Good morning, welcome to the Evercore First Quarter 2023 Earnings Conference Call. Today's call is scheduled to last about one hour, including remarks by Evercore management and a question-and-answer session. In order to ask a question, please press the star key followed by the number one on your touch-tone phone at any time. I will now turn the call over to Katy Haber, Managing Director of Investor Relations and ESG at Evercore. Please go ahead. Thank you, Chelsey. Good morning, thank you for joining us today for Evercore's first quarter 2023 financial results conference call. I'm Katy Haber, Evercore's Head of Investor Relations and ESG. Joining me on the call today is John Weinberg, our Chairman and CEO, and Tim LaLonde, our CFO. After our prepared remarks, we will open up the call for questions. Earlier today, we issued a press release announcing Evercore's first quarter 2023 financial results. Our discussion of our results today is complementary to the press release, which is available on our website at evercore.com. This conference call is being webcast live in the For Investors section of our website, an archive of it will be available for 30 days beginning approximately one hour after the conclusion of this conference call. During the course of this call, we may make a number of forward-looking statements. Any forward-looking statements that we make are subject to various risks and uncertainties. There are important factors that could cause actual outcomes to differ materially from those indicated in these statements. These factors include, but are not limited to those discussed in Evercore's filings with the SEC, including our annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. I want to remind you that the company assumes no duty to update any forward-looking statements. In our presentation today, unless otherwise indicated, we will be discussing adjusted financial measures, which are non-GAAP measures that we believe are meaningful when evaluating the company's performance. For detailed disclosures on these measures and the GAAP reconciliations, you should refer to the financial data contained within our press release, which is posted on our website. We continue to believe it is important to evaluate Evercore's performance on an annual basis. As we have noted previously, our results for any particular quarter are influenced by the timing of transaction closings. I will now turn the call over to John. Thank you, Katy, and good morning, everyone. Before I review the quarter, I want to start off by addressing the environment. I've been in this business for many years, and it is clear it will always be cyclical. Historically, Evercore has embraced all cycles and used each part of the cycle to build and strengthen our firm by expanding our client connectivity and product and sector capabilities, and we will aspire to do so again in this environment. In this current cycle, we also see great opportunity to add extraordinary talent to our firm, which will further enhance our franchise. We believe we are well positioned regardless of the macroeconomic landscape and have maintained an all-weather balance sheet. We believe we will emerge from this downturn in a stronger position as we have done in every other cycle. Continued volatility and uncertainty in the market have resulted in a challenging first quarter for both the market and for Evercore. That said, our bankers and teams are increasingly active as promising client dialogues continue to build momentum, and CEO confidence level have begun to rise off of recent lows. In the quarter, Evercore achieved $578 million in adjusted net revenues, $93 million in adjusted net income, and $2.16 in adjusted earnings per share. Our adjusted net revenues and EPS were down 21% and 43%, respectively, compared to last year's record first quarter. In the first part of the quarter, green shoots had begun to emerge. However, in early March, with the banking system disruption, volatility returned and confidence levels shift lower. As challenging macro and geopolitical risks remain in force, coupled with diminished access to the M&A market, global announced M&A transactions greater than 100 in the first quarter were down 43% and 44% on a dollar and number of transactions basis reflected respectively versus a year ago. Our backlogs remain strong. We continue to note that execution risk remains as transaction processes and closing timelines continue to be elongated. While the outlook for global economies and market conditions will continue to influence the timing of deal activity, our teams continue to be fully engaged in consequential discussions with management teams and boards as companies continue to prepare for a turn in the market. A recovery in the market will be led by macroeconomic clarity, increasing confidence levels, and an improvement in the financing markets. As I mentioned, we are seeing significant opportunities to recruit high-quality talent in many areas of our strategic focus. So far in 2023, we've welcomed two new SMDs, one in our Private Capital Advisory business and another in our technology practice. Another advisory SMD is joining the firm later this week in our European equity capital markets business, and one other is committed to join our technology group later this year. Our newly promoted SMDs are off to a strong start. As we move forward, we will continue to focus on actively managing our expense base while executing on our future growth plans. Let me give a brief rundown of our businesses. In global advisory, M&A activity levels were slower than a year ago and represented the weakest first quarter for industry-wide M&A volumes since 2014. We continue to be involved in take private activity, particularly with the tech sector, as sponsors are slowly starting to become more active. We are making real progress with this client base as we have significantly increased our efforts in