UMB Financial Corp (UMBF) 2022 Q3 法說會逐字稿

Good morning. Thank you for attending today's UMB Financial Third Quarter 2022 Results Conference Call. My name is [Sara], and I will be your moderator for today's call. (Operator Instructions) It is now my pleasure to pass the call over to our host, Kay Gregory, UMB Investor Relations.

早上好。感謝您參加今天的 UMB Financial 2022 年第三季度業績電話會議。我叫 [Sara]，我將擔任今天電話會議的主持人。 （操作員說明）現在我很高興將電話轉給我們的主持人 UMB 投資者關係部的 Kay Gregory。

Good morning, and welcome to our third quarter call. Mariner Kemper, President and CEO; and Ram Shankar, CFO, will share a few comments about our results. Jim Rine, CEO of UMB Bank; and Tom Terry, Chief Credit Officer, will also be available for the question-and-answer session. Before we begin, let me remind you that today's presentation contains forward-looking statements, which are subject to assumptions, risks and uncertainties. These risks are included in our SEC filings and are summarized on Slide 43 of our presentation. Actual results may differ from those set forth in forward-looking statements, which speak only as of today. We undertake no obligation to update them, except to the extent required by securities laws. Our earnings per share metrics discussed on this call are on a diluted share basis. Our presentation materials and press release are available online at investorrelations.umb.com. Now I'll turn the call over to Mariner Kemper.

早上好，歡迎來到我們的第三季度電話會議。 Mariner Kemper，總裁兼首席執行官；首席財務官 Ram Shankar 將就我們的結果發表一些評論。 UMB銀行首席執行官Jim Rine；首席信貸官 Tom Terry 也將出席問答環節。在我們開始之前，讓我提醒您，今天的演示文稿包含前瞻性陳述，這些陳述受假設、風險和不確定性的影響。這些風險包含在我們向美國證券交易委員會提交的文件中，並在我們演示文稿的幻燈片 43 中進行了總結。實際結果可能與前瞻性陳述中的陳述有所不同，前瞻性陳述僅在今天發表。我們不承擔更新它們的義務，除非證券法要求。我們在本次電話會議上討論的每股收益指標是基於稀釋後的股份。我們的演示材料和新聞稿可在 investorrelations.umb.com 在線獲取。現在，我將把電話轉給 Mariner Kemper。

Thank you, Kay, and thanks, everyone, for joining us today. Yesterday afternoon, we reported our third quarter results, reflecting positive momentum across our business lines. Highlights include robust loan growth, coupled with strong asset quality and solid core revenue growth. Net income for the third quarter was $88 million or $1.81 per share. Operating pretax pre-provision income was $131.2 million or $2.70 per share. Net interest income increased 3.9% sequentially driven by a nearly $1 billion increase in average loans, positive asset mix and the impact of rising rates.

謝謝你，凱，感謝大家今天加入我們。昨天下午，我們公佈了第三季度業績，反映了我們業務線的積極勢頭。亮點包括強勁的貸款增長、強勁的資產質量和穩健的核心收入增長。第三季度淨收入為 8800 萬美元或每股 1.81 美元。撥備前稅前營業收入為 1.312 億美元或每股 2.70 美元。受平均貸款增加近 10 億美元、積極的資產組合和利率上升的影響，淨利息收入環比增長 3.9%。

This was partially negated by increased deposit costs, largely driven by a transition from DDAs to rate-bearing accounts, which is typical in an interest rate cycle such as the one we're seeing today, the timing of deposit initiatives to attract new to bank customers in each of our business lines, the availability of attractive short tenor investment options and the impact of clients reacting to typical market pressures in a rising rate environment, particularly on our rate-sensitive institutional businesses. This is consistent with what we're seeing from other trusts and custody banks like ourselves.

這在一定程度上被存款成本增加所抵消，這在很大程度上是由從 DDA 到利率賬戶的轉變所推動的，這在利率週期中很典型，例如我們今天看到的利率週期，存款計劃的時機是為了吸引新的銀行我們每個業務線的客戶，有吸引力的短期投資選擇的可用性以及客戶在利率上升環境中對典型市場壓力做出反應的影響，特別是對我們對利率敏感的機構業務。這與我們從像我們這樣的其他信託和託管銀行看到的情況是一致的。

Our cycle-to-date beta on interest-bearing deposits has been 46% and 27% on total deposits. As we've noted in the past, our business profile and funding mix is uniquely skewed in favor of our commercial and institutional sources. These sources experience different pace and timing than many of our peers in the repricing environment. Our fee businesses performed well, driving noninterest income growth, excluding the impact of the nonrecurring gain from the sale of less-class shares in the second quarter. Additional drivers are included in our slides, and Ram will share more details shortly. Excluding contributions from PPP and the market-related impact from gains and losses on investment securities, we've generated operating leverage of 4% year-to-date. This continues to be the focus for us, and we expect to generate positive operating leverage for the full year. Pipeline and sales activity continue to be strong across the company, and I'll share a few highlights from the various businesses. And by well, our team has surpassed full year 2021 sales, bringing it to $874 million in new assets year-to-date.

我們週期至今的計息存款貝塔分別佔存款總額的 46% 和 27%。正如我們過去指出的那樣，我們的業務概況和資金組合獨特地偏向於我們的商業和機構來源。在重新定價環境中，這些消息來源的速度和時機與我們的許多同行不同。我們的收費業務表現良好，推動了非利息收入的增長，這不包括第二季度出售低級別股票所產生的非經常性收益的影響。我們的幻燈片中包含其他驅動程序，Ram 將很快分享更多詳細信息。排除 PPP 的貢獻和投資證券損益的市場相關影響，我們今年迄今的經營槓桿率為 4%。這仍然是我們關注的焦點，我們預計全年將產生積極的經營槓桿。整個公司的管道和銷售活動繼續保持強勁，我將分享各個業務的一些亮點。好吧，我們的團隊已經超過了 2021 年全年的銷售額，使其今年迄今的新資產達到 8.74 億美元。

Our institutional banking teams are continuing to perform well. Year-to-date, new business volumes have increased 16% in Corporate Trust and escrow services and 35% in specialty trust and public finance has closed 110 deals so far in 2022, on track to exceed 2021 levels. Fund Services and institutional [custody] assets under administration levels have been impacted by equity market valuations in 2022 and AUA levels now stand at [$352 million]. However, the teams continue to bring in new clients, including more than 200 new custody accounts year-to-date.

我們的機構銀行業務團隊繼續表現良好。年初至今，企業信託和託管服務的新業務量增長了 16%，專業信託和公共金融的新業務量增長了 35%，到 2022 年為止已完成 110 筆交易，有望超過 2021 年的水平。管理級別下的基金服務和機構[託管]資產受到 2022 年股票市場估值的影響，AUA 水平目前為 [3.52 億美元]。然而，這些團隊繼續引進新客戶，包括年初至今的 200 多個新託管賬戶。

And the fund services contribution to our trust income has increased 6.2% year-over-year. In Healthcare Services, we rank among the top 10 HSA providers in the U.S. We expect the acquisition of the Old National Bancorp's HSA business to close in mid-November. This acquisition will bolster our position with an additional $400 million in inexpensive deposits and approximately $100 million in investment assets. Moving to lending. The drivers behind our nearly 22% linked quarter annualized growth in average balances this quarter are on Slide 24.

