Truist Financial Corp (TFC) 2023 Q1 法說會逐字稿

Greetings, ladies and gentlemen, and welcome to the Truist Financial Corporation's First Quarter Call. (Operator Instructions) As a reminder, this event is being recorded.

女士們先生們，大家好，歡迎來到 Truist Financial Corporation 的第一季度電話會議。 （操作員說明）作為提醒，正在記錄此事件。

It is now my pleasure to introduce your host, Mr. Ankur Vyas, Head of Investor Relations, Truist Financial Corporation.

現在我很高興向您介紹主持人，Truist Financial Corporation 投資者關係主管 Ankur Vyas 先生。

Thank you, Ally, and good morning, everyone. Welcome to Truist's First Quarter 2023 Earnings Call. With us today are our Chairman and CEO, Bill Rogers; and our CFO, Mike Maguire. During this morning's call, they will discuss Truist's first quarter results, share their perspectives on current business conditions and recent events and provide an outlook -- updated outlook for 2023.

謝謝你，Ally，大家早上好。歡迎來到 Truist 的 2023 年第一季度收益電話會議。今天和我們在一起的是我們的董事長兼首席執行官 Bill Rogers；以及我們的首席財務官 Mike Maguire。在今天上午的電話會議上，他們將討論 Truist 第一季度的業績，分享他們對當前業務狀況和近期事件的看法，並提供展望——2023 年的最新展望。

Clarke Starnes, our Vice Chair and Chief Risk Officer; Beau Cummins, our Vice Chair; John Howard, Truist Insurance Holdings' Chairman and CEO are also in attendance and are available to participate in the Q&A portion of our call. The accompanying presentation as well as our earnings release and supplemental financial information are available on the Truist Investor Relations website, ir.truist.com.

我們的副主席兼首席風險官 Clarke Starnes； Beau Cummins，我們的副主席； Truist Insurance Holdings 董事長兼首席執行官 John Howard 也出席了會議，並可以參與我們電話會議的問答部分。隨附的演示文稿以及我們的收益發布和補充財務信息可在 Truist 投資者關係網站 ir.truist.com 上獲取。

Our presentation today will include forward-looking statements and certain non-GAAP financial measures. Please review the disclosures on Slides 2 and 3 of the presentation regarding these statements and measures as well as the appendix for appropriate reconciliations to GAAP.

我們今天的演講將包括前瞻性陳述和某些非 GAAP 財務指標。請查看演示文稿幻燈片 2 和 3 中有關這些報表和措施的披露，以及與 GAAP 進行適當對賬的附錄。

With that, I'll now turn the call over to Bill.

有了這個，我現在將電話轉給比爾。

Thanks, Ankur, and good morning, everybody, and thank you for joining our call. I know you have a busy day ahead of you. The first quarter of 2023 was certainly an unusual and maybe even possibly a historic one for our banking industry. I am really extremely proud of our more than 50,000 teammates who leaned into our purpose and continue to care for our clients and stakeholders, reassuring them of Truist's position of strength and commitment to serve them.

謝謝 Ankur，大家早上好，感謝您加入我們的電話會議。我知道您將度過忙碌的一天。 2023 年第一季度對於我們的銀行業來說無疑是不尋常的，甚至可能是歷史性的。我為我們的 50,000 多名團隊成員感到非常自豪，他們支持我們的目標並繼續關心我們的客戶和利益相關者，讓他們相信 Truist 的實力和為他們服務的承諾。

Throughout the quarter, we continue to experience the benefits of our shift from integrating to operating as evidenced by improved organic production and increasing client satisfaction scores, which in our branches ascended to new highs in the weeks after March 9. Faced with a volatile and uncertain environment, we successfully demonstrated the strength and resiliency of Truist's diverse business mix, scale and market share, granular and relationship-oriented deposit base and strong capital and liquidity. But as we will also discuss, some of that positive momentum was offset by some higher funding costs and somewhat elevated expenses.

在整個季度中，我們繼續體驗到我們從整合轉向運營的好處，有機生產的改善和客戶滿意度得分的提高證明了這一點，我們分支機構的得分在 3 月 9 日之後的幾週內升至新高。面對動盪和不確定的環境在這種環境下，我們成功地展示了 Truist 多樣化的業務組合、規模和市場份額、精細和以關係為導向的存款基礎以及強大的資本和流動性的實力和彈性。但正如我們還將討論的那樣，一些積極的勢頭被一些更高的融資成本和略微增加的費用所抵消。

Strategically, we continue to take actions to optimize our franchise and focus our resources on areas where we have an advantage in the marketplace and at the same time, simplify, consolidate or exit certain activities to improve profitable growth. Mike will share some of those details later in the call. We'll provide more details on the quarter's results and other topical items throughout the presentation.

在戰略上，我們繼續採取行動優化我們的特許經營權，並將我們的資源集中在我們在市場上具有優勢的領域，同時簡化、整合或退出某些活動以提高盈利增長。邁克稍後將在電話中分享其中的一些細節。我們將在整個演示過程中提供有關本季度結果和其他主題項目的更多詳細信息。

But first, let's begin with our purpose on Slides 4 and 5. And in uncertain times, it can be easy to focus on the short term at the expense of the long term, which is why it's important that we always lead with purpose at Truist. These slides are a powerful reminder that the most effective way to grow over the long term is to deliver on our purpose to inspire and build better lives and communities. But today, my comments will be on this topic a little briefer to gauge investor interest and other topics.

但首先，讓我們從幻燈片 4 和 5 的目標開始。在不確定的時期，很容易以犧牲長期為代價專注於短期，這就是為什麼我們在 Truist 始終有目標地領導是很重要的.這些幻燈片有力地提醒我們，實現長期發展的最有效方式是實現我們的目標，即激發和建設更美好的生活和社區。但今天，我對這個話題的評論會更簡短一些，以衡量投資者的興趣和其他話題。

Our purpose statement intentionally begins with the words Inspire. And that's exactly what I witnessed while working closely with our teammates in March. As I mentioned, I was inspired by how our teammates leaned into purpose and care as they held numerous discussions with clients and stakeholders to answer their questions about the banking system to emphasize Truist's financial position and strength and help them move forward with their financial needs.

我們的目的聲明特意以“啟發”一詞開頭。而這正是我在 3 月份與隊友密切合作時所看到的。正如我所提到的，我們的隊友在與客戶和利益相關者進行多次討論以回答他們有關銀行系統的問題以強調 Truist 的財務狀況和實力並幫助他們滿足他們的財務需求時，如何專注於目標和關懷，這讓我深受鼓舞。

In addition to client care we provided last month, there were many other ways we actualized our purpose throughout the quarter, which we highlight on Slide 5. You can read more about these items and many of our other efforts to build better lives and communities in our 2022 Corporate Responsibility Report, which we published last week.

除了我們上個月提供的客戶服務外，我們在整個季度還通過許多其他方式實現了我們的目標，我們在幻燈片 5 中強調了這一點。您可以閱讀更多關於這些項目以及我們為建設更美好的生活和社區所做的許多其他努力我們上週發布的 2022 年企業責任報告。

Now I'll walk through our first quarter performance highlights on Slide 7. Quarter performance slide focused mostly on GAAP or unadjusted results given that MOE-related spend exited our run rate last year. Going forward, we intend to focus primarily on GAAP results with the exceptions of adjusted tangible efficiency and adjusted PPNR since intangible amortization expense remained significant due to the scale of the MOE and has no impact on capital generation.

現在，我將在幻燈片 7 中介紹我們第一季度的業績亮點。考慮到去年與 MOE 相關的支出超出了我們的運行率，季度業績幻燈片主要集中在 GAAP 或未經調整的結果上。展望未來，我們打算主要關注 GAAP 結果，但調整後的有形效率和調整後的 PPNR 除外，因為由於 MOE 的規模，無形攤銷費用仍然很大，並且對資本生成沒有影響。

Truist reported first quarter net income of $1.4 billion or $1.05 a share, up 6% like quarter due to strong growth and adjusted PPNR, lower merger cost, partially offset by a more normal provision level compared to a year ago. Relative to the fourth quarter of 2022, EPS decreased 13%, primarily due to lower net interest income and seasonality. Adjusted PPNR decreased 7% sequentially, consistent with our prior guidance as better-than-expected fee income due to higher capital markets activity was more than offset by lower net interest income and somewhat higher-than-expected expenses.

Truist 報告第一季度淨收入為 14 億美元或每股 1.05 美元，由於強勁增長和調整後的 PPNR、合併成本降低，部分被與一年前相比更正常的撥備水平所抵消，環比增長 6%。與 2022 年第四季度相比，每股收益下降 13%，主要原因是淨利息收入下降和季節性因素。調整後的 PPNR 環比下降 7%，與我們先前的指引一致，因為資本市場活動增加導致的好於預期的費用收入被較低的淨利息收入和略高於預期的支出所抵消。

Relative to the first quarter of 2022, adjusted PPNR grew 19%, and we delivered 310 basis points of positive adjusted operating leverage, reflecting a good start to the year. Asset quality remains strong and net charge-offs continue to normalize consistent with our expectations. We prudently built our ALLL ratio 3 basis points to reflect a more uncertain economic environment. Balance sheet trends, despite all the noise in mid-March, were fairly expected and more business as usual, and we'll cover more about loans, deposits, capital and liquidity later in the presentation.

與 2022 年第一季度相比，調整後的 PPNR 增長了 19%，我們交付了 310 個基點的正調整經營槓桿，反映了今年的良好開端。資產質量依然強勁，淨沖銷繼續正常化，符合我們的預期。我們謹慎地將 ALLL 比率設置為 3 個基點，以反映更加不確定的經濟環境。資產負債表趨勢，儘管 3 月中旬出現了各種噪音，但仍是在意料之中，而且業務照常進行，我們將在稍後的演示文稿中介紹更多有關貸款、存款、資本和流動性的信息。

So moving to our digital and technology update on Slide 8. Continued investments and progress in digital will be even more critical due to the close relationship between digital engagement, primacy of relationships and deposits. The good news is Truist prioritized digital early in the merger, building the truest digital experience organically and in the cloud, which allows us to fully own the digital experience for our clients end to end.

因此，轉到幻燈片 8 上的數字和技術更新。由於數字參與、關係至上和存款之間的密切關係，數字領域的持續投資和進步將變得更加重要。好消息是 Truist 在合併初期就優先考慮數字化，有機地和在雲中構建最真實的數字化體驗，這使我們能夠完全擁有端到端客戶的數字化體驗。

Our first quarter results reflect our continued investments, agility and momentum. In the first quarter, we opened 146,000 deposit accounts digitally, exceeding our internal expectations. We saw a strong growth in digital transactions and Zelle, in particular, underscoring the importance of payments and money movement capabilities to our clients.