traditional sponsor coverage over the last year, as well as continuing to invest in our private capital businesses. Our advisory team in Europe had another strong quarter. We continue to build our pipeline in the region. Our leading strategic defense and shareholder advisory business continues to be strong as activist campaigns remain at an elevated pace. In restructuring, where we have 1 of the most active groups in the industry, our activity levels are high and gaining momentum. We are starting to see the implications of rising interest rates and default rates, which began a year ago. In addition, the tightening of credit markets has led to an uptick in traditional restructuring and liability management activity. Significant near term maturity walls in 2024 and 2026 may serve as catalysts for continued activity in the coming months. Our Private Capital Advisory and fundraising businesses saw strong client dialogues and activity in the quarter, albeit at lower levels from peaks in 2021. The fundraising environment across all fund sizes has started to see marginal improvements relative to 2022. The underwriting business continues to be impacted by broad market and macroeconomic uncertainty. We acted as a book runner in 11 of our 12 equity and equity-related offerings in the quarter, highlighting our progress in Equity Capital Markets. In fact, we were involved as a book runner in two of the two largest follow-ons of the quarter. In our equities business, we continue to be a thought leader across both macro and fundamental research, helping our clients navigate recent market uncertainty. Lastly, in wealth management, our long-term performance and client retention have remained strong. Before I turn the call over to Tim to review our financial results and other financial matters, I want to briefly discuss our capital return strategy. We remain committed to our goal of returning excess cash not invested in the business to shareholders in the form of dividends and share repurchases over time. Our board declared a dividend of $0.76 a share, an increase of 6% from the prior dividend declared. Looking ahead, while uncertainty continues to be a constant and to have an impact on the business environment, we remain excited for the opportunities that lie ahead, we have a clear path for the firm going forward. As I detailed in our fourth quarter earnings, our consistent roadmap for growth, including investing in talent and broadening and deepening our products and capabilities, will allow us to continuously serve our clients and address their needs. With that, let me turn it over to Tim. Thank you, John. I'm now about seven weeks into the new role. I'm pleased to be doing my first earnings call as CFO of Evercore. I've been in the industry since 1986, though for the past year we've been in a challenging environment, I know that eventually the cycle will turn. It always does. I am encouraged about our medium and longer term outlook and the way Evercore continues to implement its plan through the cycle. Lastly, I look forward to meeting all of you, our investors and sell side research analysts over the coming months. For the first quarter of 2023, net revenues, net income and EPS on a GAAP basis were $572 million, $83 million and $2.06 per share, respectively. My comments from here will focus on non-GAAP metrics, which we believe are useful when evaluating our results. Our standard GAAP reporting and a reconciliation of GAAP to adjusted results can be found in our press release, which is on our website. Our first quarter adjusted net revenues of $578 million declined 21% versus the first quarter of 2022, which was a record first quarter for our firm. First quarter adjusted operating income and adjusted net income of $115 million and $93 million decreased in each case 46% versus the first quarter of 2022. Adjusted earnings per share of $2.16 decreased 43% versus the first quarter of last year. Our adjusted operating margin was 20% for the first quarter, lower than the first quarter 2022 adjusted operating margin of nearly 30%, but roughly in line with the first quarter adjusted operating margins in 2020 and 2019 of 19% and 23%, respectively. Turning to the businesses, first quarter adjusted advisory fees of $463 million declined 26% year-over-year compared to a record first quarter for advisory fees last year. As we all know, we continue to operate in a challenging environment that has affected the capital raising and M&A markets. By comparison, the dollar value and number of M&A announcements globally for transactions greater than 100 million, which as John cited earlier, were down 43% and 44%, respectively. In accordance with the relevant accounting principles, our revenue for the first quarter of 2023 includes $18 million from transactions which closed subsequent to March 31st, or otherwise had contingent elements at March 31st. To compare, we recognized $45 million in the first quarter of 2022 and $116 million in the fourth quarter of 2022 in accordance with the same accounting principles. First quarter underwriting revenues of $23 million were down 37% compared to the first quarter of 2022, as our underwriting business continues to be impacted by the broader market conditions, which reflect substantially lower than normal issuance levels. Commissions and related revenue of $48 million in the first quarter was down 6% year-over-year, reflecting weaker trading volumes as a result of lower volatility. First quarter adjusted asset management and administration fees of $17 million decreased 10% year-over-year, primarily reflecting a decline in AUM driven by market depreciation. First quarter adjusted other revenue net was a gain of approximately $27 million, in part reflecting the increase in value of our investment funds portfolio, which is used as a hedge for our DCCP commitments. In addition, we generated interest income on our cash balance, which benefited from