Harvey Schwartz: So I’m really enthusiastic about this as a long-term area of growth for Carlyle. We’ve had products in the market for a long time. As I mentioned, we’ve raised $45 billion across closed and evergreen funds. The wealth team has grown pretty substantially, but there’s more work to do on product development, growth of the team. We’re investing quite heavily. I’m personally spending a fair bit of time in this space. And it really became a big initiative for me in, I don’t know, month six or month seven. And I feel very optimistic here. I think as an industry, we have to be really thoughtful as capital continues to migrate into the sector. I think if you look at the wealth assets around the world, which we all expect will continue to grow, it’s a very small percentage in alternatives.
So this is going to play out over a decade. But as this growth happens, I think Carlyle, the brand recognition, the history of the firm, the historic presence of the founders, David Rubenstein, brand in and of itself. I think these are all really, really additive, powerful things that provide momentum for Carlyle, but this is going to play out over years. I think most importantly, we just have to have the right products to ensure that the wealth investor gets really high performance, and that’s what we’re focused on.
Operator: Our next question comes from Ben Budish with Barclays.
Ben Budish: I wanted to follow up sort of on the discussion of investing for growth versus kind of cost savings. Harvey, you mentioned a number of sort of growth areas, private credit and the asset-backed opportunity. Insurance, you talked about developing new investment and distribution strategies. And earlier, you talked about the kind of the progress you made in terms of hiring. So can we kind of circling back to all of that. In terms of the future hiring, future growth, do you feel like you have the capabilities you need to sort of go after those opportunity sets or where might you need to kind of increase hiring? Is it on the investment side, the distribution side? Or do you feel like you can kind of do what you want to do with what you have?
Harvey Schwartz: So — well, first of all, I think the team is amazing. Broadly speaking, I’ve been so impressed since I got here with the business leaders. World-class organizations, they know how to redeploy resources and how to effectively tap the brakes, hit the gas. We’re not creating new science over here in terms of how we think about expense management and reinvestment. And as I said, the key here is to create operational flexibility. We’re not just trying to drive the cost structure down. We want to make sure that we have the best people, retain the best people, attract the best people. So all this is about creating that operational flexibility. The insurance team is really vastly built out through our partners in Fortitude.
I think over time as well scales will continue to scale, but we made meaningful investment there. And I think the investing engine in credit is broadly built out. Some of this will be more about at the margin. But I don’t see as much investments or big gaping holes at this stage. So certainly, things will build. And the world is going to be dynamic. And so we’ll pivot to where it’s dynamic. But we’re certainly very focused on growth, but we’re equally focused on running this business in the most disciplined possible way.
Operator: Our next question comes from Brian Bedell with Deutsche Bank.
Brian Bedell: Great. Maybe Harvey, if you could just give us an update on the capital markets business. I know that’s an area you have been focused on. Where you think there’s a lot of opportunity for Carlyle and the product set that you have and the talent you have, right, currently? Maybe as we move into 2024, is that an area where you think you can significantly build the revenue stream on a year-over-year basis provided, of course, that we have a fairly normal market environment? Or is that more of a little bit of a longer-term build?