我們第一季度的業績反映了我們持續的投資、敏捷性和發展勢頭。第一季度，我們以數字化方式開設了 146,000 個存款賬戶，超出了我們的內部預期。我們看到數字交易的強勁增長，尤其是 Zelle，這凸顯了支付和資金流動能力對我們客戶的重要性。

More broadly, we had an incredibly productive technology quarter as we advance our strategy to reimagine our capability set. In the deposit space, we launched a new data-driven deposit pricing engine, which provides personalized relationship-based rates for clients during account opening and will allow us to be even more targeted with respect to rate paid. We also enhanced our digital lending capabilities with the launch of our commercial loan dashboard, an industry-leading solution that allows wholesale lending clients to track the status of their loans, upload documents and eventually electronically signed documents.

更廣泛地說，隨著我們推進重新構想我們的能力集的戰略，我們擁有了一個令人難以置信的高效技術季度。在存款領域，我們推出了一個新的數據驅動存款定價引擎，在開戶期間為客戶提供個性化的基於關係的利率，這將使我們在支付利率方面更具針對性。我們還通過推出商業貸款儀表板增強了我們的數字貸款能力，這是一個行業領先的解決方案，允許批發貸款客戶跟踪他們的貸款狀態、上傳文件並最終以電子方式簽署文件。

Our goal is to eventually incorporate this dashboard into 1 view, our desired end-state integrated digital experience across payments, lending and capital markets creating a seamless experience for commercial and corporate clients' entire relationship with Truist.

我們的目標是最終將此儀表板整合到一個視圖中，這是我們期望的跨支付、貸款和資本市場的最終狀態集成數字體驗，為商業和企業客戶與 Truist 的整個關係創造無縫體驗。

So turning to loans and leases on Slide 9. Loan growth was solid in portfolios targeted for growth and lower portfolios where we've intentionally pulled back. Average loan balances grew 1.7% sequentially, while end-of-period balances increased a more modest 50 basis points. The slower growth on an end-of-period basis was intentional and expected and reflects our strategic decision in the second half of last year to reduce production in certain lower-return portfolios, including indirect auto and correspondent mortgage, while also increasing rates and spreads from ongoing production.

因此，轉向幻燈片 9 上的貸款和租賃。在我們有意撤回的以增長為目標的投資組合和較低的投資組合中，貸款增長穩健。平均貸款餘額環比增長 1.7%，而期末餘額增長 50 個基點，幅度較小。期末增長放緩是有意和預期的，反映了我們去年下半年的戰略決策，即減少某些低迴報投資組合的產量，包括間接汽車和代理抵押貸款，同時提高利率和利差從正在進行的生產。

C&I balances increased 3.6% on an average basis and 1.8% on an end-of-period basis due to continued growth across CIB and CCB, reflecting the benefits of our capabilities and our markets. Consumer loan balances decreased 60 basis points on average and were down 1% from December 31, reflecting ongoing runoff in student and partnership lending as well as lower indirect auto production.

由於 CIB 和 CCB 的持續增長，C&I 餘額平均增長 3.6%，期末增長 1.8%，反映了我們的能力和市場的優勢。消費貸款餘額平均下降 60 個基點，較 12 月 31 日下降 1%，反映出學生貸款和合夥貸款的持續減少以及間接汽車生產的減少。

Strategically, we're focusing our balance sheet on Truist clients who have broader relationships, while limiting our balance sheet usage with more single product and indirect clients. We're also evaluating ways to increase the velocity of our balance sheet, increasing greater utilization of loan sales and securitization. This allows us to be more impactful and increase returns in businesses such as Service Finance.

從戰略上講，我們將資產負債表的重點放在擁有更廣泛關係的 Truist 客戶上，同時限制我們對更多單一產品和間接客戶的資產負債表使用。我們還在評估提高資產負債表速度的方法，提高貸款銷售和證券化的利用率。這使我們能夠在服務金融等業務中更具影響力並增加回報。

Next, I'll provide some perspective on overall deposit trends starting on Slide 10. Despite the unique events of mid-March, average deposit trends during the first quarter were generally consistent with our expectations. Average deposit balance decreased 1.2%, driven by quantitative tightening inflation and movements to higher-rate alternatives. Within the month of March, more deposit flows were concentrated in the period from March 11 to March 18 and have largely been business as usual since, including through yesterday. Positive outflows during mid-March were primarily related to CIG and CCB clients, who chose to diversify in the money market mutual funds and in some cases, across multiple banks. These outflows tended to be a higher cost of nonoperational deposits.

接下來，我將從幻燈片 10 開始提供有關總體存款趨勢的一些觀點。儘管 3 月中旬發生了獨特的事件，但第一季度的平均存款趨勢總體上與我們的預期一致。平均存款餘額下降 1.2%，受量化緊縮通脹和轉向更高利率替代方案的推動。在 3 月份內，更多的存款流量集中在 3 月 11 日至 3 月 18 日期間，此後基本上一切如常，包括昨天。 3 月中旬的正資金流出主要與 CIG 和 CCB 客戶有關，他們選擇在貨幣市場共同基金中分散投資，在某些情況下，還選擇跨多家銀行。這些流出往往是非經營性存款的更高成本。

We also experienced deposit inflows as we're both attracting new clients and expanding our relationships with existing clients. Retail production continues to improve due to our shift from integrating to operating and leading with the value proposition of Truist One. In the first quarter, Truist saw record new deposit production, including 18% year-over-year uplift in branch account openings with improved client retention driving strong net new account performance. Commercial Community Banking had record new account growth in March, and we've seen good momentum in the first couple of weeks of April as clients are beginning to move money to fund those accounts.

我們在吸引新客戶和擴大與現有客戶的關係時也經歷了存款流入。由於我們以 Truist One 的價值主張從整合轉向運營和領導，零售生產持續改善。第一季度，Truist 的新存款產量創下歷史新高，其中分行開戶數同比增長 18%，客戶保留率提高推動了強勁的淨新賬戶業績。商業社區銀行業務在 3 月份的新賬戶增長創歷史新高，我們在 4 月份的前幾週看到了良好的勢頭，因為客戶開始轉移資金為這些賬戶提供資金。

More noteworthy than overall deposit flows was the pace of the mix shift from DDA as noninterest-bearing deposits decreased to 32% of deposits from 34% previously. This happened a little sooner than we previously anticipated. Interest-bearing deposit costs increased 64 basis points sequentially, contributing to a cumulative interest-bearing deposit beta of 36% so far in the cycle. Deposit betas accelerated relative to the fourth quarter due to the presence of higher rate alternatives and the previously mentioned shift from noninterest-bearing DDA into interest-bearing products.

比整體存款流量更值得注意的是 DDA 的混合轉變速度，因為無息存款佔存款的比例從之前的 34% 下降到 32%。這比我們之前預期的要早一些。計息存款成本環比增加 64 個基點，導致本週期迄今累計計息存款貝塔係數達到 36%。由於存在更高利率的替代方案以及前面提到的從無息 DDA 向有息產品的轉變，存款貝塔相對於第四季度有所加快。

We'll continue to be attentive to client needs and relationships, while maximizing the value outside of rate paid. Given higher investor interest and additional deposit details, we provided a closer look at our deposit base on Slide 11. Truist has one of the most robust deposit franchises in the banking industry, thanks to 3 key factors.

我們繼續關注客戶的需求和關係，同時最大限度地提高支付率之外的價值。鑑於更高的投資者興趣和額外的存款細節，我們在幻燈片 11 上更仔細地查看了我們的存款基礎。Truist 擁有銀行業最強大的存款特許經營權之一，這要歸功於 3 個關鍵因素。

First, Truist has strong market shares in many of the fastest-growing markets in the U.S. Truist is currently ranked first, second or third in deposit share in 17 of the top 20 markets. Those include cities like Atlanta, Charlotte, D.C., Miami, Tampa, Raleigh-Durham, among others, making us the dominant player in the Southeast and Mid-Atlantic.

首先，Truist 在美國許多增長最快的市場中擁有強大的市場份額。Truist 目前在前 20 大市場中的 17 個中的存款份額排名第一、第二或第三。其中包括亞特蘭大、夏洛特、哥倫比亞特區、邁阿密、坦帕、羅利-達勒姆等城市，使我們成為東南和大西洋中部的主導者。

Second, Truist has a granular retail leading deposit base that is 63% insured and/or collateralized, which is the second highest in our peer group and an important source of stability. In addition, our commercial deposits are diversified across 21 industry groups with no one sector representing more than 10% of corporate and commercial banking deposits.

其次，Truist 擁有精細的零售領先存款基礎，63% 的保險和/或抵押品是我們同行中第二高的，也是穩定的重要來源。此外，我們的商業存款分佈於 21 個行業組別，沒有一個行業佔企業和商業銀行存款的 10% 以上。

Third, we're highly relationship oriented, as you can see from the table at the bottom of the slide. The average deposit account at Truist has been open for 17 years, during which time these relationships have broadened to include multiple products and services.

第三，我們高度以關係為導向，正如您從幻燈片底部的表格中看到的那樣。 Truist 的平均存款賬戶已開設 17 年，在此期間，這些關係已經擴大到包括多種產品和服務。

In retail and small business banking, we have over 12 million deposit accounts with an average account balance of 17,000. [RSPB] deposits are highly granular, and 86% of balances are insured. In addition, Truist is the primary bank for the preponderance of those clients.

在零售和小型企業銀行業務方面，我們擁有超過 1200 萬個存款賬戶，平均賬戶餘額為 17,000 個。 [RSPB] 存款非常精細，86% 的餘額都有保險。此外，Truist 是這些客戶的主要銀行。

In our Wealth business, 90% of the depositors have investments with Truist Wealth and in our Commercial Community Bank, 81% depositors have a payments, lending or advisory relationship with Truist, with the majority of that related to operating treasury management products. Together, these factors are a source of strength for Truist and for our clients.

在我們的財富業務中，90% 的儲戶與 Truist Wealth 進行了投資，而在我們的商業社區銀行中，81% 的儲戶與 Truist 有支付、貸款或諮詢關係，其中大部分與運營資金管理產品有關。總之，這些因素是 Truist 和我們客戶的力量源泉。

So now let me turn it over to Mike to discuss our financial results in more detail.

所以現在讓我把它交給邁克來更詳細地討論我們的財務結果。

Thank you, Bill, and good morning, everyone. I'll begin with net interest income on Slide 12. For the quarter, taxable equivalent net interest income decreased 2.8% sequentially as higher funding costs and 2 fewer days in the quarter more than offset the effects of solid loan growth. Reported net interest margin decreased 8 basis points, while core net interest margin decreased 7 basis points. When you break down the decrease in the core net interest margin, approximately 5 basis points was driven by a shift in the funding mix from DDA and other low-cost deposit products into interest-bearing deposits and about 2 basis points was due to our decision to conservatively carry more liquidity during the last few weeks of March.