short-term rates that have been higher this year than last. Also note that our cash balance was higher in January and February prior to bonus payments that occurred in March. Turning to expenses. The adjusted compensation ratio for the first quarter is 63.5%. It is still early in the year, and our first quarter compensation ratio reflects the best estimate for the full year based on our visibility at this point in time, which is limited. With that in mind, it is important to note that we remain disciplined about continuing to implement our strategic plan throughout the cycle and to build on the strength of our franchise. As John mentioned, we believe the current recruiting environment presents an attractive opportunity for us. That said, we are judiciously managing our headcount and using a disciplined approach to hire additional senior bankers where we see hiring opportunities which we believe can be especially impactful to our business. As the year progresses, if we have greater than anticipated success in our hiring goals and or a market recovery takes longer, we will adjust accordingly. Our first quarter non-compensation expenses were $95 million, up 14% from a year ago, primarily driven by an increase in travel and related expenses, including both a higher number of trips and travel costs per trip, as well as other operating expenses driven by an increase in bad debt expenses, which are episodic in nature. As we mentioned last quarter, we continue to expect non-comps to increase in 2023, but at a lower rate than what we saw in 2022. This will be driven by continued normalization of travel practices, some inflationary pressures across both travel and tech, as well as continued occupancy-related increases driven by the annualization of new space and contractual rent increases. We remain focused on scrutinizing our expenses and managing them tightly. Our adjusted tax rate for the quarter was 15.2%, compared to 17.1% in the first quarter of last year. The tax rate for this quarter reflects a tax benefit associated with the vesting of stock compensation awards similar to a year ago, had larger impact this quarter as the net income was lower. Turning to our balance sheet. As of March 31st, our cash and investment securities totaled nearly $1.4 billion. Our excess cash as a percentage of our total cash in investment securities was in the mid-20s% range. We have a durable and liquid balance sheet and a strong cash position, which provides us with the ability to invest in our business throughout market cycles. We regularly review our cash position with respect to the current business environment, and we prudently manage our cash position to ensure we have significant liquidity to enable us to implement our strategy, including hiring plans, ability to capitalize on opportunities, and ensuring all our stakeholders that we have financial stability. In the first quarter, we returned a total of $327.8 million to shareholders through an average price of $132.20. We bought back stock in the quarter through net settlements and in the open market dilution from the RSU grants that were issued in the quarter, and we plan to continue this strategy going forward. Our first quarter adjusted diluted share count decreased by 2.5 million shares to 43.2 million from 45.7 million a year ago, driven by the impact of share repurchases, partially offset by the vesting of awards. While we are currently in a challenging environment, we remain optimistic and energized about the prospects of the Evercore. I am excited in my new role as CFO to help, along with John, our management team, and our board of directors chart the course of this Evercore as we continue to implement our medium and long-term plan and create value for our shareholders. With that, we'll now open the line for questions. Thank you. We will now conduct the question-and-answer portion of the conference. Please limit to one question only. You are welcome to rejoin the queue for additional questions, time permitting. Again, in order to ask a question, please press the star key followed by one on your touchtone phone. Our first question will come from Devin Ryan with JMP Securities. Your line is open. Terrific. Good morning, John and Tim, welcome to the call. I first question, I guess my only question, want to start on just restructuring. John, you noted the restructuring team has been increasingly active, and we're tracking a pretty healthy acceleration in mandates at Evercore over the past 9 months. Just maybe love to just parse through a little bit more of the commentary and how you would frame the current environment relative to maybe some other periods of stress. Looking ahead, you know, with this maturity wall coming, do you think the baseline of activity is gonna be higher for the next few years irrespective of what happens in the credit backdrop? Just wanna get some more flavor for kinda what you're seeing there and how impactful this acceleration is. Sure. Thanks, Devin. We definitely see increasing activity in the restructuring area, and as we've noted, we've invested more there, and our team continues to see momentum in their business, and it continues to build. As you mentioned, rising rates, difficult refinancing markets, really, and also default rates, which are beginning to come up and predicted to be even higher. We are seeing restructurings, more liability management assignments. We are seeing people begin really significant default preparation, and we are actually finding opportunities really across the board with companies, both at larger corporate situations where we really have to help them with their liability management as well as portfolio companies. The wall that's coming of refinancings is going to actually really produce real activity levels. We think that your prediction or your question, which is will there be continuing momentum in this business? We think there will be. We're planning for