Daniel Tamayo: Okay. And is the amount of — I mean, so if I average the last two years, you’re still over $130 million. So $65 million a year. So still above the guidance for 2024. Are you expecting volume to be similar over the — in 2024 from what you’ve done over the last couple of years or is there some kind of rate impact in there that — that’s capturing the difference?
Larry Helling: Yes, I mean, a little bit. We pulled some deals from ’24 into ’23 that probably the borrowers, if we hadn’t had that drop in rates, would have waited to lock their rates in until first or second quarter. So a little bit of that happened, probably. And so that’s part of the guidance there. Part of it’s just trying to make sure we give you a number that we can hit on an annual basis because we don’t like disappointing you guys. And so I think it’s just the industry. There’s still a tremendous backlog of a need for affordable housing. The developers are finding it easier now to put the capital stacks together since there’s been a tick down in the long-term interest rates. And if I knew what was going to happen on rates, I could probably give you a little clear view, but we’re certainly trying to just give you a rational number that we think we can hit and I’d probably look back at the last four or five years of what we think normal is in our swap fees to give you some sense for why we think 50 to 60 is the reasonable guidance for today.
Daniel Tamayo: That’s great. And I appreciate all the color. I’m not trying to stick you with a higher number. Just trying to understand the drivers here. I appreciate all that.
Larry Helling: Yes. Thank you.
Operator: The next question is a follow-up from Nathan Race with Piper Sandler. Please go ahead.
Nathan Race: Yes. I appreciate you guys taking the follow-ups, just had one on wealth management revenue, a nice step-up and it seems like you guys are still adding new clients there. So we’d just be curious to get an update on how growth in that line of business is trending in southwest Missouri. And then also, I believe you guys are making a push into Des Moines as well.
Todd Gipple: Yes good memory, Nate. We’re very pleased with the start we have in southwest Missouri at the guarantee bank charter. A couple of very experienced folks have got that off to a fast start. One of the reasons we’re able to do that fairly efficiently is we don’t need to recreate the back office structure for those folks. They can worry about serving clients and bringing in new AUM, and we can lean on the existing infrastructure that we already have created and wealth management really out of our Quad City Bank initial charter. So off to a good start there. We are continuing to pursue another start like this in the Des Moines metro. And we’re excited about that. We expect to have some news sometime this year on that front, but very proud of that wealth management team creating another 340 relationships this year and 760 some million in brand new AUM.
And the vast majority of that is in our higher leverage, higher profitability trust segment. So 700 million of that close to was in trust, which is the ultimate relationship business. So appreciate you asking about that, Nate
Nathan Race: Great. And then just on the tax rate going forward, I think last quarter we’re talking between 9% and 10%. Is that still a good level to use going forward?
Todd Gipple: Yes. Our guide was 8% to 11%. Still feel pretty good in that range. The only thing that would really fluctuate there would be an outsized capital markets quarter where all of a sudden taxable revenues spike up a bit more than tax exempt, but feel very good about that effective tax rate. Proud to have that be one of the lowest in our peer group. And again really helps us provide good earnings per share.
Nathan Race: Got you. And then maybe one last one for Larry, just curious to get your latest thoughts on the M&A environments. Obviously, you guys are in a pretty advantageous position with your excess capital and your currency. So, just curious if you’re any more or less optimistic on acquisitions occurring at some point this year or into next year.
Larry Helling: Yes. I think our first priority, Nate, is making sure we got a fortress balance sheet to basically support what’s been really solid growth for us. And we’ve got really good momentum, so we don’t want to do anything that messes that up. Longer term, certainly we may have some appetite for M&A, our stock, if it start trading a little bit higher, some of the economics might start to make sense in some M&A transactions. But we’re going to be cautious for a bit yet because, again, as I commented early, we’re not declaring victory over the economy yet because everybody’s kind of changed their mind in the last 45 or 60 days on what’s going to happen. And I think we’ll just be cautious for a bit yet. And we certainly continue to have ongoing discussions with things that we think might be a strategic fit long term. Probably nothing in the foreseeable future, though.
Nathan Race: Got it. Makes sense. I appreciate all the color. Thank you, guys.
Todd Gipple: Thanks, Nate.
Larry Helling: Thanks, Nate.
Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Mr. Helling for any closing remarks.
Larry Helling: Thanks for joining our call today. We hope everyone remains healthy and safe during the New Year. Have a great day. We look forward to speaking with you all again soon.
Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.