謝謝你，比爾，大家早上好。我將從幻燈片 12 的淨利息收入開始。本季度，應稅等值淨利息收入連續下降 2.8%，原因是融資成本增加，本季度減少 2 天，抵消了穩健貸款增長的影響。報告的淨息差下降了 8 個基點，而核心淨息差下降了 7 個基點。當你分解核心淨息差的下降時，大約 5 個基點是由於資金組合從 DDA 和其他低成本存款產品轉向計息存款，大約 2 個基點是由於我們的決定在 3 月的最後幾周保守地增加流動性。

Moving to fee income on Slide 13. Fee income was relatively stable compared to the fourth quarter and modestly exceeded our expectations in light of typical seasonal headwinds. Insurance income increased $47 million, largely due to seasonality. Year-over-year organic revenue growth was 4.7%. Mortgage banking income rose $25 million, primarily due to a gain on sale of a servicing portfolio, which was partially offset by MSR valuation adjustments. Income from core mortgage activity was relatively stable compared to the prior quarter.

轉到幻燈片 13 的費用收入。與第四季度相比，費用收入相對穩定，並且鑑於典型的季節性逆風，略微超出了我們的預期。保險收入增加了 4700 萬美元，這主要是由於季節性因素。有機收入同比增長 4.7%。抵押銀行業務收入增加 2500 萬美元，主要是由於出售服務組合的收益，部分被 MSR 估值調整所抵消。與上一季度相比，來自核心抵押貸款活動的收入相對穩定。

Wealth management income improved $15 million, benefiting from an increase in brokerage commissions, asset flows and higher fees due to rising asset prices during the quarter. Wealth continues to build momentum as net organic asset flows, which exclude the impact of market value changes, were approximately $1 billion for the quarter and have been positive for 7 of the last 8 quarters. In addition, we were pleased by the modest increase in investment banking and trading income, led by strength in investment grade and high-yield bond originations, fixed income derivatives and loan syndications.

財富管理收入增加了 1500 萬美元，這得益於本季度資產價格上漲導致經紀佣金、資產流動和費用增加。財富繼續增長勢頭，因為不包括市場價值變化影響的淨有機資產流量在本季度約為 10 億美元，並且在過去 8 個季度中有 7 個季度為正。此外，我們對投資銀行業務和交易收入的溫和增長感到高興，這主要得益於投資級和高收益債券發行、固定收益衍生品和銀團貸款的強勁增長。

CIB's performance continues to be aided by 2 idiosyncratic factors, strategic hiring over the past 2 years as well as increased integrated relationship management activity. With respect to IRM, capital markets fees from non-CIB clients increased 12% sequentially and were 20% up from first quarter 2022. Other income decreased $56 million, primarily due to lower income from our nonqualified plan. While fee income remains below its potential, our investments in key areas, such as insurance, investment banking and wealth, will continue to be a source of momentum as markets normalize and as our IRM execution continues to mature.

CIB 的業績繼續受到 2 個特殊因素的幫助，即過去 2 年的戰略性招聘以及增加的綜合關係管理活動。在 IRM 方面，來自非 CIB 客戶的資本市場費用環比增長 12%，比 2022 年第一季度增長 20%。其他收入減少 5600 萬美元，主要是由於我們的非合格計劃收入減少。雖然費用收入仍低於其潛力，但隨著市場正常化和我們的 IRM 執行不斷成熟，我們在保險、投資銀行和財富等關鍵領域的投資將繼續成為動力來源。

Turning now to Slide 14. Reported noninterest expense declined $31 million driven by a $107 million reduction in merger costs due to the completion of integration activities and a $27 million decrease in amortization expense. The expense reductions I just described were largely offset by $103 million or a 3% increase in adjusted noninterest expense. Expense drivers included a $39 million increase in pension expense and a $23 million increase in regulatory charges due to higher FDIC premiums. We also experienced a $33 million increase in operating losses, which are reflected in other expense due to industry check fraud issues and then operating loss within Truist Insurance recognized prior to completing our transaction with Stone Point.

現在轉到幻燈片 14。報告的非利息費用減少了 3100 萬美元，這是由於整合活動的完成導致合併成本減少了 1.07 億美元，攤銷費用減少了 2700 萬美元。我剛才描述的費用減少在很大程度上被 1.03 億美元或調整後的非利息費用增加 3% 所抵消。費用驅動因素包括養老金費用增加 3900 萬美元，以及由於 FDIC 保費增加而導致的監管費用增加 2300 萬美元。我們還經歷了 3300 萬美元的營業損失增加，這反映在由於行業支票欺詐問題導致的其他費用以及 Truist Insurance 在完成我們與 Stone Point 的交易之前確認的營業損失。

As a company, we are committed to generating expense reductions and have undertaken a number of actions that help bend the expense arc at Truist. Last week, we announced a strategic realignment within our fixed income sales and trading business in which we discontinued certain market-making activities and services provided by our middle markets fixed income platform. This platform was largely focused on MBS-related sales and trading for depositories and had produced an unattractive ROE. This realignment will result in an approximate $50 million run rate expense save with little PPNR impact and enable us to focus more on our core strategy of being a fulsome and premier investment bank for corporates, sponsors and municipal issuers.

作為一家公司，我們致力於減少開支，並採取了一系列行動來幫助扭轉 Truist 的開支曲線。上週，我們宣布了對固定收益銷售和交易業務的戰略調整，其中我們停止了中間市場固定收益平台提供的某些做市活動和服務。該平台主要專注於與 MBS 相關的存款銷售和交易，產生了不具吸引力的股本回報率。這種調整將導致大約 5000 萬美元的運營費用節省，而 PPNR 影響很小，並使我們能夠更多地關注我們的核心戰略，即成為企業、發起人和市政發行人的一流投資銀行。

We're also in the process of realigning our LightStream platforms with our broader consumer business with the goal of bringing the innovation, digital capabilities, efficiencies and cloud-based infrastructure of LightStream to Truist's broader client base. This will reduce the cost of supporting a separate brand and strategy, enhance the experience and primacy with our existing and prospective clients. In addition, we continue to adjust our capacity and focus in mortgage to reflect current challenging market conditions and our own strategic focus on client primacy.

我們還在重新調整我們的 LightStream 平台與我們更廣泛的消費者業務，目標是將 LightStream 的創新、數字功能、效率和基於雲的基礎架構帶給 Truist 更廣泛的客戶群。這將降低支持獨立品牌和戰略的成本，增強我們現有和潛在客戶的體驗和首要地位。此外，我們繼續調整我們在抵押貸款方面的能力和重點，以反映當前充滿挑戰的市場條件和我們對客戶至上的戰略重點。

These actions, among others, are what drove the $63 million of restructuring charges during the quarter. Furthermore, we've also aligned executive compensation to Truist to shareholder expectations, which I shared with many of you about a month ago. Taken together, we believe these as well as other actions we're taking will increase our focus, bend our expense curve and improve returns for Truist.

除其他外，這些行動推動了本季度 6300 萬美元的重組費用。此外，我們還使 Truist 的高管薪酬與股東期望保持一致，我大約一個月前與你們中的許多人分享了這一點。總而言之，我們相信這些以及我們正在採取的其他行動將增加我們的注意力，彎曲我們的費用曲線並提高 Truist 的回報。

Moving to Slide 15. Asset quality remained strong in the first quarter, reflecting our prudent risk culture and diverse loan portfolio. Leading indicators remain favorable. Loans 30 to 89 days past due decreased 15 basis points sequentially and were down 17 basis points versus the first quarter of 2022. Our NPL ratio was steady at a relatively benign 36 basis points. Net charge-offs increased 3 basis points to 37 basis points, primarily due to C&I and continued normalization in the consumer and are consistent with pre-pandemic levels.

轉到幻燈片 15。第一季度資產質量保持強勁，反映出我們審慎的風險文化和多樣化的貸款組合。領先指標仍然有利。逾期 30 至 89 天的貸款環比下降 15 個基點，與 2022 年第一季度相比下降 17 個基點。我們的不良貸款率穩定在相對溫和的 36 個基點。淨註銷增加 3 個基點至 37 個基點，這主要是由於 C&I 和消費者的持續正常化，並且與大流行前的水平一致。

We became even more cautious in our outlook regarding CRE fundamentals. And in light of increased economic uncertainty, we prudently increased our allowance by $102 million and increased our ALLL ratio by 3 basis points to 1.37%. In anticipation of an increasing risk environment, we are also tightening credit and reducing our risk appetite in selected areas, while maintaining our through-the-cycle approach for high-quality, long-term clients.

我們對 CRE 基本面的展望變得更加謹慎。鑑於經濟不確定性增加，我們謹慎地將準備金增加了 1.02 億美元，並將我們的 ALLL 比率提高了 3 個基點至 1.37%。預計風險環境將不斷增加，我們還在特定領域收緊信貸並降低我們的風險偏好，同時保持我們針對高質量、長期客戶的全週期方法。

Next, given high investor interest, I will dive deeper into CRE on Slide 16. As we began the integration process to become Truist, we were very intentional about retaining the diversification benefits of the merger. To achieve this outcome, we carefully evaluated our various portfolios, including CRE, to ensure we fully understood their combined risk profile and to establish how we would manage them going forward. While we did not wholly pause CRE production during this process, we did deemphasize it until we aligned on a single go-to-market strategy.

接下來，鑑於投資者的高興趣，我將在幻燈片 16 上更深入地研究 CRE。當我們開始整合過程以成為 Truist 時，我們非常有意保留合併帶來的多元化收益。為實現這一結果，我們仔細評估了我們的各種投資組合，包括 CRE，以確保我們充分了解它們的綜合風險狀況，並確定我們將如何管理它們。雖然在此過程中我們沒有完全暫停 CRE 生產，但我們確實不再強調它，直到我們統一了一個單一的上市戰略。

As a result of this decision, Truist CRE portfolio actually decreased by 2.2% from the end of 2019 to the end of 2022, whereas our median peer grew CRE 21%. Our disciplined focus on diversification has also resulted in less CRE concentration and risk relative to our peer group. At year-end, CRE represented 11% of our loan mix compared to 12% at our median peer and the office segment comprised 1.6% of our loan book versus 1.9% at our median peer.