基金服務對我們信託收入的貢獻同比增長 6.2%。在醫療保健服務方面，我們躋身美國前 10 大 HSA 供應商之列。我們預計對 Old National Bancorp 的 HSA 業務的收購將於 11 月中旬完成。此次收購將通過額外的 4 億美元廉價存款和大約 1 億美元的投資資產來鞏固我們的地位。轉向貸款。本季度平均餘額接近 22% 的相關季度年化增長背後的驅動因素在幻燈片 24 上。

Total top line loan production, as shown on Slide 25, remains strong at $1.3 billion for the quarter. Payoffs and paydowns represented 4.7% of loans rebounding from the low levels second quarter. Commercial real estate and construction loans posted 20% annualized growth in the third quarter, while payoffs will fluctuate from quarter-to-quarter, we expect we will see that eventually begin to slow to general slowdown as anticipated in the rising rate environment.

如幻燈片 25 所示，本季度總貸款額保持強勁，為 13 億美元。償還和償還佔第二季度從低水平反彈的貸款的 4.7%。商業房地產和建築貸款在第三季度實現了 20% 的年化增長，而收益將按季度波動，我們預計在利率上升的環境下，最終將開始放緩至普遍放緩。

We saw a continued outperformance in C&I with average balances increasing 27% on a linked quarter annualized basis and making up more than half of this quarter's total growth. Industrial production continues to be strong, and we're seeing a good mix of new customer acquisition and increased borrowings from existing commercial relationships. Line increases are moving closer to pre-pandemic levels and general customer comments indicate that draws are largely related to depleting stimulus liquidity, higher inventories and higher prices. Average residential mortgage balances have increased 23% over the third quarter of last year despite the impact of rising rates.

我們看到 C&I 的表現持續出色，平均餘額環比年化增長 27%，佔本季度總增長的一半以上。工業生產繼續強勁，我們看到新客戶收購和現有商業關係借款增加的良好組合。線路增加正在接近大流行前的水平，一般客戶評論表明，減少主要與刺激流動性耗盡、庫存增加和價格上漲有關。儘管受到利率上升的影響，平均住宅抵押貸款餘額比去年第三季度增加了 23%。

Our Down Payment assistance program designed to support first-time homebuyers in underserved markets, has had more than 1,000 new applications resulting in $1.6 million in assistance year-to-date. Looking ahead to the fourth quarter, we see opportunity in our various verticals across the footprint, and we expect continued strong growth to round out the year. On the other side of the balance sheet, average total deposits for the quarter decreased 5.7% compared to the second quarter, driven primarily by DDA outflows from elevated second quarter levels, primarily interinstitutional businesses. Compared to the third quarter of 2021, our DDA balances increased 8.7%, led by Corporate Trust, commercial and investor solution verticals. Because of the opt-in project-based orientation of our Corporate Trust businesses, we can just as easily see spikes in DDA as we have seen a decline this past quarter.

我們的首付援助計劃旨在支持服務欠缺市場的首次購房者，已有 1,000 多份新申請，年初至今獲得了 160 萬美元的援助。展望第四季度，我們在各個垂直領域看到了機會，我們預計今年將繼續強勁增長。在資產負債表的另一邊，與第二季度相比，本季度的平均總存款下降了 5.7%，這主要是由於第二季度水平較高的 DDA 流出，主要是機構間業務。與 2021 年第三季度相比，我們的 DDA 餘額增長了 8.7%，主要是企業信託、商業和投資者解決方案垂直領域。由於我們的企業信託業務以選擇加入項目為導向，我們可以很容易地看到 DDA 的峰值，就像我們在上個季度看到的下降一樣。

DDA balances represent 42% of average deposits compared to 45% in the second quarter and 39% in the third quarter of last year. We continue to focus on deposit gathering, including the deposit initiatives I mentioned as well as engaging with our current customers. One area of growth we're excited about it, is our business banking and practice finance vertical, which has seen exceptional deposit growth over the past few years. We continue to invest in this business to drive future growth on both sides of the balance sheet.

DDA 餘額占平均存款的 42%，而第二季度為 45%，去年第三季度為 39%。我們繼續專注於存款收集，包括我提到的存款計劃以及與我們現有客戶的互動。令我們感到興奮的一個增長領域是我們的商業銀行業務和實踐金融垂直領域，在過去幾年中存款增長驚人。我們繼續投資於這項業務，以推動資產負債表兩側的未來增長。

While we see cycle-to-date data on our interest-bearing deposits of approximately 46%, I think the metric alone is an incomplete view as it ignores the benefit of DDA balances, which have a [0 beta] and the impact of our borrowing levels, which have been at 100% beta, I'd encourage you to look at our total cost of funds instead, which have had a beta of 32% thus far this year. Additionally, we benefited on the earning asset side with cycle to-day beta of nearly 50%. In this environment, we expect loan growth and improving asset yields will continue to drive above peer growth in net interest income.

雖然我們看到我們的計息存款的周期至今數據約為 46%，但我認為該指標本身是一個不完整的觀點，因為它忽略了 DDA 餘額的好處，後者俱有 [0 beta] 和我們的影響借貸水平一直處於 100% 的貝塔值，我鼓勵你看看我們的總資金成本，今年到目前為止，它的貝塔值是 32%。此外，我們在盈利資產方面受益，週期今日貝塔接近 50%。在這種環境下，我們預計貸款增長和資產收益率的提高將繼續推動淨利息收入高於同業增長。

Moving to asset quality. Net charge-offs in the third quarter were just 0.02% of average loans. While nonaccrual loans remained steady at 10 basis points of loans. We continue to expect that our full year loss rate will be consistent with our long-term historical averages of approximately 25 to 30 basis points or less. Provisions for the quarter of $22 million was driven by our continued strong loan growth, portfolio metrics and changes in the macroeconomic outlook. Our reserve coverage is now at 0.93% of total loans. In September, we were successful in raising $110 million in capital through our subordinated note offering that will help us facilitate our expected balance sheet growth for the remainder of this year and on into 2023.