that. We think that the restructuring business has real legs to it. Comparing it to 2008 in particular, I don't think it will actually be at the same level of as 2008 because I just believe it's gonna be more consistent. I also think that it's gonna sustain longer. I think it's gonna be a sustained activity level going forward. Okay. Thank you. Thank you. Our next question will come from Brennan Hawken with UBS. Your line is open. Good morning. Thanks for taking my questions. Tim, welcome to our quarterly dance. Good to have you. Curious about the comp ratio. Tim, very clear, current, this quarter's level is what you expect, but could you maybe help us frame a little bit some of the commentary around both recruiting but also revenue expectation and environment? Last year, we learned that when, you know, many firms were sort of anticipating a recovery in the back half of the year, and that resulted in some, you know, movement in the expectations of comp ratio. What kind of does that 62.5% assume that the environment remains the same? Then when you think about the recruiting pipeline, does it assume that you're able to continue to recruit in line with your expectations? Or does it not assume any recruiting? How can you help us calibrate that recruiting comment, please? Yeah, sure. And thank you, Brennan. Look, as you know, you correctly hit as in your question, the context of it, the key drivers, which is it does reflect our best outlook for this year. This is probably the single greatest factor that will determine where it actually ends up will be what happens to the revenue. So in response to the first aspect of your question, it assumes an environment that's similar to what we're in today. Now, you know, there's seasonality in the sense that, as we all know, fourth quarter tends to be the biggest quarter of the year for people in our business. It's, it assumes a consistent environment. With respect to the new partner hire, it reflects what we know today. What we're, you know, we don't do from an accounting standpoint is, you know, guess about how many might join us in the fourth quarter or something like that, but it reflects what we know today. You know, the last key variable is really where the market is for investment banking compensation. You know, that remains to be seen. It's a long way away. Great. Thanks for that color. Thank you. Our next question will come from Ryan Kenny with Morgan Stanley. Your line is open. Hey, good morning. Morning. Good morning, Ryan. I heard the comment around the March banking industry events pushing out the pipeline. How should we think about the size and timing of that impact? Did it push out deal completion by a few weeks from March to April? Do you think it's a longer push out from March to maybe year-end or sometime further? Really, it's very much on a deal by deal basis. I think if you're asking whether it takes longer to do transactions, the answer is most likely yes, because it's just taking longer to get the transactions through the pipeline. Once we do get those, it's taking longer to get them, you know, finished and closed. If you're asking the question, will deals that are in the backlog take longer to get out of backlog and into the market, I think the answer is also yes. I think it will take somewhat longer, because I think what's happening now is there's a real thought process going on, which is when will the recovery happen and when will markets become more active and buoyant. I think that, you know, management teams as well as financial sponsors are really looking at that. As we've said, what people are really looking for with respect to deals is clarity, the confidence levels, and really the financing markets being open. That will actually impact how deals come out and what they do. I would say that really it's really across the board, but I think that what you should think about that once deals get out, they'll take somewhat longer, but I don't think it's gonna be material. There are many deals in backlog right now, which are very strong, very good deals, and there's a lot of activity in it really in the backlog that we have. I think what we're saying is those may take a little longer to come out because they're some of the decision makers are really waiting for there to be a turn in the market. Right. One thing I would add to that is that with respect to financing transactions, what you could see, because there's some pent-up demand that we're seeing, companies that would like to raise financing but are sitting on the sidelines, because of the challenging markets, is that when those financing windows open, it's possible you could see some attempt to rush through those windows and you could see a flurry, but we don't know exactly when that will be. Thank you. Thank you. Our next question will come from Steven Chubak with Wolfe Research. Your line is open. Hi, good morning, John, and welcome, Tim. Good morning. Good morning. Well, I wanted to ask a question on traditional M&A. I'm actually gonna pivot and drill down in expenses a little bit. Since both of you indicated that you're focused on managing expenses, alluded to a slower pace of non-comp growth in the coming year, I was hoping you could just offer some additional specificity on the planned expense actions you're taking, and are those what's driving the slower pace of non-comp growth? Are there incremental opportunities on the comp side that you're seeing as well? Yeah, sure. I'll take that. Let me just make a couple of observations. One is, we are up, you know, year-over-year from $85 million to about $95 million, although the $95 million that we booked this quarter is consistent with the prior three quarters. Bear in mind, that's in an environment which is significantly inflationary. You know, we think we have demonstrated some cost containment there. The reason we're at $95, though, as opposed to, you know, the lower number like what you