Juneau: July 8, 2026 Assembly Finance Committee

Objective. And so here on page 7, you can see how the assets that we manage are broken out on the left side by investment solution type and on the right side by client type. The darkest green bar on the left side is our risk management solutions at $470 billion in assets. That segment really is really focused on our corporate pension clients. So we really help our corporations with their pension investments and kind of when they reach a funded status, How do we help immunize the liability so that they can meet their benefit payments?

The next slice, the, the light green bar, is what we call multi-sector fixed income, and this area is the area that you can, you can think of strategies are.

Managed against a benchmark. So you can think about the S&P 500 on the equity side is a benchmark. In fixed income, something like the Bloomberg Aggregate Index is a benchmark, or for you all, the 1 to 5-year Treasury index is a benchmark. So all the strategies managed to benchmarks will fall into that multi-sector platform, and that's a $300 billion platform at Insight. Again, big number kind of meaning resources, an area that the firm really cares about and is we're supportive of.

And then if you look over to the right side by client type, I'll also point you to the light green bar just to highlight our public and government client base. We're fortunate to be entrusted with just under $140 billion in assets from public entities like yourself.

And then zooming in a little bit further in, focusing specifically on public sector clients, page 8 shows you kind of our global public client, client base at $161 billion.

Clients. In the US, we manage just under $40 billion in public sector client assets, and then specifically just under $12 billion for operating assets. So similar to the work that we do for you all on the term portfolio side. And the reason these stats are important is because it helps to demonstrate our expertise in kind of the objectives of the public sector, which are safety, liquidity, and yield. Making sure that we are experts in the state statutes and the guardrails and investment policies that drive those investments.

And then kind of what else here, there's a map here, kind of all the states that we cover are like where we have clients, and really what we're trying to show here is that we have perspective, right? By working with all these different states, it helps us have a bird's-eye view of all the trends and regulations of how different states do things, and that perspective helps us bring value to you all and advise you.

The best way that we can. And we attend conferences. I missed Angie at the GFOA conference, but we have a presence in kind of all of these local public sector events and activities.

So now that I've set the stage on the firm, who we are as Bank of New York, as Insight, we're gonna transition a little bit and talk about our investment philosophy and process. And this is what we overlay on your investment policy and your objectives to help build the portfolio that we run for you all today.

So on page 10, kind of, I'll summarize here, but precision plus diversification is what we believe to deliver a consistent performance in portfolios. And when we talk about precision, we're really talking about, are we hitting all of the objectives, the safety, the liquidity, the yield, check, check, check. Okay, we got all of the.

Key things that our clients care about. And then on the diversification side, how are we utilizing our toolkit as a global active asset manager and kind of all the perspective that we're getting to bring to bear those ideas and those resources in a way that is precise and consistent for you all. So using that philosophy, the process is kind of iterative in nature, which is why on page 11, It's outlined or shown in a circular kind of diagram, but the starting point is solution design. So what that means is that our belief is that every client situation is unique and different, so you can't apply a one-size-fits-all solution for everybody. So the way that we tackle that is that we partner with key stakeholders such as Angie and Ruth here We are experts on your investment policy and on state statute.

And we really get to understand what are your unique objectives when it comes to constraints like liquidity, how much cash you need to have on, on hand, kind of how do you want these assets to be managed? Do you want it over a 1 to 3 year period, a 1 to 5 year period? And really incorporate all of those quantitative and qualitative factors to design a solution. And once we come up with that desired solution, then we can move to the implementation process, which Jason will talk about in more detail.

Great. Okay, so Tiernell kind of set the stage in terms of the process around us designing and helping you design the investment portfolio and the support around that, delivering that safety and liquidity piece of it. Our job as portfolio managers on the investment team is then to say, okay, How do we go ahead and deliver that yield objective? And certainly to do so in a.

Consistent way. So what you're seeing here on this page is a, a point to just maybe just two main themes. The left-hand side of the page, how do you go about designing an investment portfolio? What are the key risk factors that we're looking at in order to achieve that investment performance? And the three risk factors on the left-hand side of the page are essentially your duration or yield curve profile with how much How long or what types of maturities are you buying?

What types of fixed income securities are you buying and what maturities are they? And that's how to think about duration. Then what types of sectors are we buying, whether it be a corporate bond or a Treasury security or an agency security? And then certainly within that, which securities are we purchasing? So the 3 risk factors on the left-hand side of the page is what we're focused on in terms of how we build your investment portfolio.

