Elyse Greenspan: My first question, as we think about you guys going back to buying back your shares, should we still think about debt management being about 40% of buyback? And do you have a target on the buyback side of what you would want to return to shareholders during the last three quarters of the year?
Heather Lavallee: Sure. Good morning, Elyse. Don will take your question.
Don Templin: Sure, Elyse. As we are — as Heather indicated, we are committed to returning back to share repurchase and return of capital in the second quarter. I think with respect to pacing, there’s a number of items that impact the pacing of that, including what happens in the macro environment. So we indicated that we expected to go back into share repurchase, assuming a constructive outlook. We don’t see anything that causes us to believe that, that won’t occur, but that will obviously impact our ability to generate excess capital and then return it to the shareholders. With respect to leverage, we noted on the call that we are going to be using a different leverage metric, a revised leverage metric, if you will, and we are in the sort of the higher end of that range.
So the range was 25% to 30%, excluding AOCI. And I would anticipate that during 2023, we will be managing that leverage ratio down so that we do buy ourselves some capability or some flexibility. So we are committed to returning capital. It will be influenced by a number of items, including sort of what happens over the next two quarters. But we are very confident in our cash generation capabilities. We are very confident in the forecast that we presented to you, and so we are very comfortable that we’ll be back in the market at some point in time and returning capital to shareholders.
Elyse Greenspan: And then my second question. Within Wealth, you guys talked about higher crediting rates offsetting some of the tailwinds from the rising interest rate environment. Can you help us think through the longer-term benefit of rising rates? And how much of that should be credited back to customers versus falling to the bottom line?
Heather Lavallee: Yes, thanks for the question, Elyse. Rob will take your questions.
Rob Grubka: Yes. So Elyse, I’d just step back and as we think about we saw in the quarter. There was some element of credited rate increase that occurred in the quarter. There’s more of that that we expect to happen in the first quarter. It’s the question of like, well, how much and how should we think about it? As Don said in his comments, we guided from a spread perspective to be consistent with fourth quarter, that’s our best view of it as we sit here today. And then look, as time marches on, and we’re always trying to balance out what has been a very good retention story for the business. Credit rates are part of that, calculus that we need to do and the balance of decisions that we need to make. So looking at it in isolation, maybe not the cleanest answer for me to give you, but I can tell you we’re going to do it in a really balanced, thoughtful way looking not only at spread, but also the fee side of the business and striking the right balance as we move forward in an environment that we’re all alluding to is going to have some twists and turns to it.
But again, if you look back over the last few years, I think we’ve gotten adapt to being agile and disciplined about striking those sorts of right balances as we move forward.
Operator: Our next questions come from the line of Erik Bass with Autonomous Research.