由於這一決定，Truist CRE 投資組合從 2019 年底到 2022 年底實際下降了 2.2%，而我們的同行中值 CRE 增長了 21%。我們對多元化的嚴格關注也導致相對於我們的同行集團而言，CRE 的集中度和風險較低。年底時，CRE 占我們貸款組合的 11%，而我們的中位同行為 12%，辦公樓部分占我們貸款賬簿的 1.6%，而我們的中位同行為 1.9%。

We maintain a high-quality CRE portfolio through disciplined risk management and prudent client selection. We typically work with developers and sponsors we know well and have observed their performance through the cycle. Our exposure tends to be large CRE with strong institutional sponsorship, and we have reduced our exposure to smaller CRE. The quality of our CRE portfolio is also reflected in the Federal Reserve's annual stress test results.

我們通過嚴格的風險管理和謹慎的客戶選擇來維持高質量的 CRE 投資組合。我們通常與我們熟悉的開發商和讚助商合作，並觀察他們在整個週期中的表現。我們的風險敞口往往是擁有強大機構贊助的大型 CRE，並且我們減少了對較小 CRE 的風險敞口。我們 CRE 投資組合的質量也反映在美聯儲的年度壓力測試結果中。

Our disciplined approach to CRE is reflected in our asset quality metrics, which remain solid. In the lower right, you can see a snapshot of our office portfolio, which had approximately $5 billion in outstanding balances as of March 31 and another area where Truist has been risk averse and highly selective over the past 2 years. Our office portfolio tends to be weighted towards Class A properties within our footprint, which we believe will perform better than large urban markets.

我們對 CRE 的嚴謹態度反映在我們的資產質量指標中，這些指標仍然穩健。在右下角，您可以看到我們辦公室投資組合的快照，截至 3 月 31 日，該投資組合的未清餘額約為 50 億美元，而 Truist 在過去 2 年中一直規避風險和高度選擇性。我們的寫字樓投資組合傾向於在我們的足跡內偏重 A 級物業，我們相信這些物業的表現將優於大型城市市場。

We have a great CRE team that is very proactive in working with clients to get ahead of any problems. Criticized trends have increased over the past few months, but we believe overall problems will be manageable given our conservative LTVs, our reserves and the laddered maturity profile of the portfolio.

我們擁有一支優秀的 CRE 團隊，他們非常積極主動地與客戶合作，以解決任何問題。在過去的幾個月裡，受到批評的趨勢有所增加，但我們認為，鑑於我們保守的 LTV、我們的儲備和投資組合的階梯式成熟度，總體問題將是可控的。

Turning to capital and liquidity on Slide 17. Our CET1 ratio increased from 9% to 9.1% as approximately 20 basis points of organic capital generation was partially offset by 12 basis points of CECL phase-in. While not included in our CET1 ratio, AOCI improved by $1 billion from December 31 to March 31. Of our $12.6 billion of after-tax OCI, as of March 31, $8.5 billion is related to our AFS portfolio, $2.5 billion is related to the frozen portion of the HTM portfolio and $1.5 billion is related to our pension plan. We would expect the securities portfolio related OCI to decrease by $2 billion to $2.5 billion by the end of 2024 or by approximately 20%, and that's in a static rate environment.

轉向幻燈片 17 的資本和流動性。我們的 CET1 比率從 9% 增加到 9.1%，因為有機資本產生的大約 20 個基點被 CECL 分階段的 12 個基點部分抵消。雖然不包括在我們的 CET1 比率中，但 AOCI 從 12 月 31 日到 3 月 31 日增加了 10 億美元。截至 3 月 31 日，在我們 126 億美元的稅後 OCI 中，85 億美元與我們的 AFS 投資組合相關，25 億美元與HTM 投資組合的凍結部分和 15 億美元與我們的養老金計劃有關。我們預計到 2024 年底，與證券投資組合相關的 OCI 將減少 20 億美元至 25 億美元，或減少約 20%，而且這是在靜態利率環境中。

In addition, this accretion will be a powerful driver of higher tangible book value per share over time, a small glimpse of which we saw this past quarter with tangible book value increasing 8%. On April 3, we also closed on the sale of a 20% minority stake in Truist Insurance Holdings, which added approximately 30 basis points to our capital ratios and provides flexibility in the future. Additionally, we declared a strong common dividend of $0.52 per share, which was paid on March 1.

此外，隨著時間的推移，這種增長將成為每股有形賬面價值更高的強大驅動力，我們在上個季度看到了這一點，有形賬面價值增長了 8%。 4 月 3 日，我們還完成了 Truist Insurance Holdings 20% 少數股權的出售，這使我們的資本比率增加了約 30 個基點，並為未來提供了靈活性。此外，我們還宣布了每股 0.52 美元的強勁普通股息，該股息已於 3 月 1 日支付。

Finally, Truist continues to have significant access to liquidity and a very robust liquidity managed process that includes internal and external stress testing as well as real-time monitoring of our liquidity position. Our average consolidated LCR improved 113% during the first quarter and remains well above the regulatory minimum of 100%. We have access to approximately $166 billion of liquidity, including cash, FHLB borrowing capacity, unpledged securities and discount window capacity. As a reminder, government and agency obligations represent 97% of our securities portfolio, which produces about $2.5 billion to $3 billion of cash flow per quarter.

最後，Truist 繼續擁有重要的流動性渠道和非常強大的流動性管理流程，包括內部和外部壓力測試以及對我們流動性頭寸的實時監控。我們的平均合併 LCR 在第一季度提高了 113%，並且仍然遠高於 100% 的監管最低值。我們可以獲得大約 1660 億美元的流動性，包括現金、FHLB 借款能力、未抵押證券和貼現窗口能力。提醒一下，政府和機構債務占我們證券投資組合的 97%，每季度產生約 25 億至 30 億美元的現金流。

During the quarter, we conservatively increased our cash position from $16 billion as of December 31 to $33 billion at the end of March, funded largely by callable FHLB advances and would expect that to somewhat normalize going forward given that activity has stabilized. More broadly, we do expect regulatory requirements around capital and liquidity to heighten, but believe we're in a strong position to respond given the already high expectations for an institution of our size, the strategic and financial flexibility we have as a company in the orderly phase-in period that would likely accompany potential changes.

在本季度，我們保守地將現金頭寸從 12 月 31 日的 160 億美元增加到 3 月底的 330 億美元，主要由可贖回的 FHLB 預付款提供資金，並且鑑於活動已經穩定，預計未來會有所正常化。更廣泛地說，我們確實預計有關資本和流動性的監管要求會提高，但我們相信我們有能力做出回應，因為對我們這樣規模的機構已經抱有很高的期望，我們作為一家公司在可能伴隨潛在變化的有序逐步實施期。

Now I will review our updated guidance on Slide 18. Looking into the second quarter of 2023, we expect revenues to be relatively stable compared to the first quarter as a modest decline in NII is offset by seasonally stronger insurance revenue. Adjusted expenses are anticipated to increase 1% to 2% linked quarter primarily as a result of higher incentive-based compensation from insurance revenue growth.

現在我將回顧我們對幻燈片 18 的更新指導。展望 2023 年第二季度，我們預計收入與第一季度相比將相對穩定，因為 NII 的適度下降被季節性強勁的保險收入所抵消。調整後的費用預計將增加 1% 至 2%，這主要是由於保險收入增長帶來的更高的基於激勵的補償。

For the full year 2023, we now expect revenues to increase 5% to 7% compared to 2022. The decline from our previous outlook is driven almost entirely by a lower net interest income outlook given higher deposit and funding costs. Adjusted expenses are still expected to increase between 5% and 7%. As I indicated earlier, we remain focused on taking actions throughout the year to reduce costs.

對於 2023 年全年，我們現在預計收入將比 2022 年增長 5% 至 7%。我們之前的預期下降幾乎完全是由於存款和融資成本較高導致淨利息收入前景下降。調整後的費用預計仍將增長 5% 至 7%。正如我之前指出的那樣，我們仍然專注於全年採取行動來降低成本。

Excluded from our adjusted expense outlook are 2 items. First, we are not including the impact of any potential incremental FDIC surcharge or assessment. After we receive clarity, we'll provide an update on estimated impact. Secondly, there will be some onetime costs occurring in 2023 and 2024 tied to preparing Truist Insurance Holdings to transition its operating model to be more independent, which is consistent with its new capital structure. These expenses directly correlate to realizing significant value in the business over time.

我們調整後的費用前景不包括 2 個項目。首先，我們不包括任何潛在的增量 FDIC 附加費或評估的影響。在我們收到明確信息後，我們將提供有關估計影響的最新信息。其次，2023 年和 2024 年將發生一些一次性成本，這些成本與準備 Truist Insurance Holdings 將其運營模式轉變為更加獨立相關，這與其新的資本結構一致。隨著時間的推移，這些費用與實現業務的重大價值直接相關。

We will not adjust for these expenses in our results, but we will provide transparency. Our goal is still to produce positive operating leverage and positive adjusted PPNR growth for the full year, excluding these 2 items. The degree of difficulty has increased relative to January given higher funding costs. Our expectations for the net charge-off ratio to be between 35 basis points for the full year is unchanged.

我們不會在結果中針對這些費用進行調整，但我們會提供透明度。我們的目標仍然是在全年產生積極的經營槓桿和積極的調整後 PPNR 增長，不包括這 2 個項目。鑑於更高的資金成本，難度相對於 1 月份有所增加。我們對全年淨註銷率在 35 個基點之間的預期保持不變。

Lastly, excluding discrete items, we now expect our effective tax rate will be approximately 20%, which translates to approximately 22% on a taxable equivalent basis due to our adoption of recent accounting guidance regarding the amortization of new market tax credits. This change simply shifts contra revenue and other income to the tax expense line and has no impact on the bottom line.

最後，不包括離散項目，我們現在預計我們的有效稅率約為 20%，由於我們採用了最近關於新市場稅收抵免攤銷的會計指南，因此在應稅等價基礎上轉化為約 22%。這一變化只是將對沖收入和其他收入轉移到稅收支出線，對底線沒有影響。

Now I'll hand it back to Bill for some final remarks.

現在我將把它交還給 Bill，請他作最後的評論。

Great. Thanks, Mike. So to conclude on Slide 19, Truist is on the right path. And I'm highly optimistic about our ability to realize our significant post-integration potential as summarized in our investment thesis. Our goal financially is to produce strong growth and profitability and to do so with less volatility than our peers.

偉大的。謝謝，邁克。因此，總結幻燈片 19，Truist 走在正確的道路上。我對我們實現投資論文中總結的重要整合後潛力的能力非常樂觀。我們的財務目標是產生強勁的增長和盈利能力，並且比我們的同行波動性更小。

As we began to shift from integrating to operating several quarters ago, we also made a strategic decision to focus our resources on areas where we have an advantage in the marketplace and are most synergistic with our core strengths. Since that time, we focus on product solutions and distinctive experiences that are most relevant to our primary consumer and deposit households into our commercial, corporate and high net worth clients, while reducing our investment in businesses and clients that are less strategically relevant with respect to returns and relationship opportunities.

