Manuel Navas: With the savings growth and the CD growth, you’ve been experimenting with different channels over the last couple of quarters. What channel has kind of worked best? I know there was at the periphery of your footprint and there’s been a lot of [indiscernible] outreach in your branches. What channel has kind of driven this deposit growth most?
Daniel Schrider: Yes. Manuel, this is Dan. Good afternoon. I think it’s really been a blend of things. We’ve had success with our online storefront that we launched earlier in the year, and that’s generated about 1800 new accounts over the course of the year, not just the quarter, and it’s been more than half of that has been like new client balances coming in. But at the same time, we’ve used some digital outreach to prospective clients through some data that we combined with internal data and some purchase information to reach out specifically to kind of the affluent client that or the heavy depositor client in the marketplace. And we’ve had tremendous success in bringing dollars into that. And so that’s been digital outreach with branch person follow up.
And that’s probably been the biggest piece. And then third would be the activities from the commercial bankers, who, quite frankly, ever since the end of the first quarter with SVB failure and what followed was a much greater outreach and connectivity to our commercial deposit base, initially from a retention standpoint. But the follow on activity has been growth in those deposit relationships and expanding them, so I would say than more than one initiative, but all three have been additive.
Philip Mantua: Yes, Manuel. Well, I would also add that that high yield savings growth, which is really that balance is really up to date, more than doubled, has been on a non-advertised basis. So as Dan outlined, it’s been more direct marketing and contact than it was any kind of an advertised type of special. And we still had that kind of significant success.
Manuel Navas: I really appreciate the color here. On the commercial lender piece, that’s great. Is there kind of a pipeline expected there? Is that something you can I know it’s lumpy I’m sure. Is there a way to kind of quantify kind of the pipeline there and kind of overall deposit growth over into next year?
Daniel Schrider: I don’t think there’s a way to quantify it as we look forward, other than to say that the commercial I think we’ve gone from, this is probably an easy way to say commercial lenders to commercial bankers, and that’s not a criticism of the bankers. For the last, obviously, several years, focus has been on asset growth because funding it was not an issue, and the world changed. And so they have done a tremendous job of really changing and shifting focus to include deposit gathering along with asset generation. And that will continue. And that’s been built into their reward mechanisms in terms of incentive plans and pipeline management and overall expectations of production. So that’s not going to change as we go into 2024.
Manuel Navas: All right. I appreciate that. My last question, is talent acquisition still an important driver or do you kind of feel that you’ve shifted behaviors among your now commercial banker base that you feel comfortable with it as it stands, at least through 2024?
Daniel Schrider: Yes, I think the shift in expectation and behavior has been really solid, but we will always be looking for folks that will help us expand client relationships, not just in commercial banking and C&I specifically, but also in the wealth space. Now the challenge for us is to make sure we’re doing that while maintaining our overall headcount at a reasonable level to fit that expense growth expectation that Phil spoke of. So I think we always have to be open to adding good talent to the organization.
Manuel Navas: Thank you for the commentary.
Daniel Schrider: Yep. Thanks, Manuel.
Philip Mantua: Thank you.
Operator: [Operator Instructions] Our next question is a follow up from Russell Gunther of Stephens. Russell, please go ahead.
Russell Gunther: Hey, guys, thanks for taking it. I just forgot to ask you earlier. We have seen some hiccups in shared national credits this quarter, industry wide. I just was hoping for some commentary about your thoughts on the asset class and then what your exposure is today.
Daniel Schrider: Yes, we do have a participation book. Right now, our total participations bought is just north of $186 million but they’re all like, club deals with local banks that we’ve helped out and vice versa. On the flip side, we have about $250 million that have been put out in terms of sole participations, but we’re not active in [indiscernible] business.
Russell Gunther: That’s great. All right. Thanks, Dan. Thanks for taking the follow up, guys.
Daniel Schrider: Sure.
Operator: We have no further questions on the phone line, so I’ll hand back to Dan for any closing remarks.
Daniel Schrider: Thank you, Jordan. Thanks, everyone, for joining today’s call, and we love your feedback. If there are things we could do to make our call more effective, so please reach out. But thanks again for your time and have a great afternoon.
Operator: Ladies and gentlemen, this concludes today’s call. Thank you for joining. You may now disconnect your lines.