轉向資產質量。第三季度的淨註銷僅為平均貸款的 0.02%。而非應計貸款則穩定在貸款的 10 個基點。我們繼續預計我們的全年損失率將與我們大約 25 至 30 個基點或更少的長期歷史平均水平一致。本季度 2200 萬美元的準備金是由我們持續強勁的貸款增長、投資組合指標和宏觀經濟前景的變化推動的。我們的準備金覆蓋率現在為貸款總額的 0.93%。 9 月，我們通過發行次級票據成功籌集了 1.1 億美元的資金，這將幫助我們促進今年剩餘時間和 2023 年的預期資產負債表增長。

Our own UMB Capital Markets team participated as co-manager, bringing clients that made up about 1/3 of the total offering. The capital rate favorably impacted our ratios. September 30, total capital and leverage ratios were 13.13% and 8.6%, respectively. And in our press release, we announced that the Board had approved a 2.7% increase in our dividend, bringing it to $0.38 per share payable in January. Finally, we've seen many changes in the outlook for markets and the economy in the last few months. We've got unprecedented Fed tightening and record inflation, along with uncharacteristically tight labor market and geopolitical conflicts along with contagion effects from across the [Atlantic] have increased economic uncertainty.

我們自己的 UMB Capital Markets 團隊作為聯席經理參與，帶來了約佔總發行量 1/3 的客戶。資本利率對我們的比率產生了有利影響。 9月30日，總資本和槓桿率分別為13.13%和8.6%。在我們的新聞稿中，我們宣布董事會已批准將我們的股息增加 2.7%，使其在 1 月份支付的股息達到每股 0.38 美元。最後，我們看到過去幾個月市場和經濟前景發生了許多變化。我們經歷了前所未有的美聯儲緊縮政策和創紀錄的通貨膨脹，以及異常緊張的勞動力市場和地緣政治衝突，以及來自 [大西洋] 的蔓延效應，這些都增加了經濟的不確定性。

We have active dialogues with our own clients about their businesses and outlooks. Borrowers are generally optimistic about the rest of 2022 and remain cautiously so looking forward, although most are concerned about rising costs. While our customers were in good shape, we like many others expect that we may experience a short recessionary environment, historically, the leading economic index or the LEI has become a good indicator in more than 40 years of history, a drop in the 6-month rate of the LEI below negative 3% has preceded periods of recession. As of last week, the index was at negative 5.6%, further decreasing from a negative 5% at the end of August. Unlike the previous cycle, banks came into the cycle with stronger capital positions and the consumers came in more liquid and less leverage.

我們與我們自己的客戶就他們的業務和前景進行積極對話。借款人普遍對 2022 年剩餘時間持樂觀態度，並保持謹慎的展望，儘管大多數人擔心成本上升。雖然我們的客戶狀況良好，但我們和許多其他人一樣預計我們可能會經歷短暫的衰退環境，從歷史上看，領先經濟指數或 LEI 在 40 多年的歷史中已成為一個很好的指標，下降了 6-低於負 3% 的 LEI 月率已經預示著經濟衰退期。截至上週，該指數為負 5.6%，較 8 月底的負 5% 進一步下降。與上一個週期不同，銀行進入周期時資本狀況更強，消費者的流動性更高，槓桿率更低。

Therefore, we don't expect it to be as destructive but more of a reset to the economy. As I mentioned, we see good growth opportunities in the fourth quarter, although we'll continue to watch closely for early warning signs for deterioration, which at this point seems to be contained in specific areas such as consumer discretionary. This is where we differentiate ourselves by rolling close to shore, which is part of our risk management philosophy that keeps us prepared for all environments.

因此，我們預計它不會具有破壞性，但更多的是對經濟的重啟。正如我所提到的，我們在第四季度看到了良好的增長機會，儘管我們繼續密切關注惡化的早期預警信號，目前似乎包含在非必需消費品等特定領域。這就是我們通過靠近岸邊航行來區分自己的地方，這是我們風險管理理念的一部分，讓我們為所有環境做好準備。

In closing, I'm proud of our team, as always, as they continue to work together and work hard for our customers and communities. Now I'll turn it over to Ram for additional comments. Ram?

最後，我一如既往地為我們的團隊感到自豪，因為他們繼續共同努力，為我們的客戶和社區努力工作。現在我將其轉交給 Ram 以徵求更多意見。內存？

Thanks, Mariner. Let me start with some commentary on balance sheet trends, starting with our liquidity profile on Page 21. Our Fed account reverse repo and cash balances further declined to $1.5 million and now comprised of 4.3% of average earning assets with a blended yield of 2.30% compared to 83 basis points in the second quarter. As we've done in prior timing cycles, we deployed cash flows from our high-quality securities portfolio to fund loan growth opportunities during the third quarter. As shown on Slide 28, the portfolio roll-up for the third quarter was $304 million at a yield of 1.9%, while we purchased $54 million in securities, primarily CLOs, with a yield of 4.86%.

謝謝，水手。讓我從對資產負債表趨勢的一些評論開始，從第 21 頁的流動性概況開始。我們的美聯儲賬戶逆回購和現金餘額進一步下降至 150 萬美元，現在占平均收益資產的 4.3%，混合收益率為 2.30%相比之下，第二季度為 83 個基點。正如我們在之前的時間週期所做的那樣，我們在第三季度部署了來自高質量證券投資組合的現金流，為貸款增長機會提供資金。如幻燈片 28 所示，第三季度的投資組合總額為 3.04 億美元，收益率為 1.9%，而我們購買了 5400 萬美元的證券，主要是 CLO，收益率為 4.86%。

Additionally, the portfolio is expected to generate over $1.1 billion of cash flow in the next 12 months. The yield of those securities rolling off is approximately 1.83%. While treasury yields present very attractive reinvestment levels, our priority is to post the opportunities we continue to see in our lending verticals. In 2022, we reclassified securities to the held-to-maturity portfolio to help manage tangible capital and reduce the impact of rising rates on our equity. Average HTM balances for the third quarter, excluding the $1.2 billion of revenue bonds we've long held in that book were $4.6 billion.

此外，該投資組合預計將在未來 12 個月內產生超過 11 億美元的現金流。這些滾存證券的收益率約為 1.83%。雖然國債收益率呈現出非常有吸引力的再投資水平，但我們的首要任務是發布我們在貸款垂直領域繼續看到的機會。 2022 年，我們將證券重新分類為持有至到期投資組合，以幫助管理有形資本並減少利率上升對我們權益的影響。第三季度的平均 HTM 餘額，不包括我們長期持有的 12 億美元收入債券，為 46 億美元。

Loan yields increased 74 basis points from the second quarter to 4.46% with a cycle-to-date beta of approximately 37%. 61% or about $1.1 billion of loans are variable rate with 60% of those repricing in the next quarter and 71% repricing within the next 12 months. These are largely tied to indices at the short end of the curve.

貸款收益率較第二季度增加 74 個基點至 4.46%，週期至今的貝塔係數約為 37%。 61% 或約 11 億美元的貸款是可變利率的，其中 60% 的貸款將在下一季度重新定價，71% 的貸款將在未來 12 個月內重新定價。這些在很大程度上與曲線短端的指數有關。

The total cost of deposits, including DDA, was 65 basis points, up from 20 basis points last quarter and the cycle-to-date beta is approximately 27%. Net interest margin expanded 16 basis points from the second quarter. Net interest margin benefited by approximately 43 basis points from loan repricing and mix, 30 basis points from the benefit of free funds and 24 basis points from reduced liquidity balances and rates. These were partially offset by a negative 81 basis points related to the cost and mix of interest-bearing liabilities.