當我們在幾個季度前開始從整合轉向運營時，我們還做出了一項戰略決策，將我們的資源集中在我們在市場上具有優勢並且與我們的核心優勢最協同的領域。從那時起，我們專注於與我們的主要消費者最相關的產品解決方案和獨特體驗，並將家庭存入我們的商業、企業和高淨值客戶，同時減少我們對戰略相關性較低的企業和客戶的投資回報和關係機會。

We believe these changes are consistent with where the banking industry is likely to go from here. We're already realizing the early benefits of this shift. For instance, first quarter net new consumer checking account production was among the best we've seen since becoming Truist. Driven by our continued focus on core deposit clients, the attractiveness of new products, including Truist One and improve retention as well as [right to] quality. Branch checking account production has increased 13% since the launch of Trust One and, as I said earlier, has accelerated up to 18% compared to a year ago in the first quarter.

我們認為這些變化與銀行業可能的發展方向一致。我們已經意識到這種轉變的早期好處。例如，第一季度淨新消費者支票賬戶生產是我們成為 Truist 以來見過的最好的。在我們持續關注核心存款客戶、包括 Truist One 在內的新產品的吸引力的推動下，我們提高了保留率和 [right to] 質量。自 Trust One 推出以來，分行支票賬戶產量增長了 13%，正如我之前所說，第一季度與一年前相比增長了 18%。

The steady improvement we've seen in client satisfaction has been driven by the distinct service our branch and care agents provide as well as improvements in our digital processes and procedures that originated in our client [journey rooms]. As I indicated earlier, I'm really proud to care of our teammates -- care our teammates provided to our clients in March, and this is reflected in higher Voice of the Client scores during the last few weeks of the quarter.

我們看到客戶滿意度的穩步提高，這得益於我們的分支機構和護理代理提供的獨特服務，以及源自我們客戶 [journey rooms] 的數字流程和程序的改進。正如我之前指出的那樣，我真的很自豪能夠關心我們的隊友——關心我們的隊友在 3 月份為我們的客戶提供的服務，這反映在本季度最後幾週客戶的聲音得分更高。

Lastly, we continue to advance our integrated relationship management program by establishing long-term growth targets for our most strategic IRM partnerships, details of which I shared in December. Relative to the first quarter of last year, these strategic partnerships have grown revenues by 35%. At the same time, we acknowledge that the environment is tougher and strong balance sheet and expense management will remain critical for our stakeholders.

最後，我們通過為我們最具戰略意義的 IRM 合作夥伴關係制定長期增長目標，繼續推進我們的綜合關係管理計劃，我在 12 月分享了詳細信息。與去年第一季度相比，這些戰略合作夥伴的收入增長了 35%。與此同時，我們承認環境更加艱難，強大的資產負債表和費用管理對我們的利益相關者仍然至關重要。

In closing, while uncertainty has increased, Truist is in a position of strength across a broad range of outcomes because of our diverse business mix, dynamic markets, [conservative culture], balanced approach to interest rate risk management, strong profitability profile and our strong risk-adjusted capital position. I am truly optimistic about the future of Truist as our more than 50,000 talented teammates build on our momentum to create distinctive client experiences and deliver on our purpose to inspire and build better lives and communities.

最後，雖然不確定性有所增加，但由於我們多元化的業務組合、充滿活力的市場、[保守的文化]、平衡的利率風險管理方法、強大的盈利能力以及我們強大的實力，Truist 在廣泛的成果中處於優勢地位風險調整後的資本狀況。我對 Truist 的未來非常樂觀，因為我們超過 50,000 名才華橫溢的團隊成員以我們的動力為基礎，創造獨特的客戶體驗，並實現我們的目標，以激發和建設更美好的生活和社區。

So with that, Ankur, let me turn it back over to you for Q&A.

因此，Ankur，讓我把它轉回給你進行問答。

Great. Thank you, Bill. Ally, at this time, will you explain to our listeners how they can participate in the Q&A session? As you do that, I'd like to ask the participants to limit yourselves to 1 primary question and 1 follow-up so that we can accommodate as many of you as possible today.

偉大的。謝謝你，比爾。 Ally，這個時候，你能給我們的聽眾解釋一下他們如何參與問答環節嗎？當你這樣做時，我想請參與者將自己限制在 1 個主要問題和 1 個後續問題，以便我們今天可以容納盡可能多的人。

(Operator Instructions) And we'll go ahead and take our first question from Ken Usdin with Jefferies.

（操作員說明）我們將繼續與 Jefferies 一起回答 Ken Usdin 的第一個問題。

Just wanted to start just on the deposit front, good color you gave in terms of the relationships. You mentioned in the deck that end of period was down 2%, and some of that was seasonal. So just wondering if you can give us a little bit more color on just how you saw deposits end the quarter, if you've seen stabilization and what kind of outlook you just see for the flow and mix of deposits from here?

只是想從存款方面開始，你在人際關係方面給了很好的色彩。你在牌組中提到期末下降了 2%，其中一些是季節性的。所以只是想知道你是否可以給我們更多關於你如何看到存款結束季度的顏色，如果你看到穩定以及你剛剛看到什麼樣的前景來自這裡的存款流量和組合？

Ken, it's Mike. That's right. We saw really throughout the course of the quarter, relatively stable flows. Actually, if you think about sort of where we saw our balances evolve throughout the first 2 months of the quarter, very typical. We saw some seasonal outflows related to public funds. We saw the expected impact of qualitative tightening, which we've seen throughout the previous couple of quarters. And so we're probably down about 1% or so.

肯，是邁克。這是正確的。在整個季度中，我們確實看到了相對穩定的流量。實際上，如果您考慮一下我們在本季度前 2 個月看到的餘額變化情況，這非常典型。我們看到一些與公共資金相關的季節性資金流出。我們看到了質量緊縮的預期影響，我們在前幾個季度都看到了這種影響。所以我們可能下降了大約 1% 左右。

And then in the last month of the quarter, we really saw continued public fund outflows. We saw a little bit of higher rate pursuant behavior. We saw people cycling into money market accounts to a higher extent. We saw some of our wealth clients cycle into investment accounts and ended down about 2% for the quarter. I'd say the bulk of the money in movement happened during that week that Bill mentioned in our opening remarks.

然後在本季度的最後一個月，我們確實看到了持續的公共資金流出。我們看到了更高的行為率。我們看到人們在更大程度上循環進入貨幣市場賬戶。我們看到我們的一些財富客戶循環進入投資賬戶，並在本季度結束時下跌約 2%。我想說大部分資金流動發生在比爾在我們開場白中提到的那一周。

As far as outlook is concerned, it's been business as usual and steady since really that first week in March. And our expectation, frankly, is that the impacts that were driving some pressure in the fourth quarter and the first 2/3 of the first quarter, will continue to put pressure on deposits, probably to the tune of 1% to 2%.

就前景而言，自 3 月的第一周以來，一切如常且穩定。坦率地說，我們的預期是，在第四季度和第一季度前 2/3 造成一定壓力的影響將繼續對存款造成壓力，可能達到 1% 至 2%。

Okay. And just my follow-up is just then what about that mix? And what -- how do you expect that mix of DDAs to total as there's more cycling of that? I think you're down to about 32% in the first quarter. What do you think? You had previously said you thought you could approach that [30%] over time. Has that view changed at all given what's happened?

好的。只是我的後續行動就是那個組合呢？什麼——隨著循環次數的增加，您如何期望 DDA 的總和？我認為你在第一季度下降到大約 32%。你怎麼認為？你之前曾說過你認為隨著時間的推移你可以接近那個 [30%]。考慮到發生的事情，這種觀點是否完全改變了？

Yes. Ken, it's Bill. We're -- pre-Covid, we were sort of at 29%. As you mentioned, we're right 32% now. We're going to clearly migrate down to that high 20s. And sort of depending upon where rates are, I think that sort of is the stabilization level as based upon what we know right now. And just to add to what Mike said as well, and continue to just focus on the positive side of the retail deposit production, I just expect that engine to continue. So while sort of on balance, we might be down flattish to down 1 or so percent, that includes a really good positive production momentum we have in our core franchise.

是的。肯，是比爾。我們——在 Covid 之前，我們的比例大約為 29%。正如你提到的，我們現在是 32%。我們將清楚地遷移到那個高的 20 多歲。並且取決於利率在哪裡，我認為這就是基於我們現在所知道的穩定水平。只是為了補充 Mike 所說的話，並繼續專注於零售存款生產的積極方面，我只希望該引擎能夠繼續。因此，雖然總的來說，我們可能會持平下降 1% 左右，這包括我們在核心特許經營中擁有的非常好的積極生產勢頭。

We'll move on to our next question from Betsy Graseck with Morgan Stanley.

我們將繼續 Betsy Graseck 與摩根士丹利的下一個問題。

This is Blake Netter, on the line for Betsy. I'm wondering if you could talk about how you're thinking about the potential impact of tougher LCR requirements and [TLAC]. These changes are expected to be announced in the near future. How -- and how should we think about your debt issuance plans and other potential impacts?

我是 Blake Netter，為 Betsy 接聽電話。我想知道您是否可以談談您如何看待更嚴格的 LCR 要求和 [TLAC] 的潛在影響。這些變化預計將在不久的將來公佈。如何——以及我們應該如何考慮你的債務發行計劃和其他潛在影響？

Sure. I'd say from a TLAC perspective, this is something that we've had our eyes on for a number of quarters that the entire industry has, certainly, companies our size. We've studied the framework. We've previously probably were considering tailored versions of TLAC, perhaps that will ultimately be the case. But in the abundance of caution, the framework that we've assessed is sort of a traditionally applied framework, the same that the largest banks in the country have applied.

當然。我想說，從 TLAC 的角度來看，這是我們幾個季度以來一直關注的事情，整個行業當然都有我們規模的公司。我們研究了框架。我們之前可能一直在考慮 TLAC 的定製版本，也許最終會是這樣。但出於謹慎考慮，我們評估的框架是一種傳統應用框架，與該國最大的銀行所應用的框架相同。

And from our perspective, our regular way issuance, certainly given some reasonable phase-in period will allow Truist to comply really without much effort. And so to your question around debt issuance, we -- you saw we raised $3 billion in January. Our expectation given Truist's scale and funding needs and perspective is that we'll be a relatively regular issuer. And to the extent that we get a better sense for what's eligible and not eligible from a TLAC perspective, that may influence how we issue whether it's at the holding company or the opco. But I think the net of it is that we feel really well prepared and positioned to comply with TLAC to the extent that that's applied to Truist.

