We want to generate the earnings, but we also want to do it the right way where we’ve got a quality business and it continues to build the brand of CapStar and make it a well-rounded financial institution.
Brett Rabatin: Okay, that’s great. If I could sneak in one last one Chris, just on CECL, you mentioned the implementation, and I think 3Q I think your reserve on CRE was 85 basis points. With CECL it seems like we could see some rebuilding of reserves for the industry assuming using Moody’s model et cetera. So Chris, wanted to hear if you anticipate of kind of a building of reserve levels and somewhat of an uncertain environment from current the 1.03%. Thanks.
Chris Tietz: Well I think, yes, it’s hard to answer that. What I would say is that, CECL is so heavily tied to national macroeconomic trends and that has been the most resilient and predictable kind of indicator of loss overtime. So, I mean we have the opportunity to modify that based on qualitative criteria. You mentioned commercial real estate, for instance, specifically again, I’ll remind you that our underwriting model for commercial real estate has and continues to be a high equity model, which we believe mitigates us against anomalies in the business cycle and cyclical risks from higher rates and lower valuations. I don’t know if that answers your question, but that’s probably about the best guidance that.
Tim Schools: Could I add maybe to what he is asking. And we have Jeff Moody here, our Controller as well, so correct me if I get off track here, but we are adopting as of January 1, and of valuing the — and evaluating the banks that have adopted previously the — I don’t know the correct term. But the adjustment for seesaw appears to be in line with what other banks have had when they’ve adopted. And I think that – reserves tend to go up, but I don’t – I think that’s more from the adoption of CECL I don’t think it’s anything due to the environment for the current economy, and I think investors should expect something in the range to what other banks have had when they adopt it. And then I’m not an expert on it, but as the macro environment changes one way or the other, that will determine your question Brett, but nothing I would say, nothing more so and Jeff, please correct me.
I think nothing more so than normal adoption levels that maybe we’ve seen from other companies.
Jeffrey Moody: Correct.
Tim Schools: Okay, he is confirming that.
Brett Rabatin: Okay, that’s really helpful. Thanks for all the color, guys.
Operator: Thank you. And one moment for our next question. And our next question comes from Graham Dick from Piper Sandler. Your line is now open.
Graham Dick: Hi, good morning guys.
Tim Schools: Good morning, Graham.
Graham Dick: Just wanted to circle back to the margin conversation quickly as you mentioned that at December margin at 3.35% and betas accelerating during the month? When you guys look to the beginning of this year I guess 1Q and maybe into 2Q, a little bit would you expect the margin to be about that 3.35% level or above it or size of large kind – how you’ll see it trending in the near term?