How we then get to the.

Best ideas and implement those best ideas on your behalf is really on the right-hand side of the page here. And for us, it's about leveraging the resources within our investment team at Insight to go ahead and as portfolio managers understand what those, those specialist views are and take those best ideas and localize them on your behalf. So as portfolio managers, our responsibility is to know your investment policy inside and out. And to take the firm best views and implement those on your behalf. And how that begins to occur is what you see here on the page.

There's these, these elements of top-down and bottom-up types of analyses. Top-down: what's the economy look like? Where do we think interest rates are going to be 12 months forward, 2 years forward? Bottom-up: within the securities that we're buying, whether it be corporate bonds, or U.S. agency securities. How do we feel about each of those sectors?

What are some of the risks and rewards around.

Around that. And that comes together in what's listed here as our fixed income strategy meeting, and that's as the investment team comes together, we are participating in and learning from our colleagues in terms of understanding how best to bring forward those ideas. The other element on this page that we'll bring forward is this idea of risk management. We call it units of risk. It's an easy place to go when you say that you have short-term, high-quality portfolios, don't have a lot of risk.

We take the other approach and say we want to know precisely how much risk we are taking on your behalf, and we do that through a process known as units of risk. We're happy to get into the weeds on that if you'd like, but you know that we are paying a lot of attention around that precision element of that portfolio positioning. And to give you a little bit more of a, of a view in just terms of the sector, and you look at the next page here, just on corporate bonds, right, where there's credit.

At risk, whether it be an A-rated security or a BBB-rated security. Insight has 20 corporate bond analysts on our team as specialization. Some of the elements on this page include the fundamental research that we do on each corporate bond. So what are the, what are the inputs to that fundamental research? The outputs being our own internal credit rating, our own outlook, The other element that's added to this whole process is a, what we call a relative value assessment, which is what is the yield on this particular investment relative to other similar investments.

And our analysts will put what they'll call a performance rating on it with performance rating 1, you know, as you would imagine being their most highly convicted idea for performance and 4 being the worst. And obviously our jobs is going to try to, try to skew the portfolio to those performance rating.

1 Securities. Mr. Salonte, I'm going to pass you for a question from the mayor. Uh, thank you, Madam Chair, and, um, I can wait for this question, but it seems pertinent to what he's talking about. I noticed in the appendix there's some of the corporations that we're, um, investing in that are at a BBB, uh, rating. And I'm assuming that that's because when we invested in, they were like a AAA, and because the— it hasn't matured and it's dropped.

Is that— am I guessing right on that? That is— that's why we've invested in some of the BBBs.

Thank you for the question, Mayor. Uh, your policy is giving us latitude to own and purchase BBB-rated securities. So, uh, BBB-rated, if you think about the rating scale.

You go from AAA to AA to single A to BBB. Those are all considered investment-grade securities, and those are all considered to be very high quality in the corporate bond space. When you start getting below BBB, that's what they call below investment grade or high yield. So that would be BB, single B, CCC, I think the takeaway that we'd want to leave you with, Mayor, is your allocation in BBB securities is quite consistent with high-quality portfolios. You have a 10% limit by investment policy, and I can give you an example of a, of a particular bond that would fall into that category.

Um, let's see, perhaps, uh, I think the Goldman.

Sachs has got a BBB rating on one side, which is certainly a, a well-known name and a high-quality issuer.

So hopefully that answered your question. Yes, it, it did. Thank you very much. Okay.

Any other questions on just how we think about investment process and how we start to build an investment portfolio for fixed income? Go ahead, Mr. Brooks. Thank you, Madam Chair. Just, you know, more so, uh, how has, you know, the atmosphere been in the investment world with the volatility of the stock market over the last year or so? Has that drastically, you know, uh, impacted the model that you guys are so used to, or have you adapted accordingly and things have been smooth?

Or, you know, how is that impacting what the work you guys do? Thank you for that question. Um,.

