We also have a number of capital options that we’re continuously evaluating given our proactive approach to capital management, as Tom mentioned. So that includes additional reinsurance options that could allow us to lower the volatility of our earnings at an attractive cost of capital, and we continue to look at those things. I think we’ve also proven in the last couple of quarters, we have open access to financial markets where we showed that through our — some of our refinancing activity. So we have a lot of options. I want to kind of close out with — as it relates to capital options and capital strength, issuing common stock at this point is not something that we’re considering. It’s not an option that’s on the table given how we feel about our overall capital position.
So maybe that — I know it’s more than just when you’re going to turn back on buybacks. But I want to — I think the context around how we think about capital management is more important to how we might answer that question in the future. So hopefully, that was helpful.
Elyse Greenspan: That was helpful. And then maybe just one more, right? You did mention reinsurance and some other options that you have. And you did make — you did in the first quarter, right, you choose to monetize part of your equity portfolio. Is it safe to assume that you think about prospect going forward on the capital side, you’re not looking to make any significant changes to investments? And on the same thinking about your current businesses, you’re not — you wouldn’t be thinking about monetizing any assets as a way to free up capital?
Tom Wilson: Elyse, so on the investment side, that decision was primarily made from a risk and return standpoint, first starting at the markets. And we thought — when we made the decision, we thought there is greater opportunity to make money by lengthening duration than by staying in equities. It had the benefit of reducing the volatility of equities. And in our models, the capital charges for equities is a lot higher the bot. So it has that capital benefit. If we felt like the time was right to go back long in public equities, then we would look at it at the time and then we’d say, okay, how much capital do we have and how do we feel about it? But we don’t have a date in mind for that. I think when you just look at the economic environment, it’s somewhat balanced.
Jesse Merten: And I think as it relates to monetizing assets, Elyse, in that component of the question. I think we certainly understand all the range of options but we don’t believe we’re in a position right now where we have to be considering things like monetizing assets to bolster capital. Again, we feel good about our capital position. We have options in place, and we understand the full range of options of what we could do in the event we believe that we had a need.
Tom Wilson: We have the capital to make our strategy is, of course, the way we’re going to increase shareholder value. One, get profit up. Two, get growth up. And three, broaden the portfolio, which those lands to will lead to a higher multiple, and that’s what we’re trying to drive to.
Elyse Greenspan: Thanks for all the color.
Operator: Thank you, one moment for our next question. And our next question comes from the line of Michael Zaremski from BMO. Your question, please.
Michael Zaremski: I guess, my first is a quick follow-up on the capital discussion, you said bolstering capital. So I just want to clarify, you reiterated the 14% to 17% ROE targets, which I believe you’ve been talking about since I believe 2019 could be prior looking at my notes. It seems like there’s a disconnect, though, because the shareholders’ equity levels ex OCI are down meaningfully since 2019. There’s an element of where — it seems like this is why this company is coming up, investors are expecting that the consensus ROEs look like they’re well above the 14% to 17% because people aren’t bolstering their capital assumptions, I guess, in the model. So I just want to make sure I’m thinking about this correctly. It’s 14% to 17% is still the target. And so we directionally should be making sure we don’t turn on the buyback until Cereal’s equity levels are bolstered a bit.