包括 DDA 在內的存款總成本為 65 個基點，高於上一季度的 20 個基點，週期至今的貝塔係數約為 27%。淨息差較二季度擴大 16 個基點。淨息差因貸款重新定價和組合而受益約 43 個基點，因自由資金而受益 30 個基點，因流動性餘額和利率下降而受益 24 個基點。這些被與計息負債的成本和組合相關的負 81 個基點部分抵消。

As we look ahead, there are a lot of variables at play that will impact the trajectory of our net interest margin, including the depth and duration of the Fed tightening cycle, outlook for equity markets and that impact on deposits. expected this intermediation of DDA balances at ECR rates increase as well as our own need to generate deposits through targeted campaigns to fund loan growth. Based on our own simulations, which includes the mid-quarter onboarding of HSA deposits from Old National and the seasonal inflow of indexed public funds deposits, we expect our fourth quarter net interest margin to be flat to slightly down from third quarter levels. This has seen a cost rate of 4.5% at year-end.

展望未來，有很多變數將影響我們的淨息差軌跡，包括美聯儲緊縮週期的深度和持續時間、股市前景以及對存款的影響。預計這種以 ECR 利率增加的 DDA 餘額中介以及我們自己需要通過有針對性的活動產生存款來為貸款增長提供資金。根據我們自己的模擬，包括來自 Old National 的季度中期 HSA 存款和指數化公共基金存款的季節性流入，我們預計我們第四季度的淨息差將持平或略低於第三季度的水平。年底的成本率為 4.5%。

As Mariner noted, while the focus on deposit beta and NIM is important, we focus primarily on net interest income growth facilitated primarily by loan growth. Additionally, as you've heard us say before, another metric that we manage to is a lower deposit ratio limit of 75%. With our ratio approaching 65%, we will continue to focus on deposit and client acquisition across all our lines of business.

正如 Mariner 指出的那樣，雖然關注存款貝塔和 NIM 很重要，但我們主要關注主要由貸款增長推動的淨利息收入增長。此外，正如您之前聽我們說過的那樣，我們設法達到的另一個指標是存款比率下限 75%。隨著我們的比率接近 65%，我們將繼續專注於所有業務線的存款和客戶獲取。

The estimated impact to net interest income in various rate scenarios based on [30] balances is shown on Slide 30. In a rate ramp scenario of plus 100 basis points on a panic balance sheet, net interest income is predicted to fall 0.6% in year 1, an increase by 2.9% in year 2. This analysis assumes repricing of our variable rate loans based on underlying changes to LIBOR, SOFR and other indices as well as deposit betas consistent with the prior cycle.

幻燈片 30 顯示了基於 [30] 餘額的各種利率情景對淨利息收入的估計影響。在恐慌的資產負債表上加息 100 個基點的利率上升情景中，淨利息收入預計年內下降 0.6% 1，第二年增長 2.9%。該分析假設我們的可變利率貸款根據 LIBOR、SOFR 和其他指數的潛在變化以及與上一個週期一致的存款貝塔值重新定價。

One variable that's missing in this prescribed analysis is what happens to our growth-related net interest income. The ultimate effect of incremental rate hikes on NII will be dependent on the timing and magnitude of interest rate movements, loan growth and balance sheet management strategies.

這一指定分析中缺少的一個變量是我們與增長相關的淨利息收入會發生什麼。增量加息對 NII 的最終影響將取決於利率變動的時間和幅度、貸款增長和資產負債表管理策略。

Back to the income statement, total fee income for the quarter was $128.7 million. The second quarter included a $66.2 million pretax gain on the sale of our Visa Class B shares recorded in investment securities gains. As shown in the commentary on Slide 18 earlier in our presentation, fee income, excluding income or loss from equity valuations was $130.1 million compared to $115.6 million in the second quarter. This variance included a $13 million increase in company-owned life insurance income and a $1.2 million increase in derivative income related to customer back-to-back swaps.

回到損益表，本季度的總費用收入為 1.287 億美元。第二季度包括在投資證券收益中記錄的出售我們的 Visa B 類股票的 6620 萬美元稅前收益。正如我們之前對幻燈片 18 的評論所示，費用收入（不包括股票估值的收入或損失）為 1.301 億美元，而第二季度為 1.156 億美元。這一差異包括公司擁有的人壽保險收入增加 1300 萬美元，以及與客戶背對背掉期相關的衍生品收入增加 120 萬美元。

Other areas of strong performance include card services income and brokerage fees, the latter of which captures our money market revenue share and 12b-1 fee income. Total brokerage income increased $1.4 million or nearly 12% compared to the second quarter despite market-related compression of approximately 3% in the underlying money market balances. Other drivers were shown on Slide 22 and are discussed in the press release.

其他表現強勁的領域包括卡服務收入和經紀費，後者佔據了我們的貨幣市場收入份額和 12b-1 費用收入。儘管與市場相關的基礎貨幣市場餘額壓縮了約 3%，但與第二季度相比，經紀業務總收入增加了 140 萬美元或近 12%。其他驅動程序顯示在幻燈片 22 上，並在新聞稿中進行了討論。

Slide 23 shows trends in our noninterest expense. The linked quarter increase was driven primarily by the change in deferred compensation expense, which was $2.3 million in the third quarter versus a credit of $9.2 million in the second quarter. This is related to the increased COLI income I mentioned previously. We saw a $4.5 million increase in salary and wage expense, reflecting 1 additional salary day in the quarter as well as selective hiring in some of our lines of businesses. Additionally, we booked $3.7 million of operational losses, which are not expected to recur. These increases were offset by a decrease of $4.8 million in charitable contribution expense recorded in other expense.

幻燈片 23 顯示了我們非利息支出的趨勢。相關季度的增長主要是由遞延補償費用的變化推動的，第三季度為 230 萬美元，而第二季度為 920 萬美元。這與我之前提到的中國海外收入增加有關。我們看到工資和工資支出增加了 450 萬美元，反映了本季度增加了 1 個工資日以及我們某些業務線的選擇性招聘。此外，我們還記錄了 370 萬美元的運營損失，預計不會再次發生。這些增加被記在其他費用中的慈善捐款費用減少 480 萬美元所抵消。

A few other items to keep in mind as we look at expenses going forward. In October, the FDIC announced a 2 basis point increase in assessment rates beginning in the first quarter of 2023. Based on current data, we estimate this will have an approximate impact of $6 million pretax. And fourth quarter expenses will include the yet-to-be-determined pro rata amortization impact from the acquisition of $400 million in HSA deposits expected to close mid-quarter.