Yeah, I think it's a natural segue to move to slide 15, and I had an interesting question from a client similar to that not that long ago when she asked, you know, things must be relatively easy now that we're past, you know, the COVID period, right? And my response to that is it's always a bit of a challenge on the investment side of things from the perspective of much like cash flow forecasting. One of the hardest things that we have to do in our jobs is predicting the future, the, the unknowns of what, of what lies ahead. And market risk and volatility is always a feature of what it is that we're, we're trying to manage on, on your behalf. So I, I think in the environment that we're in, you know, there's obviously a lot more risks that we haven't been contemplated, haven't been.

Contemplating for some time, one of them being inflation. But I think the good news is that your portfolio and short-term high-quality portfolios in general are in a really good place. One of the reasons for that is if you look on slide— thank you— 15 here is that the absolute level of yields are a lot higher than they have been for quite some time. Well, what you're seeing here on the dark green line is the yield curve at the end of May, and then the light green line is the yield curve at the end of May last year. What you'll notice is that there's been some changes to the shapes of this yield curve.

But from an absolute level perspective, we're looking at yields between 3.5 and 4.5% in today's environment for short-term, high-quality fixed income. Which in an environment when inflation might be as high as 3%, perhaps even 4%,.

4% Briefly, you're still out-earning that inflation challenge that we have. That difference, that positive difference, we'll call a real rate of return. Where when you think about prior to the, or after the financial crisis in 2008, 2009, interest rates are really low. We were not making real returns versus inflation because you just weren't getting enough income.

One of the things that we want to bring forward for you all, just in terms of the, the environment that we're in, and if we had to leave you with two economic slides to think about your investment portfolio and how to budget for investment returns, this yield curve chart and then the next chart after that in terms of the federal funds rate are the key charts to think about. And you'll recall on that previous slide, and we don't necessarily have to go there again, but on that previous slide where the majority of the changes were occurring were in the front end of the.

That yield curve. You saw last year the front end of the yield curve was a little bit higher by about 3/4 of a percent. Now it's a little bit lower by about 3/4 of a percent. And that change is precisely linked, or I should say more closely linked, to the changes in Federal Reserve interest rate policy. The Federal Reserve is changing interest rates based on their view of inflation and growth and some of the risks around that.

So when we start thinking about the macroeconomic environment and we start thinking about, well, how do we position your portfolio on that duration block that we had highlighted before on that process page, it's a thought process around where we think interest rates are going and how the yield curve is going to change in response to those interest rates. Our punchline for you all, besides the fact that we think that.

Short-term fixed income is in a pretty good place is that we think that interest rates are going to probably stay here, maybe go a little bit lower over the next 12 to 18 months, which still leaves CBJ in a pretty good place. That's a little bit of a contradictory moment to where the market is currently being priced. The market— and you can see this here on the— with the dotted blue line— the market is kind of thinking that, gee, interest rates might actually go a little bit higher. Our view is that there's some stresses in, in the economy right now that will, will allow the Federal Reserve to be patient and not necessarily raise rates to combat inflation at this point in time. I'll flip quickly through the next couple of pages because I want to be sensitive to time and, and our colleagues behind us.

But some of the rationale has to do with the labor market. You can see here in absolute terms The number of jobs being in the— added to the economy has come down quite significantly post-COVID. Last year, the net effect of it was essentially zero.

This year, it's been a little bit more uneven and perhaps maybe more impactful on the next page. When you think about the high inflation environment, what's occurring is in that bright green line where the percentage of disposable income that's available, or I should say it this way, yes, real disposable income. That's available. Just this concept of the income that we're earning today is being outstripped by, by inflation, by gas prices. We were chatting earlier today.

You know, you can set your watch to it. I'm coming to Alaska to see you all here in Juneau again. And there's an article in The Wall Street Journal talking about how gas getting to interior Alaska is at super high dollar prices because those people had to pay for that shipment while gas prices were high. So even though gas is coming down, they're still paying, you know, the, the high.

High spot prices and a premium on top of that in order to get it on barges and get it into the interior of Alaska. That's paying $9 a gallon for gas is eating into people's real disposable income. So there's our point to all this, and you can see some of that, more of that on slide 16 when you start looking at the earnings power.

Where's that slide? 19, Thank you. You start looking at the earnings power for the, how shall we say, the lower quartile income earners in the country. They're really under a lot of pressure. There's, you know, this is my favorite chart in the pack only because if you look at that experience in 20, from 2014 to generally right before COVID that bottom quartile of income earners was really making some gains.

Relative to, you know, those that already had everything going for them, you know, manufacturing.