從我們的角度來看，我們的常規發行方式，當然，在一定的合理階段內，將使 Truist 能夠毫不費力地遵守規定。所以關於你關於債務發行的問題，我們 - 你看到我們在 1 月份籌集了 30 億美元。鑑於 Truist 的規模、資金需求和觀點，我們的預期是我們將成為一個相對定期的發行人。從 TLAC 的角度來看，如果我們更好地了解什麼是合格的，什麼是不合格的，這可能會影響我們如何發行它是在控股公司還是在 opco。但我認為，總而言之，我們真的做好了充分的準備，並準備好在適用於 Truist 的範圍內遵守 TLAC。

Got it. And separately, just 1 real question for me. Service charges on deposits came down a bit sequentially this quarter. Can you talk about the potential for overdraft fees to get even lower from here?

知道了。另外，對我來說只有 1 個真正的問題。本季度存款服務費環比有所下降。你能談談透支費用從這裡變得更低的可能性嗎？

Yes, they're going to continue to get lower like we instituted our Truist One, which is sort of a big part of the deposit generation and new client acquisition, but it's also our no overdraft fee accounts. So those will continue to [drift] lower. And those are in all of our guidance and everything that we talked about. And they're basically right on path to where we thought they'd be.

是的，它們將繼續降低，就像我們建立我們的 Truist One 一樣，這是存款生成和新客戶獲取的重要組成部分，但它也是我們的無透支費用賬戶。所以那些將繼續[漂移]走低。這些都在我們的所有指南和我們談論的一切中。他們基本上正朝著我們認為的方向前進。

We'll take our next question from John Pancari with Evercore ISI.

我們將接受來自 Evercore ISI 的 John Pancari 的下一個問題。

On the -- back to the deposit growth expectation, I just want to confirm that on 1% to 2%, is that on end-of-period balances and debt for the full year, your expectation?

關於 - 回到存款增長預期，我只想確認 1% 到 2%，是你對全年期末餘額和債務的預期嗎？

Yes. That's a quarterly view. And I'm not sure that's going to sort of be linear in its progression. If we think about just the impact of qualitative tightening and some of the work that we've done and certainly prior to this first quarter was just getting a sense for our share of the easing and how that may impact our share of the tightening. And so that 1% to 2% is reflective of QT continuing on a quarterly basis, and it's also reflective of, frankly, is the rate environment that we're in as people continue to assess bank alternative products, where perhaps higher rates or investment products are an alternative. But that's a quarterly view.

是的。這是季度視圖。而且我不確定它的進展會是線性的。如果我們只考慮定性緊縮的影響以及我們所做的一些工作，當然在第一季度之前，我們只是了解我們在寬鬆政策中所佔的份額，以及這可能如何影響我們在緊縮中所佔的份額。因此，1% 到 2% 反映了 QT 繼續按季度進行，坦率地說，它也反映了我們所處的利率環境，因為人們繼續評估銀行替代產品，其中可能有更高的利率或投資產品是替代品。但這是一個季度的觀點。

Okay. Got it, Mike. And then separately, also on the margin and deposit dynamics. Can you maybe talk to us about how you see this playing out in terms of net interest margin, margin project -- progression from here? And then also, what do you expect is a fair through-cycle deposit beta. I know you're currently at 36%. And I want to get your thoughts there.

好的。明白了，邁克。然後分別是保證金和存款動態。你能不能和我們談談你如何看待淨息差、保證金項目——從這裡開始的進展？然後，您期望的是公平的全週期存款貝塔。我知道你目前是 36%。我想讓你的想法在那裡。

Sure. Maybe just -- and we mentioned in our prepared remarks, our net interest margin in the first quarter, we were down on a reported basis, about 8 basis points, and that really had 2 primary drivers. The first was we also mentioned that we have a little bit more liquidity on the balance sheet. That was something that we made the decision to do sort of in the abundance of caution.

當然。也許只是 - 我們在準備好的評論中提到，我們第一季度的淨息差，我們在報告的基礎上下降了大約 8 個基點，這確實有 2 個主要驅動因素。首先是我們還提到我們的資產負債表上有更多的流動性。這是我們出於謹慎考慮做出的決定。

And so while that doesn't really have an impact on NII because there's very sort of de minimis negative carry relative to the funding cost there, it did swell the size of the balance sheet a bit. So the denominator impact drove about 2 basis points of net interest margin decline. And then we also had just the overall funding mix shift, which probably drove the bulk of the rest. There's also a basis point in there for PAA.

因此，雖然這對 NII 沒有真正的影響，因為相對於那裡的融資成本，存在非常微量的負利差，但它確實稍微擴大了資產負債表的規模。因此，分母影響導致淨息差下降約 2 個基點。然後我們還進行了整體資金組合轉變，這可能推動了其餘大部分。 PAA 也有一個基點。

Those same factors that drove our NIM down 8 basis points in the first quarter exist in the second quarter as well. Perhaps to -- and to some extent, in terms of the behaviors, maybe it will be a little bit more modest, but you also have to quarterize some of those impacts. And so our expectation is that NIM probably has downside of another, call it, dozen basis points in the second quarter.

導致我們的 NIM 在第一季度下降 8 個基點的相同因素在第二季度也存在。也許——在某種程度上，就行為而言，它可能會更溫和一些，但你也必須將其中一些影響四分之一。因此，我們的預期是 NIM 在第二季度可能有另一個下行空間，稱之為十幾個基點。

As far as the second half, probably have a more stable outlook for the NIM. There's -- we've mentioned before that we've sort of intentionally approached a more neutral kind of rate sensitivity position, but I think beyond that, it's really going to depend on some of these other factors. The betas, the mix that Bill just talked about on the DDA side, whether or not we see credit spreads widen as an example, is a factor, too. The beta that we have in our assumption around NII and NIM, you mentioned we're at 36% today. That until now, we've been exceeding our expectations. This was the first quarter where we performed a little worse than we expected. Our spot beta today on an IBD basis is 40%. We expect that to migrate to the low 40s for the full second quarter, and we have a terminal outlook of 44%.

就下半年而言，NIM 的前景可能更為穩定。有 - 我們之前提到過，我們有意接近一種更中性的利率敏感度位置，但我認為除此之外，它實際上將取決於其他一些因素。貝塔，比爾剛剛在 DDA 方面談到的混合，無論我們是否將信用利差擴大作為一個例子，也是一個因素。我們在 NII 和 NIM 周圍假設的 Beta，你提到我們今天是 36%。到目前為止，我們一直超出預期。這是第一季度，我們的表現比我們預期的要差一些。我們今天在 IBD 基礎上的現貨貝塔是 40%。我們預計整個第二季度將降至 40 多歲的低位，我們的終端前景為 44%。

Our next question comes from Mike Mayo with Wells Fargo Securities.

我們的下一個問題來自富國銀行證券公司的 Mike Mayo。

I am not sure if should keep pushing that [Corvette] analogy here, but it just looks like the fuel efficiency isn't quite as good. I don't know if you put diesel fuel in the Corvette by mistake or what, but you closed 117 branches in the first quarter, so that should be good. You're getting other merger benefits. You've completed the integration phase and you guide for 5% to 7% revenue growth, which is decent, but also 5% to 7% expense growth.

我不確定是否應該在這裡繼續使用 [Corvette] 類比，但看起來燃油效率並不是那麼好。我不知道你是不是把柴油錯誤地加進了克爾維特，但你在第一季度關閉了 117 家分支機構，所以這應該是好的。您將獲得其他合併收益。你已經完成了整合階段，你指導收入增長 5% 到 7%，這是不錯的，但也有 5% 到 7% 的費用增長。

And isn't this the time when you go back to your management team and say, hey, we're getting more cautious on lending as you indicated. And we need to tighten some of this expense spend. And I get some of the expenses are FDIC and pension, minimum wage, but that's true at some of your peers, which are looking for positive operating leverage. I know you said positive operating leverage at least, but then you have 5% to 7% higher both for revenues and expenses. So just give a little bit more color about the efficiency of Truist as you transition from integration to growth.

這不是你回到你的管理團隊並說，嘿，正如你所指出的那樣，我們對貸款越來越謹慎。我們需要收緊部分費用支出。我得到的一些費用是 FDIC 和養老金、最低工資，但在你的一些同行中確實如此，他們正在尋找積極的經營槓桿。我知道你至少說過積極的經營槓桿，但你的收入和支出都高出 5% 到 7%。因此，當您從集成過渡到增長時，只需多說一點 Truist 的效率。

Right. And Mike, I'm going to spare from the Corvette analogies. I just try to sort of go right at it. As Mike said, I mean, we're really -- we're going to continue to focus on positive operating leverage. The revenue guidance is really an NII guidance issue. Our continued focus on insurance, investment banking, all the other things that comprise that, we're still very confident of. And hopefully, if markets really improve in the second half of the year, might even have some upside.

正確的。邁克，我將不再使用克爾維特的類比。我只是嘗試著手去做。正如邁克所說，我的意思是，我們真的 - 我們將繼續專注於積極的運營槓桿。收入指導實際上是一個 NII 指導問題。我們繼續專注於保險、投資銀行業務以及所有其他相關領域，我們仍然非常有信心。希望如果下半年市場真的好轉，甚至可能會有一些上行空間。

But your point on the expense side is exactly right. I mean, we have call it, 4% or so, sort of embedded in the categories that you talked about. So the ability to manage is in that other component of that. And trust me, every business leader has a positive operating leverage plan, and they are readjusting those plans based on particularly those that have an NII component to their plans and the things that they can do.

但你在費用方面的觀點是完全正確的。我的意思是，我們稱它為 4% 左右，有點嵌入到您談到的類別中。因此，管理能力就在其中的另一個組成部分。相信我，每個企業領導者都有一個積極的運營槓桿計劃，他們正在重新調整這些計劃，特別是那些在他們的計劃中有 NII 組成部分的計劃和他們可以做的事情。

You saw already this quarter, things that we're doing that are more reflective of the strategy you talked about the realignment of fixed income, consolidation of LightStream. I mean in the past, these might have been things that sort of would have been off the table. Now they're firmly on the table like everything else as it relates to expenses. We'll do more work in the mortgage area, all the things with spans and layers, real estate, digitization, automation, all that is firmly on the table and a clear focus for us as we move into the rest of this year with a keen focus and eye on positive operating leverage.