當我們考慮未來的開支時，還有一些其他事項需要牢記。 10 月，FDIC 宣布從 2023 年第一季度開始將評估利率上調 2 個基點。根據當前數據，我們估計這將產生大約 600 萬美元的稅前影響。第四季度的支出將包括尚未確定的按比例攤銷因收購 4 億美元的 HSA 存款而產生的影響，預計將在本季度中期結束。

Finally, like in prior fourth quarter periods, we will make a $2 million chart contribution to organizations serving our communities as well as making any needed true-ups to performance-based incentive accruals. As Maria noted, as we approach our 2023 budgeting phase, our focus remains on generating positive operating leverage, while prudently investing in our businesses. Our effective tax rate was 19.1% for the third quarter and 18.8% year-to-date, reflecting a smaller portion of income from tax-exempt municipal securities.

最後，與之前的第四季度一樣，我們將向為我們社區服務的組織捐款 200 萬美元，並對基於績效的應計獎勵進行任何必要的調整。正如 Maria 指出的那樣，隨著我們接近 2023 年預算編制階段，我們的重點仍然是產生積極的運營槓桿，同時審慎地投資於我們的業務。我們第三季度的有效稅率為 19.1%，年初至今為 18.8%，反映出來自免稅市政證券收入的較小部分。

For the full year 2022, we anticipate to be approximately 18% to 20%. That concludes our prepared remarks, and then I'll turn it back to the operator to begin the Q&A portion of the call.

對於 2022 年全年，我們預計約為 18% 至 20%。我們準備好的發言到此結束，然後我會把它轉回給接線員，開始電話的問答部分。

(Operator Instructions) Our first question comes from the line of Jared Shaw with Wells Fargo.

（操作員說明）我們的第一個問題來自富國銀行的 Jared Shaw。

Maybe just starting on deposits. If we look at sort of the DDA levels pre-COVID, you were around 32%, should we expect that we sort of trend back towards that level with the pressure on DDA from the ECR and the other items you mentioned? Or do you think there's some systemic or structural change that could keep that at a higher level?

也許只是從存款開始。如果我們看一下 COVID 之前的 DDA 水平，你大約是 32%，我們是否應該期望我們在 ECR 和你提到的其他項目對 DDA 施加壓力的情況下回到那個水平？或者你認為有一些系統性或結構性的變化可以使它保持在更高的水平嗎？

Well, I think -- this is Mariner. Some of the DDA drawdown that's happened over the quarter has been based on, obviously, the higher rate environment and customers looking to participate in that as well as higher cost and inflation and such as customers put their money to work in an inflationary environment. I think as you look forward, just specifically thinking about DDAs, as you look forward into a recessionary environment or beyond that a more normalized environment, DDA should remain at strong levels as they have been in the past.

好吧，我想——這是水手。本季度發生的一些 DDA 縮減顯然是基於更高的利率環境和希望參與其中的客戶以及更高的成本和通貨膨脹，例如客戶將他們的錢用於通貨膨脹環境中。我認為當你展望未來時，只要特別考慮 DDA，當你展望衰退環境或超越更正常化的環境時，DDA 應該像過去一樣保持在強勁水平。

Okay.

好的。

Jared this is Ram, and I would say, we've added a lot of new clients over the last 12 months on the heels of the PPP program that we talked about, the heel (inaudible) PPP program. So when you think about new clients, right? So yes, the last rate cycle, we did go down to 32% composition. But this time around, I think we feel like it will be higher than that as the rate cycle peaks because we've been adding new clients with DDA balances as well, particularly in small business. You heard Mariner talk about the efforts in small business and how that has tribute some DDA growth. So I would say we'd probably end up doing better than last cycle. Yes. So a temporary short squeeze on that, I guess, is the way we would describe it.

Jared，這是 Ram，我想說的是，在過去的 12 個月裡，我們在我們談到的 PPP 計劃之後增加了很多新客戶，即 heel（聽不清）PPP 計劃。那麼，當您考慮新客戶時，對嗎？所以是的，在上一個利率週期中，我們的構成確實下降到了 32%。但這一次，我認為隨著利率週期達到頂峰，我們覺得它會比這更高，因為我們也一直在增加具有 DDA 餘額的新客戶，特別是在小型企業中。您聽過 Mariner 談論小型企業的努力以及這如何促進 DDA 的增長。所以我想說我們最終可能會比上一個週期做得更好。是的。因此，我想，暫時做空是我們描述它的方式。

Okay. I guess just following up on that or on the deposit side, how should we be thinking about through the cycle beta now? I think we saw a little bit of an acceleration on interest-bearing deposit costs this quarter. How are we thinking about how should we think about through the cycle beta, either I guess on interest-bearing or on total since you seem to be focused on that a little more?

好的。我想只是跟進那個或存款方面，我們現在應該如何考慮通過週期測試？我認為本季度我們看到有息存款成本略有上升。我們如何考慮我們應該如何考慮整個週期 beta，我猜是計息還是總計，因為你似乎更專注於此？

Yes. We obviously think total is the way to think about it, and the total was in the 30 low 30% range. I think if you -- last quarter and the quarter before, we telegraphed that we would be early to go through the cycle as a more commercial and institutionally heavy deposit base for our company. And that's basically what we've produced. We still expect to end whatever cycle we have similar to the last cycle. And we don't have any reason to expect that to be any different.

是的。我們顯然認為總數是考慮它的方式，總數在 30 低 30% 的範圍內。我想如果你 - 上個季度和前一個季度，我們發出電報說，我們將早日經歷這個週期，作為我們公司更具商業性和製度性的沉重存款基礎。這基本上就是我們生產的。我們仍然希望結束與上一個週期相似的任何週期。我們沒有任何理由期望它會有所不同。

We feel like we're tracking that way. So we end up in (inaudible) 52 somewhere a couple of quick one way or the other. We're around 52 last time. We telegraphed that in the last couple of calls. It's what our expectations are. We'll see how that ends up. But I don't have anything telling us to be anything other than that. And the way we believe it as it looks on a relative basis, we just go through it earlier. And then you also have to think about, obviously, total cost, not just the interest-bearing, just keep that in mind. And then lastly, you can't forget the impact of what we're able to do on the asset side.

我們覺得我們正在以這種方式進行跟踪。因此，我們最終以某種方式快速進入（聽不清）52。上次我們大約是 52 歲。我們在最近的幾個電話中傳達了這一點。這就是我們的期望。我們將看看結果如何。但除此之外，我沒有任何東西告訴我們要成為其他人。我們相信它的方式是相對的，我們只是更早地經歷了它。然後你還必須考慮，顯然，總成本，而不僅僅是利息，記住這一點。最後，你不能忘記我們能夠在資產方面做的事情的影響。

So more than 50% of our loans repricing within 12 months. We've got the repricing of the current book, the back book. And then a significant portion of our loan growth is from new customers and all of the new customer growth comes in at a higher yield. So our loan asset betas were 54% on a linked quarter basis. and 37 cycle to date. We expect to continue to perform well on the asset side and particularly on the loan side.