Manufacturing and construction jobs are growing at quite a good rate. They were having real positive earnings, and it was all happening in an environment when inflation was only at 2%. This is where we, we, we hope that policymakers can get us back to.

So I have a few more slides in here. I'm not going to go through them at— in any real detail. The risk to our view obviously has to do with inflation. On slide 21, the other risk also has to do with just the strength in financial markets. When you think of NVIDIA, when you think of SpaceX, everything is going great for those folks that have allocations there.

That can have knock-on effects to inflation as well. Slide 22 is a topical chart on just Social Security. It's going to be something that's going to be needed to be addressed here the next, like, 5 years or so. By Congress, that could have implications to our view as well. If you have to.

Issue a lot more Treasury securities into the market. And then as I get to the punchline before— from just, again, we're getting on slide 23, we're just going through like how we're consuming our outlook, how we're thinking about that top-down part of our process and thinking about portfolio construction. You can see some of our takeaways here where that top bar is the federal funds rate. We think it stays steady this year, and then perhaps marginally comes down. We do think inflation will be a problem this year but also come down.

And I would note that growth, which is that thing that's going to anchor our view here, is going to be kind of subdued. So I know that that was a lot to Mr. Brooks's question, and I do want to make sure that we spend a moment on your portfolio before turning over the floor, if that still works. Okay, um, so let's get into it then.

On slide 25. Um, this is how your portfolio has performed since we started working with CBJ in 2019, and there's a couple of takeaways for you here. I'll point your attention to the middle of the page, just that 1-year trailing performance of 4.07% versus 3.75%. So that's over the last 12 months, and that's how much your portfolio has grown. If you look to the next column over 3 years, that's how it's grown on an annualized basis.

Our— so on average, each of those last 3 years, and so on as we get to 5 years, and then, and then since inception. Our job as portfolio managers is to achieve returns in excess of that passive benchmark index that was referenced before. That's the index that's set in your investment policy statement. And our goal on your behalf is to achieve.

25 Basis points or 1/4 of 1% over those benchmark returns consistently over time. I'm pleased to say we've been able to do that. So if you look at that 1-year number by way of example, 4.07% versus 3.75%, so that's 32 basis points of return in excess of the benchmark. If you flip to the next slide on Slide 26, This is a decent snapshot on how we allocate your portfolio amongst the various sectors that I spoke about before, and this might be a good spot to tie back to the, to the mayor's question just in terms of portfolio allocation. When you look at the rows in this page, you're looking at mostly government agencies, government bonds, Government-issued mortgage provincial— excuse me, municipal provincial bonds.

These are all.

US government-related. The majority of the portfolio is in this high-quality— are in these high-quality sectors. And then we have allocations to corporate bonds and asset-backed securities. The asset-backed securities are rated AAA. The corporate bonds have that mix of, excuse me, single A to triple B.

Okay. This is also a place just to kind of give you a sense of the health of the portfolio. When you look at the fair value, $208,830,000 in fair value versus amortized cost, $209,697,000. So a little bit of an unrealized loss. I would emphasize unrealized loss.

We don't have to sell because of the way your portfolio is structured in a way that you're— you've got your safety and liquidity objectives met. When the market is moving around a little bit and you have some.

The investments that are, that maybe work against you, as long as you're not a forced seller, that unrealized loss turns into a matured bond, and that's what's protecting the principal is all about.

A couple more slides and then I promise we will turn it over. On, on slide 27, this brings forward just your maturity distribution and how the portfolio along that yield curve is allocated. You can see by the bars there, it almost kind of looks like a yield curve. And then on Slide 28, I like to call this the total return summary chart. When you think about tying back around budgeting, what can the investment portfolio earn over time?

The first place that you can look to is your yield on the portfolio. That top left-hand box, 4.3%. If nothing changes between now.

In 12 months from now, the portfolio is expected to earn 4.3%. Now, obviously things do change, but that gives you a sense of what the, the return area is going to look like. The next important piece is going to be that effective duration of 2.7. So that is how sensitive your portfolio is to changes in interest rates. So if you think about that 2.7, and interest rates go up by 1%, the portfolio in price is going to lose by 2.7%.

So if you had a duration of 5 and you go up and interest rates go up by 1%, you're going to lose 5% in unrealized losses or in total return, as they say. It works the other way too. So if interest rates start going down, then the prices of your bonds are going to start going up. So I think those are the two sensitive things that you can think about just in terms of budgeting.