你已經在本季度看到，我們正在做的事情更多地反映了你談到的固定收益調整、LightStream 整合的戰略。我的意思是，在過去，這些可能會被排除在外。現在他們像其他與費用相關的事情一樣被牢牢地擺在桌面上。我們將在抵押貸款領域做更多的工作，所有具有跨度和層次的事情、房地產、數字化、自動化，所有這些都擺在桌面上，並且在我們進入今年剩餘時間時明確關注敏銳地關注並關注積極的經營槓桿。

Okay. And then 1 separate question. Do you plan to rebrand LightStream to Truist? And if so, does that mean you're going to have more of a national branding strategy. And it's interesting, you're in the Southeast, Mid-Atlantic with Truist. You go outside the region with the different brands. So I'm just trying to reconcile your brand names.

好的。然後是 1 個單獨的問題。您打算將 LightStream 更名為 Truist 嗎？如果是這樣，是否意味著您將擁有更多的國家品牌戰略。有趣的是，你和 Truist 在大西洋中部的東南部。您帶著不同的品牌走出該地區。所以我只是想調和你的品牌名稱。

Yes, really sort of sail the way around actually. So we really -- we're going to eventually wind down the LightStream brand and increase the Truist side of that. We created LightStream for completely different reasons that don't really exist today as it relates to Truist. So we've got this incredible franchise, incredible market, really good digital capabilities. And what we're doing now is say, let's bring all those digital capabilities, really fast turnaround times, incredible Net Promoter Scores with LightStream to all the Truist client base.

是的，實際上真的有點繞路。所以我們真的 - 我們最終會結束 LightStream 品牌並增加它的 Truist 方面。我們出於完全不同的原因創建了 LightStream，這些原因在今天並不存在，因為它與 Truist 相關。因此，我們擁有令人難以置信的特許經營權、令人難以置信的市場和非常好的數字能力。我們現在正在做的是，讓我們將所有這些數字功能、真正快速的周轉時間、令人難以置信的 Net Promoter Scores 與 LightStream 一起帶給所有 Truist 客戶群。

So the emphasis will be on the Truist client base and then also with partnerships that are Truist clients rather than sort of this national brands. So I'm pleased with what we did. I think we did all the right things. We created this really cool capability. But to the comment I made earlier, we are also supporting a separate brand, and that has a lot of expense associated with it. There's a lot of marketing and other things with that. And we're having incredible success with the Truist brand. So we want to bring it under that umbrella, create some more efficiencies from an expense standpoint and then I think accelerate from a revenue standpoint and penetrating and further cementing these incredible deposit relationships we have.

因此，重點將放在 Truist 客戶群上，然後是與 Truist 客戶的合作夥伴關係，而不是這種民族品牌。所以我對我們所做的很滿意。我認為我們做了所有正確的事情。我們創造了這個非常酷的功能。但對於我之前發表的評論，我們還支持一個單獨的品牌，並且與之相關的費用很高。有很多營銷和其他東西。我們在 Truist 品牌上取得了令人難以置信的成功。所以我們想把它放在那個保護傘下，從費用的角度創造更多的效率，然後我認為從收入的角度加速並滲透並進一步鞏固我們擁有的這些令人難以置信的存款關係。

Our next question will come from Ebrahim Poonawala with Bank of America.

我們的下一個問題將來自美國銀行的 Ebrahim Poonawala。

Ebrahim, are you on mute.

易卜拉欣，你靜音了嗎？

Ally, maybe we just shift to the next person.

Ally，也許我們只是轉移到下一個人。

And our next question will come from Erika Najarian with UBS.

我們的下一個問題將來自瑞銀的 Erika Najarian。

You're anticipating tighter capital and liquidity standards. And Bill, as you think about growing your capital from here, your starting point is 9.1%. Do you feel like the build is now closer to 9.5% and 10% as you anticipate higher capital and liquidity standards. And if so, how should we think about your plans for dividend growth? I suspect that buybacks would be lowest priority? And also, is there some RWA mitigation that you could do in order to perhaps speed up that 20 basis points of organic capital generation.

您預計會收緊資本和流動性標準。比爾，當你考慮從這裡增加資本時，你的起點是 9.1%。您是否覺得構建現在接近 9.5% 和 10%，因為您預期更高的資本和流動性標準。如果是這樣，我們應該如何考慮您的股息增長計劃？我懷疑回購的優先級最低？而且，您是否可以採取一些 RWA 緩解措施來加快有機資本生成的 20 個基點。

Yes, Erika, thanks. Remember, we're actually at 9.4% today as we've completed the interest and Truist Insurance Holdings. So if we start with there, I mean the mode we're in right now, I mean, we're comfortable where our capital level is. But we're in a capital build mode right now until we're not. So we want to really understand the landscape, understand the regulatory landscape, be prepared.

是的，埃里卡，謝謝。請記住，我們今天實際上是 9.4%，因為我們已經完成了利息和 Truist Insurance Holdings。因此，如果我們從那裡開始，我的意思是我們現在所處的模式，我的意思是，我們對我們的資本水平感到滿意。但我們現在處於資本建設模式，直到我們不這樣做。所以我們要真正了解情況，了解監管情況，做好準備。

We've got 20 basis points or so of sort of organic capital accretion that comes into play. That's post our dividend. Our dividend will continue to be important to us, and we'll continue to support our dividend. So I think we've got -- we're at a good place right now with capital. We'll continue to be in a little bit of the capital build mode. So we'll sort of blow through that 9.5% number you mentioned here in several quarters. And then we'll see. We'll just sort of see where the regulatory things line up and the opportunities that we have.

我們有 20 個基點左右的有機資本增值開始發揮作用。那是我們的股息後。我們的股息將繼續對我們很重要，我們將繼續支持我們的股息。所以我認為我們已經 - 我們現在處於一個擁有資本的好地方。我們將繼續處於資本建設模式中。因此，我們將在幾個季度內突破您在此處提到的 9.5% 的數字。然後我們會看到。我們只是看看監管方面的事情排在哪里以及我們擁有的機會。

And I think we've got the most organic combined with financial and strategic flexibility on capital to respond to sort of anything that might come our way. You did mention though, and our focus is going to continue to be on supporting organic growth. We're going to maximize RWA, but we don't need to reduce RWA. So that we don't need to change RWA from a capital standpoint. But we do want to optimize it. We do want to create more velocity around RWA, which I talked about. Dividend being important and then M&A on particularly things like insurance and then capabilities to create sustainable advantages. And then as you mentioned, share repurchase is just not in our short-term window. I mean that's just not our focus right now.

而且我認為我們在資本上擁有最有機的金融和戰略靈活性，可以應對任何可能發生的事情。你確實提到過，我們的重點將繼續放在支持有機增長上。我們要最大化 RWA，但我們不需要減少 RWA。這樣我們就不需要從資本的角度改變 RWA。但我們確實想優化它。我們確實希望圍繞我談到的 RWA 創造更多的速度。股息很重要，然後是對保險等特別事物的併購，然後是創造可持續優勢的能力。然後正如你提到的，股票回購不在我們的短期窗口內。我的意思是，這不是我們現在的重點。

Got it. And my second question is -- sorry to make this another car analogy, but a 24% ROTCE is more like an F1 car rather than a Corvette right. But the conversation on your AFS portfolio that was brewing over the quarter aside, it feels like some of what's holding now in your valuation is the puts and takes the specials that keep coming up. And I wonder, Bill, where are you in terms of the optimization of this franchise because it's pretty clear that the steps that you have been taking and it seems like based on Mike's laundry list that you are accelerating has everything to do with the optimization of this franchise.

知道了。我的第二個問題是——很抱歉再做一個汽車類比，但是 24% 的 ROTCE 更像是 F1 汽車而不是 Corvette 對吧。但是，除了本季度正在醞釀的關於您的 AFS 投資組合的對話，感覺現在您的估值中持有的一些東西是看跌期權和不斷出現的特價商品。我想知道，Bill，你在這個特許經營權的優化方面做得如何，因為很明顯，你一直在採取的步驟，而且根據 Mike 的洗衣清單，你正在加速的步驟似乎與優化有關這個專營權。

And I wonder how you're weighing sort of pulling forward that optimization. And I mean, look, there's always a continuous improvement process for every company, right? But is it better to just clean everything up this year and perhaps for the sake of positive operating leverage to think about cleaner '24 and '25 numbers when it comes to the expenses. Because I do think that it's very clear what the potential of this franchise is, but there's always adjustments here and there. And so I feel like your investors are less likely to see that visibility on that expense curve bend that you guys are aiming for.

我想知道你是如何權衡推動這種優化的。我的意思是，看，每家公司總有一個持續改進的過程，對吧？但是今年清理所有東西是否更好，也許是為了積極的運營槓桿考慮更清潔的 24 和 25 數字，當涉及到費用時。因為我確實認為這支球隊的潛力非常明顯，但總會有一些調整。因此，我覺得您的投資者不太可能看到你們所追求的費用曲線彎曲的可見性。

Yes. Let me try to break that up into 2 components, if I understood the question. So the question is around the strategic parts of our business and optimizing those, you are seeing a little bit of an acceleration around there. That's not sort of dramatic shift, but you're all seeing a speed up in that, and it's things around the edges. And I talked a little bit about those today. There are some more of those that we're thinking through. Because as you know, I mean, our core franchise is so powerful. And what we want to do is make sure that the resources that we have at this company are devoted towards growing, expanding that incredible franchise.

是的。如果我理解這個問題，讓我試著把它分成兩個部分。所以問題是圍繞我們業務的戰略部分和優化這些部分，你會看到那裡有一點加速。這不是什麼戲劇性的轉變，但你們都看到了它的加速，而且它是邊緣的東西。我今天談到了一些。我們正在考慮更多的問題。因為如你所知，我的意思是，我們的核心特許經營權非常強大。我們想要做的是確保我們在這家公司擁有的資源專門用於發展和擴大這個令人難以置信的特許經營權。

So the things that we talked about, about capital markets and LightStream, I think, are really good examples of those. And you could argue they were probably a little accelerated, maybe with a small A of accelerating. If you're going to the balance sheet side, are we going to do anything on the securities portfolio? The answer to that is not at this time. I mean there's just not a really good economic benefit for that, and we want to be long-term protectors of shareholder value. And so I think we'll stay the course there unless something were to change dramatically that would cause us to change our posture.

所以我們談論的關於資本市場和 LightStream 的事情，我認為，就是這些的很好的例子。你可能會爭辯說它們可能有點加速，也許加速的 A 很小。如果你要去資產負債表方面，我們會在證券投資組合上做些什麼嗎？目前還沒有答案。我的意思是，這並沒有帶來真正好的經濟利益，我們希望成為股東價值的長期保護者。所以我認為我們會堅持下去，除非有什麼事情發生了巨大的變化，這會導致我們改變我們的姿態。

Did that get added, Erika?