saw four quarters ago, is travel. To me, that's a good thing. If we're gonna spend money somewhere, I like to spend it on travel because that means our bankers are out there seeing clients. We've seen that ramp up. Literally, the number of trips is virtually double what it was a year ago. I think what you've seen is, you know, really an increase in travel, and then what I would call pretty good cost containment with respect to the other expense lines. Now, you know, we're doing a little bit of an office move, which is just required due to some building complications where some of our employees currently are. That'll be there and there's, you know, little we can do about that. With respect to other types of contracts, whether it's information services or trying to reduce the cost per trip of our travel expenses, you can rest assured we're working hard on that. Great. Thanks for taking my question. Thank you. As a reminder, that is star, one to enter the queue. Our next question will come from James Yarrow with Goldman Sachs. Your line is open. Good morning, and thanks for taking my questions. You've talked a little bit about the impact so far, but what do you see as the longer term ramifications of the stress on the banking industry in terms of how it affects the broader M&A business? How would you contrast the dialogues that you're having with large versus midcap clients and between strategic and sponsor clients at this point? The long-term impact of the bank disruption is really hard really to predict. I think we're all hoping that the stabilization will really allow the markets to really go back to, you know, being quite healthy again. We actually anticipate that. We think that the markets will return. Right now, what we're looking at in the medium term is we feel like things will begin to recover. We don't exactly know when. In the near term, we think that, you know, there will continue to be less clarity, and therefore, we think it will take some time. But obviously, things like interest rates, inflation, and really what is happening in the banking system will impact the timing of when things turn. One of the things I think that I think everybody's watching right now is how are the banks feeling about lending? Because as deposits somehow migrate out of banks, some of the banks will actually become a little bit more conservative about lending. That will impact. If that does have an effect, it will impact exactly how aggressive there is in terms of the bank markets generally. We really anticipate and see that banks are really returning to their normal levels of you know, thinking about risk and taking risk and putting money out and doing leveraged loans. We do see a beginning of a recovery in leveraged loans and also in the general lending market. I think what we're looking at is that it's gonna recover. In terms of corporates versus sponsors, we think that sponsors are really looking really carefully at when they can go. I think that sponsors have a lot of capital built up. I think there's over $3 trillion of dry powder on the equity side. I think that sponsors really wanna get to work. I think that will be dependent somewhat on availability and interest rate levels for financing, because obviously, that does impact their economics. On the corporate side, we see that companies really have been doing their homework. I can just tell you firsthand that there are a number of companies that I deal with where they really have done a tremendous amount of work getting ready for what they will perceive as a turn when they see that there is some confidence and that markets will be receptive and that bid-asks are in a decent place. I think you'll see the big corporates start to come out pretty rapidly because they've done a lot of homework, and they've had lots of discussions, and board level discussions have taken place. So many companies know exactly what they wanna do when they perceive a turn in the market and when they see receptivity. That's very helpful. Thanks so much. Thank you. Our next question will come from Matt Moon with KBW. Your line is open. Hi. Good morning, guys. Just had one for Tim. Given t hat this is your first full quarter as CFO, just wondering if you could provide some insights into how you're thinking about the business now that you've had a full quarter under your belt. Sounded like in your prepared remarks that your thoughts on excess cash levels were pretty consistent with prior disclosures. Kinda curious on your thoughts on capital preferences as it relates to buybacks and dividends, as well as your general thoughts on comp and your recruiting philosophy. Would be great to hear your thoughts on these items, particularly if there's any kinda differences in views versus your predecessor. Yeah. Great. Happy to touch on that. It's a bit of a wide-ranging question, and I have limited time, but I'll hit on the highlights. With respect to capital return, you know, I think that's an area where the firm's done pretty well over the last two years. We returned $1.5 billion of capital. This year, $328 million already in the first quarter. We've nearly repurchased shares equivalent to all of the RSUs we issued as part of our compensation process. I'm pretty pleased with that, and I think my own personal philosophy is very consistent with what you've seen from the firm over the last several years. I think, you know, with respect to the compensation ratio, we care a lot about that. We're managing headcount, as I said in my remarks, judiciously. I think if you look at where the headcount stands today in terms of total employees, relative to about three quarters ago or last summer, you would see it's been about perfectly flat over that period of time. What I don't want to do is be shortsighted and because we also care about implementing our medium- and long-term strategic plan and about the growth for the firm. Therefore, we're out there working