因此，超過 50% 的貸款會在 12 個月內重新定價。我們得到了當前書籍的重新定價，即舊書。然後，我們貸款增長的很大一部分來自新客戶，所有新客戶的增長都帶來了更高的收益率。因此，我們的貸款資產貝塔值按季度計算為 54%。迄今為止已有 37 個週期。我們預計將繼續在資產方面表現良好，尤其是在貸款方面。

Okay. And that's just to confirm that 52% deposit beta is total, right?

好的。這只是為了確認 52% 的存款貝塔是總的，對吧？

Yes.

是的。

Yes. Okay. And then on the COLI side, with the corresponding expense, is this a third quarter sort of a onetime thing? Or is this now a new level from additional purchases?

是的。好的。然後在 COLI 方面，加上相應的費用，這是一次性的第三季度嗎？或者這是現在額外購買的新水平？

No. We have it quarter in, quarter out, that's part of our deferred comp administration. So we try to mimic those assets and any mark-to-market fluctuations get written up or down in fee accounts, just like we have differed comp expenses. So we tried to break it out to last quarter because of what happened to the equity markets our deferred comp expense, our COLI income came down by about $11 million. And this quarter, it recovered to a profit of $2 million, creating a $13 million. So this quarter's impact of fee income, the benefit from COLI was only $2 million. Same thing on the deferred comp side, we had more expenses of about $2.5 million reflected in our $231 million expense base. That activity happens every quarter.

不，我們有四分之一，四分之一，這是我們延期補償管理的一部分。因此，我們試圖模仿這些資產，任何按市值計價的波動都會在費用賬戶中被增減，就像我們有不同的補償費用一樣。所以我們試圖把它分解到上個季度，因為股票市場發生了什麼，我們的遞延補償費用，我們的 COLI 收入下降了大約 1100 萬美元。本季度，它恢復了 200 萬美元的利潤，創造了 1300 萬美元。因此，本季度費用收入的影響，中國海外發展的收益僅為 200 萬美元。在遞延補償方面也是如此，我們的 2.31 億美元支出基數反映了更多約 250 萬美元的支出。該活動每季度進行一次。

Our next question comes from the line of Chris McGratty with KBW.

我們的下一個問題來自 KBW 的 Chris McGratty。

Ram, I think you -- in your prepared remarks, you said you talked about a 75 ultimate terminal loan-to-deposit ratio. So you've got plenty of room. I'm kind of interested in, I guess, when and how you get there. I understand the comments on loan growth and also saw that you really didn't buy any bonds in the quarter. But is the mass deposits continue to be positive, but perhaps trail loan growth? Or do we see more downdraft in the deposits and securities book?

拉姆，我想你——在你準備好的發言中，你說過你談到了 75 的最終貸款與存款比率。所以你有足夠的空間。我想，我對你何時以及如何到達那裡很感興趣。我了解有關貸款增長的評論，也看到你們在本季度確實沒有購買任何債券。但是大眾存款是否繼續為正，但可能落後於貸款增長？還是我們在存款和證券賬簿中看到更多的下跌？

Well, we fully expect to continue to grow our deposits. And we've become much more active in the market competing in this environment where our customers have options. And as the short end of the curve has come up the way it has, it's a different environment than we've seen in the past where, obviously, customers have lots of options in this rate environment. So we've been -- we've remained competitive and more so recently so that we can keep up with our loan growth. And then that -- then the real goal and job of ours is to remain disciplined on our loan pricing. And we believe we can do that. So then it's ultimately about maintenancing our margin and spread more and growing our net interest income than it is worrying about deposit betas, which we really can't control in this environment.

好吧，我們完全希望繼續增加我們的存款。在這種客戶可以選擇的環境中，我們在市場競爭中變得更加活躍。隨著曲線的短端出現，這是一個與我們過去看到的不同的環境，顯然，客戶在這種利率環境中有很多選擇。所以我們一直 - 我們一直保持競爭力，最近更是如此，以便我們能夠跟上我們的貸款增長。然後——那麼我們的真正目標和工作就是在我們的貸款定價上保持紀律。我們相信我們可以做到。因此，最終要維持我們的保證金和擴大我們的淨利息收入，而不是擔心存款貝塔，我們在這種環境下確實無法控制。

So we focus on all good stuff, the growth and the drivers. We think we can continue to produce above peer level growth, both on the asset side and on the fee side. We've done that for a long time in the 20 years I've been CEO. We've met the expectations and delivered the growth we expect of ourselves. -- and we expect to continue to do that. And when the Fed pivots, when we hit that announcement, that will renormalize the cost side of our structure. So this is really a short-term problem. We don't manage this company for the quarter. We manage it for multiple years in advance, and our growth profile remains very strong. And when the Fed pivots, things will normalize for us.

因此，我們專注於所有好的東西、增長和驅動因素。我們認為我們可以繼續在資產方面和費用方面產生高於同行水平的增長。在我擔任 CEO 的 20 年裡，我們已經這樣做了很長時間。我們已經達到了預期並實現了我們對自己的預期增長。 - 我們希望繼續這樣做。當美聯儲轉向時，當我們宣布這一消息時，這將重新規範我們結構的成本方面。所以這確實是一個短期問題。本季度我們不管理這家公司。我們提前多年管理它，我們的增長前景仍然非常強勁。當美聯儲轉向時，我們的情況就會正常化。

Great. Ram, the $1.1 billion of bonds that come due over the next year, I guess, fair to say that new money, it's just more accretive to put those into the loan book and perhaps shrink the bond portfolio?

偉大的。拉姆，明年到期的 11 億美元債券，我想，公平地說，新資金，將它們放入貸款賬簿並可能縮減債券投資組合會增加增值？

That's right. Yes. We don't -- the last 3 or 4 months, we have not reinvested other than a very tiny sliver into [CLOs]. We've not reinvested our cash flows, and it's all part of the loan deposit question that you asked previously, managing that. We've done this in the past with balance sheet rotation. You heard us talk about it during the last cycle. So it's same playbook.

這是正確的。是的。我們沒有——在過去的 3 或 4 個月裡，我們沒有再投資，除了一小部分 [CLO]。我們沒有對我們的現金流進行再投資，這都是您之前提出的貸款存款問題的一部分，管理它。我們過去通過資產負債表輪換來做到這一點。您在上一個週期中聽到我們談論它。所以這是同一個劇本。

And we've just become more active pursuing those deposits more recently as the excess liquidity has been absorbed into the market.

隨著過剩的流動性被市場吸收，我們最近變得更加積極地追求這些存款。

Yes. Got it. Maybe just one housekeeping question. The $6 million FDIC, that's a bump on an annual basis, right?

是的。知道了。也許只是一個內務問題。 600 萬美元的 FDIC，這是每年的增長，對吧？

Yes, that's the annual number.

是的，這是每年的數字。

Yes. Okay. And then the -- I think you said you're still finalizing the incremental expense from the deposit deal. But I think Old National disclosed there was roughly $95 million premium paid for those 400 deposits. How do I think about just incremental intangible assets and impact on capital? Is it that full amount of money that goes into intangibles?