How much risk are we taking in the portfolio, what's the interest rate risk, what's the corporate bond and asset-backed risk that we have. And we're obviously working closely with Angie and staff. We meet quarterly just to review the portfolio and highlight any challenges or concerns that, that arise. Like I said before, we think that the portfolio is in really good shape. There's nothing in there that we're concerned about at this point.

And I guess with that, we're happy to answer any other questions that you may have.

Any questions for Mr. Celente and Mr. Brooks? Thank you, Madam Chair. Can you just touch briefly on the top issuers column there and give a little explanation on that, please?

Sure, thank you for that question. So the top issuers you'll see are Freddie.

Fannie Mae. Those are the U.S. government-sponsored agencies, as they're known, if you're familiar with those agencies. So those are all very, very high quality, important systemically, really to the health and well-being of our country. When you think about what Freddie and Fannie are doing, they're in the housing finance business and helping people access mortgages for their homes. And Federal Farm Credit, similarly, they're providing loans for agricultural purposes.

As you start moving further down, some of the names will be familiar to you, like Bank of America Corp. That'll be a corporate bond., or corporate, a number of corporate bonds actually in this case. John Deere, another household name, where in Ginnie Mae and Home Loan Bank are other agencies as well where it may get a little bit more nuanced.

Is when you see the next two. Constellation Energy is probably not a household name, but they— this is one of our— when you think back to that slide where we had our— we're working with our corporate research team, this is one of our performance-rated ones, one of our PR ones in the portfolio. It is a Mid-Atlantic— think like Baltimore, D.C. area— energy and utility provider. And one of the things that makes it a PR one, so to speak, is that utilities are very much exposed to how friendly their regulators are. So this happens— you think of certain West Coast states that may not be so friendly to utilities and regulators.

In this case here, on that part of Delaware, Maryland, Baltimore, Delmarva as they call it, is a.

A friendly regulatory environment, and it is also in an environment where there is a lot of, you know, you can maybe take this both ways, of data center buildout, but that requires a big energy demand pull for Constellation. So all those things wrap up into why that exposure is there. And then finally, Verizon Master Trust. This is an interesting one. So this is an asset-backed security.

And if you're familiar with how asset-backed securities work, they are essentially bonds that, much like your bank deposit, are collateralized by receivables. Many times that could be auto loans or credit card loans. That collateralization creates a AAA rating. In this particular instance, this is collateralized by Verizon cell phone payment plans. And I remember back in the financial crisis, people would rather drive their car, or, you know, they're going to hold on, they're going to make the payment on their car, and they lose their— they lose their home because they can't make the payment on that.

I'm pretty sure in this day and age people are going to be more willing to make the payment on their cell phone and prioritize that versus other, you know, potential bills. Do you agree with that? Yeah. Okay.

So hopefully that—. Thank you. Thank you. All right. Seeing no more questions, thank— oh, go ahead.

See, thank you. And this would be on page 26, the unrealized loss. Just for a reference point, where was that last year? It was at a gain. Oh, okay.

Yeah, it was at a gain last year. I won't have that exact number offhand. The number that sticks in my head is when we went through the inflation shock after COVID. So, you know, the portfolio went from a 2.

$3 Million unrealized gain to, you know, geez, $7 or $8 million unrealized loss because you basically had interest rates go from 0 to 5% in short order. And I think the important piece of it for us is why we— while we are trying to maximize the return for you, we also understand the accounting implications that that means. When, for public sector entities, when you are just repositioning the portfolio in a way that monetizes those losses. So we talk to staff about this often. When we're in this unrealized loss position and we're looking to reposition the portfolio, we're very conscious of if you're going to sell a bond to reposition a portfolio, is it at a gain or a loss?

And, you know, what's the implication if you do actually take a small loss? Back when we were in that post-COVID inflation shock.

Stock environment, we were not moving the portfolio around that much because of that. Okay, thank you. Thank you.

Thank you guys so much for being here. We really appreciate it. Um, Mr. Learman will bring you up for the next presentation.

We are falling a little bit behind. Everyone's got great questions, so keep asking them, but just stay high level if you can.

Thank you, Madam Chair. I'll keep my comments to 10 minutes if I get the thumbs up. Thank you. My name is Bill Lerman. I'm with Alaska Permanent Capital Management.