hard to continue to build and upgrade the team we have in place. I don't like to focus on maximizing margins for any single quarter, but instead, try to build the firm over the medium and long term to create value for the shareholders. Great. Thank you. Thank you. Our next question will come from Jim Mitchell with Seaport Global. Your line is open. Good morning. Another hire in Europe this time on the ECM side. Can you kinda update us where you are in the build-out process in Europe, how you view the current environment and the opportunity set long term? Sure, Jim. We continue to look at really strong growth opportunities in Europe. As we've always said, we are taking opportunities to fill the white spaces and to fill out our product set, as we see opportunities. Really the mitigating factor or the limiting factor is the top talent. Right now we're seeing some very good talent. I could see us doing more hiring in Europe because I believe that what really has happened is that there's some very high-level A+ talent available. We're focusing on that. Will we hire more in Europe than we do other places? No, but what we're doing is we're looking very carefully at the opportunities that we've identified, not only in terms of white space, but also product needs, and we are actually hiring. We're gonna continue to invest in Europe, and we are gonna continue to do so in a way that really is leveraging our opportunities, and also very much trying to take advantage of what we see available in the market. The bottom line is, we will continue to drive that. You can anticipate that we will do that consistently. The markets that we see and the opportunities in Europe are extensive, and I think for us, that build-out is important. Okay, thanks. Thank you. Our last question will come from Steven Chubak with Wolfe Research. Your line is open. Hi. Thanks for accommodating the follow-up. The other topic I wanted to just drill down on is the non-M&A businesses. You've highlighted in the past that's composed at least a third of revenues over the past three years. Just given less activity today, I was hoping you can provide some perspective on how the mix compares to that one-third baseline, especially in light of some of the positive commentary that you offered, both on the restructuring side as well as in the Private Capital Advisory business, given you're more active on the secondary side, which appears to be more robust at the moment. Yeah, thanks, and good question. Look, I think, you know, we've talked, as you mentioned in the past about our non-M&A businesses comprising at least 1/3 of revenue. What you would expect to see in a quarter like this is, of course, with M&A a little bit softer and restructuring gathering steam, you would expect to see that principle hold even more so than normal, and that's the case. Restructuring is ramping up. We've got a fantastic PCA business, and that's one by the way that we've continued to invest in along with the other businesses you've seen. In fact, one of our partner hires who's already joined us, Joy Savchenko, is in that business, and we're pleased to have her here. What you would see is in an environment where M&A sell sides for private equity sponsors is more challenging, that some of those sponsors might be looking at, for example, continuation funds as an alternative. We are, you know, continuing to see activity in that area. You know, we're pleased that what we think we've built, which is what I would call an all-weather firm, is, you know, continuing to prove out in a market like this. I would just add that on the Private Capital Advisory businesses, they're seeing good activity levels, and I think that they continue to see real prospects as the year goes on. They're less limited by the overall, quote, "public markets," and really influenced by availability of capital and also the appetite for sponsors to do different things like raise money or to basically think about bringing some of their companies into a continuation process. So I'd just say that we are seeing really strong activity levels in those areas, and I think that there's a strong possibility that they will continue to build momentum through the year. That's great color. If I could squeeze in one more just on NII. Other fees surprised positively this quarter. The commentary in the release suggests that $17 million was driven by interest income. I know you're never perceived to be a very rate-sensitive firm, but it appears that that's proved to be, at least on that side of the ledger, rates are providing a nice windfall. Given 1Q tends to be the low point for cash on the balance sheet, was hoping you can provide some context as to how you see that contribution evolving as the year progresses, especially if we're in a higher for longer interest rate environment. Right. I think with respect to the other revenue, and just to, for sake of everyone on the phone, let's assume about a third of that was due to the DCCP hedge and then roughly two-thirds to interest income. Of course, the S&P was up about 7% in the first quarter, so that's what would account for that DCCP gain. With respect to the cash, there were really two components that resulted in a higher than normal number this quarter. One of those was of course, short-term interest rates, which are higher than they were a year ago, and, you know, up in the, let's call it the 4% area. But we also, during the first two months of the quarter, had higher cash balances, because that of course was prior to paying the bonuses, year-end bonuses. You know, I'd be a little careful about annualizing, for example, that number, but I think I've given you enough guidance where you can build your own framework. Helpful color, Tim. Thanks for taking my additional follow-ups. Sure. Thank you. Ladies and gentlemen, this does conclude today's Evercore's first quarter 2023 financial results conference call. You may now disconnect.