是的。好的。然後 - 我想你說過你仍在最終確定存款交易的增量費用。但我認為 Old National 透露，為這 400 筆存款支付了大約 9500 萬美元的保費。我如何考慮增量無形資產和對資本的影響？是不是所有的錢都投入了無形資產？

That's the part we're still working on. So it's hard to give you a number right now, but I just wanted to be through out there that expenses will include that. So the clarification between cases goodwill and intangibles that get amortized, -- we're still going through the calculations of that.

這是我們仍在努力的部分。所以現在很難給你一個數字，但我只是想說清楚，費用將包括在內。因此，案例商譽和攤銷的無形資產之間的澄清——我們仍在進行計算。

Okay. But the $95 million, it's just a split, how that's split, but the $95 million is the right number.

好的。但是 9500 萬美元，它只是一個拆分，它是如何拆分的，但是 9500 萬美元是正確的數字。

Correct.

正確的。

(Operator Instructions) Our next question comes from the line of Nathan Race with Piper Suman.

（操作員說明）我們的下一個問題來自 Nathan Race 和 Piper Suman 的台詞。

A question on the operating leverage outlook. Obviously, some nice improvement this quarter. Do you think the improvement that we saw in your efficiency ratio here in the third quarter is sustainable in this type of rate environment? Or how are you guys going to think about managing expenses going forward apart from kind of the true-up that you had in compensation costs in light of the strong production that you've seen so far this year?

關於經營槓桿前景的問題。顯然，本季度有一些不錯的改進。您認為我們在第三季度看到的效率比的改善在這種利率環境下是否可持續？或者你們將如何考慮管理未來的費用，而不是考慮到今年迄今為止的強勁生產，你們在補償成本方面的調整？

Yes. So a lot of the expenses, as we've talked about in the past, tend to be variable in nature and driven by overall company performance or budget production, right? So the fact that we're focused on positive operating leverage for the fourth quarter and for the 2023 budget would suggest that the efficiency ratio will improve from here. So obviously, we'll be investing, as we said in the prepared remarks, we'll be investing in our businesses, hiring for 2023 and 2024, but at the same time, we'll react to the revenue environment and what's happening on the revenue side of the equation.

是的。因此，正如我們過去所討論的那樣，很多費用在本質上往往是可變的，並且受公司整體績效或預算生產的驅動，對嗎？因此，我們關注第四季度和 2023 年預算的積極運營槓桿這一事實表明，效率比將從這裡提高。很明顯，正如我們在準備好的發言中所說，我們將投資於我們的業務，為 2023 年和 2024 年招聘，但與此同時，我們將對收入環境和正在發生的事情做出反應等式的收入方面。

Okay. Got it. And then just maybe turning to the outlook for provision going forward. I imagine growth may moderate in this macro environment to maybe the high single-digit range kind of consistent with your historical trajectory over time. How are you guys thinking about providing for that type of growth trajectory going forward and absent any kind of [CECL]-related adjustments on the Q factors?

好的。知道了。然後也許只是轉向未來供應的前景。我想在這種宏觀環境下，增長可能會放緩，可能會隨著時間的推移與你的歷史軌跡保持一致的高個位數範圍。你們如何考慮提供這種類型的增長軌跡，並且不對 Q 因素進行任何類型的 [CECL] 相關調整？

Well, it's hard to do it absent CECL, but that's a big driver. I think a big portion of our third quarter provision was from loan growth. And so that was the largest number in there. And obviously, our loan quality is incredibly strong. So the combination really going forward for provisioning will be from outsized loan growth and macro environment, statistics driven by our Moody's information. And I suppose your guess is as good as ours. So I would suggest that, that data will not be getting any better anytime soon. So as you think about the fourth quarter, we expect to have strong loan growth and at least I don't -- who knows what Moody's will say. I don't see necessarily getting any worse, but not certainly not going to get any better that data. So it's an albums deal based on what's going on in the economy with unemployment and what's going on site of loan growth.

好吧，沒有 CECL 很難做到這一點，但這是一個很大的推動力。我認為我們第三季度撥備的很大一部分來自貸款增長。所以這是最大的數字。顯然，我們的貸款質量非常好。因此，真正推進撥備的組合將來自超額貸款增長和宏觀環境，以及我們穆迪信息驅動的統計數據。我想你的猜測和我們的一樣好。所以我建議，數據不會很快好轉。所以當你考慮第四季度時，我們預計會有強勁的貸款增長，至少我不會——誰知道穆迪會怎麼說。我認為數據不一定會變得更糟，但肯定不會變得更好。所以這是一個基於經濟中失業率和貸款增長情況的專輯交易。

Okay. Great. And then just on the heels of the sub debt raised recently. Obviously, it seems like that was supportive of some pretty strong loan growth in the quarter. Just curious if that added capital buffer is perhaps supportive of some increased M&A dialogue of later if you're feeling kind of more or less optimistic on additional acquisitions outside the deposits that will be coming on board in the fourth quarter.

好的。偉大的。然後就在最近籌集的次級債務之後。顯然，這似乎支持了本季度相當強勁的貸款增長。只是好奇如果你對第四季度將在存款之外的額外收購感到有點樂觀，那麼增加的資本緩衝是否可能支持以後增加的併購對話。

We remain active in pursuit of acquisitions, continue to pursue those. We'd like to add solid franchises to the base of our organization when we can find the right deal that fits and so nothing new there just we're active in our calling efforts.

我們仍然積極尋求收購，繼續追求這些。當我們能找到合適的交易時，我們希望在我們組織的基礎上增加可靠的特許經營權，所以沒有什麼新鮮事只是我們積極參與我們的呼籲工作。

Our next question comes from the line of John Rodis with Jamie.

我們的下一個問題來自 John Rodis 和 Jamie 的對話。

Ram, just back to the expense looking at expenses for the quarter, what is the right number to back out for this quarter for the COLI impact? Is it the $2 million? Or is it the $11.5 million just to sort of get a good run rate going forward?

Ram，回到本季度的支出來看，對於 COLI 的影響，本季度的正確數字是多少？是200萬美元嗎？還是 1150 萬美元只是為了獲得良好的運行率？

Yes. Just on the deferred column, I would take that 2.5% and then we talked about an operating loss for about $4 million. And then there was some $1 million to $2 million of timing-related expenses on travel and marketing campaign. So if we start with the $231 million of reported expenses, there are some onetime items. I would put them in the $7 million to $8 million category of things that we don't control or don't expect to recur. So the run rate, I would say, is closer to 23-ish -- and then all the other items that I talked about in terms of the charitable contribution just for the fourth quarter, the FDA assessment increase for starting 2023 and then the [AMod] related to the HSA purchase.