Been there about 23 years, and my whole career has been associated with AMILIP, Alaska Municipal League Investment Pool.

So I'm going to take my 10 minutes and I'm just going to go through what it is, what it's used for, how it fits in your guys' portfolio or your investment sleeve. We just heard a good presentation by Insights and how it's different and why there's money in the Alaska Municipal League investment pool versus Insights. And then Ms. Flick talked about Series 1 and Series 2, and I just want to kind of give a quick brief overview what the differences are between Series 1 and Series 2.

Am I— so what is it? And what the pool does is it commingles different entities' monies together, and we can think of it as a money market fund-like. And the difference between— it's a government money market. It has all government.

Governments where this AMLEP has credit exposure to it. So that's probably the number one difference. And I just want to kind of put down in the bottom and to understand liquidity and risk insights, touch base on this in this first slide. And if you have your operating cash, what you guys might call your day-to-day funds, we want to keep that in less risk, more liquid assets. And then as you know, your bond proceeds, your reserve accounts, and also your longer-term funds that you might not access to, we want to risk— those assets can be risked up and put in different things.

So when we look at, you know, your investment sleeve, is it— oh, if we think about your investment sleeve and what it looks like, and what I put here is You know, where does AMLIP in your investment sleeve and bank account, you know, First National Bank, that's your day-to-day funds. And then the next sleeve, less liquidity, is your AMLIP Series 1 account. And then the next.

Less liquid is your AMLEP Series 2 account. Then you go down the spectrum a little bit more, your short-term fixed income or your core fixed income. This would be kind of what Insights is, a little bit more risky, a little less liquidity. And so we kind of think about the capital structure and where 3+1 comes in is now they look at these buckets of monies and how, you know, how How much money in each one of these buckets is there? And that's what 3+1 will kind of talk about.

But here I am, I'm just going to talk about that, those Series 1 and Series 2.

And you know, what does, you know, the city use this for? And, and people across the state use it for reserve accounts, operating cash, bond proceeds, tax deposits, and building projects. And it's a way to set.

Separate. Members always get the preservation of capital, a competitive rate of return. I'll kind of dive into that because we want to think about, you know, staff looking at what can they earn in their bank account versus what can they earn in a money market fund versus AMLEP. So, you know, it's always a thing to try to maximize yield without, you know, causing any decline in the preservation of capital. And then the other thing is reporting with audit trails, and, uh, Ms. Flick touched on this, is, is, and because arbitrage is sometimes in AMLEP, if they have reserve accounts or building projects, they can put it in a separate account because it can't be commingled with other funds.

So this is one good opportunity to use AMLEP to be able to not commingle those funds and have our separate audit trails for arbitrage calculations and things to that nature.

So looking at Series 1 and Series 2, earlier we said Series 1 has been around the longest. It was established in 1992, and as time went on,.

On Series 2 was established in 2023. We can think of Series 1 as a money market fund with credit exposure that's a little less risky. You can get your same-day access to capital. Series 2 is a little less risky or a little bit more risky. There's more credit exposure in this that we can think of this as a cash enhancement pool.

This was started, as I mentioned, in 2023. And one of the things I did was I spoke to a lot of entities across the state that were in Series 1 and asked them if they— if it would be advantageous to them to create a second series that was a little bit more risky. And what the feedback I received throughout the state was, they were willing to put their monies into a little cash enhancement pool if there was an additional yield. And what it came back to, about 15 to 25 basis points is what they were looking for in Series 2. So KeyBank manages this pool.

We advise on this, and that's what this pool is about.

Series 1 is the 7-day SEC yields about 3.56% because of— and the 30-day SEC of Series 2 is 3.55%. It's a very flat yield curve, but over time we expect that Series 2 will outperform Series 1 over an interest rate cycle.

Those are the difference in the two pools. And if we're going to take and kind of look, and as I mentioned, Just kind of at a high level, Series 2 does have— this is that yellow bar. If we think about the portfolio composition, it has a lot more credit exposure into it because we're not expecting liquidity needs that much out of this pool. So the Series 2 has 44% credit versus Series 1 of 14% credit bonds. And so when we think about liquidity in the bottom chart, you know, it's a little bit longer in nature, so Just, you know, on the very right-hand side.

And when we think about securities 270 days and greater,.