那個被添加了嗎，埃里卡？

Yes. Wondering -- just a follow-up, it seems as if you have optimized and accelerated some of the initiatives, and I'm wondering if you can tell your investors that your goal for '24 is really sort of cleaner quarters on expenses so that they could really see that expense curve in terms of your GAAP EPS power?

是的。想知道 - 只是一個後續行動，似乎你已經優化並加速了一些計劃，我想知道你是否可以告訴你的投資者你的 24 世紀目標真的是在費用方面更清潔，這樣他們真的可以根據您的 GAAP EPS 功率看到該費用曲線嗎？

Yes. I think relative to the first part of that, yes, that would be the goal. And I think they're getting cleaner every quarter, and they're going to continue to stay on that flight path. But when we have opportunities that we think are long-term beneficial, we're not going to miss those. But I think your basic statement of we'll be -- will we have a cleaner quarter process in '24, yes. And I think they get cleaner every quarter along that path.

是的。我認為相對於第一部分，是的，這將是目標。而且我認為他們每個季度都在變得更乾淨，而且他們將繼續保持在這條飛行路線上。但是，當我們擁有我們認為長期有益的機會時，我們不會錯過這些機會。但我認為你對我們的基本陳述是——我們是否會在 24 年有一個更清潔的季度流程，是的。而且我認為他們在這條道路上每個季度都會變得更乾淨。

Our next question will come from Gerard Cassidy with RBC.

我們的下一個問題將來自 RBC 的 Gerard Cassidy。

Mike, and maybe this is more directed to Clarke on credit. You guys had very strong credit quality, obviously. But you perked my interest with something that you said in the prepared remarks that charge-offs, again, they're low, went up by 3 basis points. But you cited C&I, which was interesting to me. So the question is, what do -- and then you also pointed out that the allowance, of course, was built up for CRE, but you talked about you're reducing your risk appetite in selected areas. So where are those areas, number one? And then in C&I, if you guys could elaborate what -- maybe what happened there in comments also about your leverage loan portfolio that I assume is included in the C&I as well.

邁克，也許這更多是針對克拉克的信用。顯然，你們的信用質量非常好。但是你用你在準備好的評論中所說的話激起了我的興趣，即沖銷，再次，他們很低，上升了 3 個基點。但是你引用了 C&I，這對我來說很有趣。所以問題是，做什麼 - 然後你還指出，津貼當然是為 CRE 建立的，但你談到你正在降低選定領域的風險偏好。那麼這些區域在哪裡，第一？然後在 C&I 中，如果你們能詳細說明什麼——也許在評論中也發生了關於你的槓桿貸款組合的評論，我認為這也包含在 C&I 中。

Clarke, why don't you start with (inaudible)

克拉克，你為什麼不開始（聽不清）

So as far as what areas are we focused on, first and foremost, what I'd say is that we want to maintain our through-the-cycle lending approach as we always have for our clients. So we're not going to make dramatic shifts in our appetite or how we lend. We just want to be more cautious and prudent where it makes sense. So things like less exceptions, more due diligence, and some of the areas we're focused on right now would be the ones you would expect, higher leverage. So leverage finance would be one, things like senior care given the market aspects of CRE, lower-end consumer, things like that, Gerard.

因此，就我們關注的領域而言，首先，我要說的是，我們希望像我們一直為客戶提供的那樣，保持我們的全週期貸款方式。因此，我們不會大幅改變我們的胃口或放貸方式。我們只是想在有意義的地方更加謹慎和謹慎。因此，諸如更少的例外、更多的盡職調查以及我們現在關注的一些領域將是你所期望的，更高的槓桿率。因此，槓桿融資將是其中之一，考慮到 CRE、低端消費者等市場方面的高級護理，杰拉德。

So I think it's more around being cautious, but being consistent there for our clients. And to your other question, our leverage book is performing very well right now. So I would just remind you all the portion that you would be focused on is about 3.6% of our total loans. Portfolio is 50% investment grade. We have very modest hold levels. Our leverage multiples have come down over the last couple of years in that book. And right now, it's performing very well. We have NPLs at 0.6%. Our NCOs are at 0.11%. So very good overall performance.

所以我認為更多的是謹慎，但要為我們的客戶保持一致。關於你的另一個問題，我們的槓桿書現在表現非常好。所以我只想提醒你，你要關注的所有部分大約占我們貸款總額的 3.6%。投資組合為 50% 投資級別。我們的持有水平非常適中。在那本書中，我們的槓桿倍數在過去幾年中有所下降。而現在，它的表現非常好。我們的不良貸款率為 0.6%。我們的 NCO 為 0.11%。所以整體表現非常好。

And then as far as the C&I losses in Q1, there's nothing episodic there. We're coming off such extremely low levels. If we go back into 2022, we were in just a couple of basis point range, and we were up just more toward a normalized range. So nothing specific there.

然後就第一季度的 C&I 損失而言，那裡沒有什麼偶發的。我們正在脫離如此低的水平。如果我們回到 2022 年，我們只在幾個基點範圍內，而且我們只是更接近一個正常化的範圍。所以沒有什麼特別的。

Very good. And then following up, Mike, you talked about the investment banking business, how you've built it out with some strategic hires over the last 2 years. And we know from the market conditions from some of your larger competitors, it's challenging out there. Are you guys comfortable with your revenue to expense area in investment banking now? Or do you really want to see or need the revenues to kind of really pick up as the market conditions pick up?

非常好。然後跟進，邁克，你談到了投資銀行業務，以及你在過去兩年中如何通過一些戰略性招聘來建立它。我們從一些較大的競爭對手的市場狀況中了解到，那裡充滿挑戰。你們現在對投資銀行業務的收入支出領域感到滿意嗎？還是您真的希望看到或需要收入隨著市場狀況的好轉而真正回升？

Yes. I'll start there and maybe Bill may have something to add. But the investment banking business is performing well. It was a bright spot for us. In the first quarter, we have expectations that it will continue to perform well. Pipelines remain solid. And I think that a lot of that is driven by the fact that we've been adding really high-caliber, sort of franchise-type talent to that platform, not just recently, but consistently over the years.

是的。我將從這裡開始，也許 Bill 可能需要補充一些內容。但投資銀行業務表現良好。這對我們來說是一個亮點。第一季度，我們預計它會繼續表現良好。管道保持穩固。我認為這在很大程度上是因為我們一直在向該平台添加真正高素質的特許經營型人才，不僅是最近，而且多年來一直如此。

And so look, I mean, there's no doubt about it. There's market interruptions, transaction markets, deal markets are a little harder. But in sort of the middle market and upper middle market space, where we feel like we've really got a powerful franchise, we continue to get deals done for our clients on the corporate and sponsor side. And so we're still very supportive and optimistic about the investment banking business. And look, we're managing it carefully and revenues will be highly correlated with expenses in that business, but that's always been the case.

所以看，我的意思是，這是毫無疑問的。有市場中斷，交易市場，交易市場有點困難。但在中端市場和中高端市場領域，我們覺得我們真的擁有強大的特許經營權，我們繼續在公司和讚助商方面為我們的客戶完成交易。因此，我們仍然非常支持和看好投資銀行業務。看，我們正在謹慎地管理它，收入將與該業務的支出高度相關，但情況一直如此。

Yes. And for us, I mean, to your margin question, investment banking business always been a good margin business and has had a lot of discipline over a long period of time. And part of that sustainability, I think you saw some of it this quarter is back to the earlier comments and questions were having about the strength of the franchise. So being able to take advantage of this incredible franchise and client base really afford us this opportunity all across high grade, debt and equity, IRM revenue being up. So it just creates more consistency and more confidence for us in that revenue base.

是的。對於我們來說，我的意思是，對於你的保證金問題，投資銀行業務一直是一項良好的保證金業務，並且在很長一段時間內都有很多紀律。而這種可持續性的一部分，我想你在本季度看到的一些是回到早期的評論和關於特許經營實力的問題。因此，能夠利用這個令人難以置信的特許經營權和客戶群，確實為我們提供了這個機會，涵蓋高等級、債務和股權，IRM 收入正在上升。因此，它只會為我們在該收入基礎上創造更多的一致性和更多的信心。

Ally, we've got time for 1 more question.

Ally，我們還有時間再問 1 個問題。

And we'll take our last question from John McDonald with Autonomous Research.

我們將從 Autonomous Research 的 John McDonald 那裡回答我們的最後一個問題。

I know we're running tight. Maybe we could get a comment from John about the operating environment for insurance this year. And then also if you could add on your thoughts about utilizing the increased optionality that the transaction has gotten you and what the M&A environment looks like for you.

我知道我們跑得很緊。也許我們可以從 John 那裡得到有關今年保險業經營環境的評論。然後，如果您可以添加關於利用交易為您帶來的增加的可選性以及併購環境對您的看法。

John, do you want to...

約翰，你想...

Sure, John. This is John Howard. Thank you very much for the question. When I look at the environment from an insurance standpoint, it continues to be favorable. Pricing continues to be firm if you think about insured values and you think about insured rates, they are both affected by the inflationary environment that we're experiencing. Those are tailwinds for us. There are some capacity headwinds, particularly around catastrophe-exposed property. But net-net, we'll continue to see good organic growth in insurance. And I do expect our organic growth to improve over the course of the year.

當然，約翰。這是約翰霍華德。非常感謝你的提問。當我從保險的角度來看環境時，它仍然是有利的。如果您考慮保險價值和保險費率，定價將繼續堅挺，它們都受到我們正在經歷的通貨膨脹環境的影響。這些對我們來說是順風。有一些產能逆風，特別是在災難暴露的財產周圍。但淨淨，我們將繼續看到保險業的良好有機增長。我確實希望我們的有機增長在這一年中有所改善。

And to your question about acquisitions, the market response to the Stone Point transaction has been very positive. So we've gotten great feedback from teammates, clients, insurance companies, business partners as well as acquisition candidates. So I think we're very well positioned.

關於你關於收購的問題，市場對 Stone Point 交易的反應非常積極。因此，我們從隊友、客戶、保險公司、業務合作夥伴以及收購候選人那裡得到了很好的反饋。所以我認為我們的定位非常好。

Thanks, John. Okay. That completes our earnings call. If you have any additional questions, please feel free to reach out to the Investor Relations team. Thank you for your interest in Truist. We know you guys will have a busy day, but we hope you have a great day. Ally, you can now disconnect the call.

謝謝，約翰。好的。這完成了我們的財報電話會議。如果您有任何其他問題，請隨時聯繫投資者關係團隊。感謝您對 Truist 的關注。我們知道你們會度過忙碌的一天，但我們希望你們過得愉快。 Ally，你現在可以掛斷電話了。

And with that, that does conclude today's call. Thank you for your participation. You may now disconnect.

這樣，今天的電話會議就結束了。感謝您的參與。您現在可以斷開連接。