是的。就遞延專欄而言，我會考慮 2.5%，然後我們討論了大約 400 萬美元的運營虧損。然後還有大約 100 萬到 200 萬美元的時間相關費用用於差旅和營銷活動。因此，如果我們從報告的 2.31 億美元費用開始，就會有一些一次性項目。我會將它們歸入 700 萬至 800 萬美元的類別，我們無法控製或預計不會再次發生。因此，我想說，運行率接近 23-ish——然後是我談到的所有其他項目，僅在第四季度的慈善捐款方面，FDA 評估從 2023 年開始增加，然後 [ AMod] 與 HSA 購買有關。

Yes. Okay. So okay. So $223 million for the third quarter.

是的。好的。好吧。因此，第三季度為 2.23 億美元。

(Operator Instructions) Our next question comes from the line of David Long with Raymond James.

（操作員說明）我們的下一個問題來自 David Long 和 Raymond James 的台詞。

Looking at the reserve build in the quarter. I know you're pointing to the loan growth side of things. Was the loans that you added require additional reserves? It just looks to me like the addition, if you're using your overall reserve level, the loan growth has sort of been a smaller contributor. Just curious what maybe loans you added and then what ultimate have contributed to the build in the quarter?

看看本季度的儲備建設。我知道你指的是貸款增長方面的事情。您添加的貸款是否需要額外準備金？在我看來，如果你使用你的總體準備金水平，那麼貸款增長的貢獻就較小了。只是好奇您可能添加了哪些貸款，然後最終為本季度的建設做出了哪些貢獻？

Well, I mean, the loan growth in the quarter was $990 million, $590 million, and so a pretty significant component of it. It's driven by CECL. It's a mathematical equation that requires us to do what we do. I don't know if that answers your question, but that's -- it was a significant quarter in loan growth. And so we provision against it.

好吧，我的意思是，本季度的貸款增長為 9.9 億美元、5.9 億美元，因此是其中相當重要的一部分。它由 CECL 驅動。這是一個數學方程式，要求我們做我們所做的事情。我不知道這是否回答了你的問題，但那是——這是貸款增長的一個重要季度。因此，我們對此進行了準備。

Each new loan that comes on the books, requires a reserve -- a percentage of reserves. So by definition, new loans will add to the reserve requirement right out of the gate.

賬簿上的每筆新貸款都需要準備金——一定比例的準備金。因此，根據定義，新貸款將立即增加準備金要求。

Sure. Got it. Okay. And then taking this a step further, looking at your total reserve level, when CS came out, we thought it was going to be very quantitative in what we've heard since then is there's a good qualitative portion. Can you discern between the 2? Is there a portion of your reserve that you'd say is qualitative versus quantitative -- and how much of it would be qualitative if so?

當然。知道了。好的。然後更進一步，看看你的總儲備水平，當 CS 出來時，我們認為從那時起我們聽到的是非常定量的，因為有一個很好的定性部分。你能分辨這兩者嗎？您會說您的儲備中有一部分是定性的還是定量的——如果是的話，其中有多少是定性的？

It's hard to give you that specifically, but there is, I would call the qualitative piece on the margin is what I would describe that as -- and the majority of it is driven by quantitative mathematical, mathematically driven based on loss history, roll on and roll off, loan growth and macroeconomic environment. And then you've got a piece of it that we can use our own assessment of the environment and our own balance sheet and our own dynamics on a qualitative basis to move that up or down on a marginal basis.

很難具體地告訴你，但是有一點，我會稱邊際上的定性部分就是我所描述的——其中大部分是由定量數學驅動的，基於損失歷史的數學驅動，滾動和滾動，貸款增長和宏觀經濟環境。然後你得到了其中的一部分，我們可以在定性的基礎上使用我們自己對環境的評估、我們自己的資產負債表和我們自己的動態來在邊際的基礎上向上或向下移動。

Thank you for your question. There are no more questions leading at this time. So I will pass the call back to our management team for closing remarks.

謝謝你的問題。目前沒有其他問題。所以我會把電話轉回給我們的管理團隊，讓他們發表結束語。

Thank you. Yes, this is Mariner. I might just wrap it up by reiterating our thesis for where we stand and some of the concerns in the marketplace for the industry around deposit betas and kind of how we see that shaping up for us specifically. As we've been saying for a few quarters, we are largely institutional and commercial. That's not new. Our base deposit base is not new, and we've been here before. I've been CEO of years. We've seen this before. We do have telegraphed that we're going to go through it early. We've gone through it early. We still expect to come in right where we thought we would in the 50 -- low 50% range on the beta side.

謝謝你。是的，這是水手。我可能只是通過重申我們的論點來結束它，重申我們的立場，以及市場對行業圍繞存款貝塔的一些擔憂，以及我們如何看待這對我們的影響。正如我們幾個季度以來一直在說的那樣，我們主要是機構和商業機構。這不是新的。我們的基礎存款基礎不是新的，我們以前來過這裡。我擔任 CEO 多年。我們以前見過這個。我們確實已經發出電報，表示我們將儘早通過它。我們很早就經歷過了。我們仍然希望在我們認為我們會在 50 的地方進入正確的位置 - 在 beta 方面低 50% 的範圍。

And we think that you, as analysts and investors should focus more on the whole balance sheet and NII as they are the drivers for our success and performance long term, our ability to grow our loans, our ability to have strong quality with 2 basis points of charge-offs and 10 basis points on the nonperforming side. So we think that on a risk-adjusted basis with the growth that we have we think you should focus more on the profile of the business and less on the short-term Fed action squeeze. And the Fed will edit soon that will normalize our costs, and you will be left with what you normally see with us, which is an outsized growth profile with a better-than-average risk profile.

我們認為，作為分析師和投資者，您應該更多地關注整個資產負債表和 NII，因為它們是我們長期成功和業績、我們增加貸款的能力、我們以 2 個基點保持良好質量的能力不良方面的註銷和 10 個基點。因此，我們認為，在風險調整的基礎上，隨著我們的增長，我們認為你應該更多地關注企業的概況，而不是美聯儲的短期行動緊縮。美聯儲將很快進行編輯，使我們的成本正常化，你將看到你通常看到的我們的情況，即超額增長和高於平均水平的風險狀況。

So that is all remains the same, and we expect to see fourth quarter loan growth as strong as it was in the third quarter with the same kind of quality. And so there's nothing new here on our end. We've just got to live through the short squeeze in the Fred. And we appreciate your continued interest, and we'll keep after it.

所以這一切都保持不變，我們預計第四季度的貸款增長將與第三季度一樣強勁，質量相同。所以我們這邊沒有什麼新鮮事。我們必須熬過 Fred 的空頭擠壓。感謝您一直以來的關注，我們會繼續關注。

Thanks, Mariner, and thanks, everyone, for joining us today. If you have further questions, you can reach Investor Relations at (816) 860-7106. Thank you, and have a good day.

謝謝 Mariner，也謝謝大家今天加入我們。如果您還有其他問題，可以致電 (816) 860-7106 聯繫投資者關係部。謝謝你，有一個美好的一天。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。