Rob. I think about that as having 2 components to it. One is the returns that we get from our alternatives portfolio and the second being the level of prepayment income that we get from the fixed income portfolio. I think we’ve guided to the fact that we expect lower levels of prepayment income on a go-forward basis. That was the primary contributor to the below expectations in the current quarter. So I think you should expect to see that. On a go-forward basis, we generally don’t provide an outlook. What I would say is that as even the current quarter, we have a good portfolio that’s very well diversified. And so while there are different components of it that performed up and down in the current quarter, we would expect that to continue in future quarters as well.
In this particular quarter, real estate performance was off, as you would expect. But actually, our private equity portfolio performed quite well. And just to be very clear, within our private equity portfolio, we have a very small exposure to sort of the DC area. So it’s more core private equity. And even within that, it’s a fairly significant component of that that’s in high yield and debt strategies. And so that sort of caused some stabilization within that private equity portfolio. So I think that we will vary as markets do, but we continue to believe that we’ll perform on a relevant basis quite well.
Wesley Carmichael: Got it. And then on PGIM, I think you lowered your expected range for other related revenues by about $10 million on a quarterly basis. Just curious if you can provide us some color on what’s driving that there.
Andrew Sullivan: Yes, Wes, it’s Andy. I’ll take your question. So ORR came in at the quarter at $37 million. It was predominantly driven by the real estate space. So this is a pretty consistent story. That’s been the last few quarters. Our agency earning decline from the real estate slowdown, and we saw lower real estate valuations and transactions. As far as the go-forward look, you are correct. We now expect our ORR to average about $40 million per quarter. That lower run rate, again, is flowing directly from the slowdown in the real estate markets. we’re expecting to see lower agency earnings as well as lower private incentive fees. And while this will vary quarter-to-quarter as always, we expect the patterns that we’ve been seeing to be more muted in this environment.
Operator: We reached the end of our question-and-answer session. I’d like to turn the floor back over to Mr. Lowrey for any further closing comments.
Charles Lowrey: Okay. Thank you again for joining us today. We’re entering into the next chapter of our evolution with a unique business model and growth strategy that positions Prudential to help current and future generation secure financial future. We are confident that our strategy and mutually reimbursing business model will enable Prudential to be a global leader in expanding access to investing insurance and retirement security. Thank you again, and stay well.
Operator: Thank you. That does conclude today’s teleconference and webcast. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today.
