Direct Indexing for High-Net-Worth Investors

Speaker 1 – 00:00
We’re very passionate about just because we’ve seen the benefit actual dollars, tax dollars save and just lower in
cost for clients as well. So let’s just first talk about what is direct indexing.
Speaker 2 – 00:12
You could invest your money into S&P 500 index fund into an ETF. You’re going to have opportunities where certain
stocks, certain companies have unrealized losses on the table that you could then realize those losses versus just
investing in the S&P 500 itself in a bull run. You’re never going to see losses there that you could even realize half
your.
Speaker 1 – 00:31
Port you could turn over, buy replacements if you’re doing this correctly and offset those gains in the future.
Speaker 2 – 00:36
It really is an environment where you’re consistently shuffling the deck, so to speak.
Speaker 1 – 00:40
For someone that’s invested heavily in a stock that’s like what do I do now? I’ve got $2 million of Nvidia and that’s
like half my net worth. What do I do? You need to have that human and that artwork between the integrity of the
financial plan, the returns, the tracking error, but then also making sure we’re taking advantage of every tax
opportunity we can while keeping the integrity of the portfolio in line. And that’s where I think differentiates our
technology married with manpower that you’re not going to get in a big corporation like Vanguard or Fidelity. It’s
very automated and technology driven. A stock loss can offset your. A stock loss can offset your. One of the
biggest mistakes we see in modern investing is when people use traditional mutual funds or even ETFs in a non
qualified brokerage account.
Speaker 1 – 01:28
We’re going to show you a strategy that could save you millions of dollars long term in taxes while still generating
the performance of the index itself. So Nick, we’re here to talk about what we’ve been doing now for you know,
three to four years, direct indexing. So this is something that we’re very passionate about just because we’ve seen
the benefit. Actual dollars, tax dollars saved, you know, returns equating what indexes would give you anyways and
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just lowering cost for clients as well. So let’s just first talk about what is direct indexing. Then I want to talk about
what problems does it solve. Then we’re going to talk about the value creation for clients of just actual, you know,
tax alpha, performance alpha and then just you know, distribution alpha.
Speaker 1 – 02:19
And then let’s talk about how at EWA we actually execute it and the importance of. There’s lots of direct indexing
platforms out there, some that Just do like the S&P 500, why we do it across multiple asset classes and how our
decision processing occurs behind the scenes so that it’s a, you know, a balancing act of tracking error of tax
alpha, but also making sure just the overall integrity of the portfolio stays intact. So first we’re going to start with
what is direct indexing? So if you were to explain this to a 5th grader, how would you explain direct indexing?
Speaker 2 – 02:59
So, yeah, it’s easier to start, I guess. Just let’s focus on large cap, domestic large cap, S&P 500. So you could invest
your money into S&P 500 index fund, into an ETF, let’s just say iShares ETF and you would hold one ticker and you
would be tracking the S&P 500 index with your investments. So the basis of what we’re doing with direct indexing
is when you have a bull run for 10, 12 years, you’re not going to be able to harvest really any losses in that portfolio
if you just hold the S&P 500 index because it’s up, obviously. So what direct indexing is really looking at is let’s
unwind that S&P 500 index and let’s hold 300, 350 of the individual holdings in the S&P 500.
Speaker 2 – 03:53
So we want to mirror the S&P 500, but hold all of the underlying constituents of the S&P 500. So even in a bull run,
you’re going to have opportunities where certain stocks, certain companies have unrealized losses on the table
that you could then realize those losses versus just investing in the S&P 500 itself. In a bull run, you’re never going
to see losses there that you could even realize. So the basis for us with direct indexing is let’s mirror what you’re
seeing with the S&P 500 index in terms of your portfolio construction, but also have the ability to generate losses
and improve your tax alpha on the portfolio as well.
Speaker 1 – 04:36
Yeah, so just to put that in like a simple analogy, if you’re investing in like the bull, like a bull run, like you mentioned,
if you put a million dollars in to a portfolio and then it grows to $2 million ultimately if you’re in the highest capital
gain bracket, let’s say with no state tax, you pull out $2 million, you’re gonna get a million dollars tax free because
that was your basis. The million dollars of gains is you’re gonna pay 23.8%. So that example you’re gonna pay
$238,000.
Speaker 1 – 05:04
Well you just said is if you hold the individual stocks of the s and P500 and then let’s say Pepsi drops, you buy
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Coca Cola or you know, these different opportunities arise and I’m going to pull up some examples in a second to
show you year by year those tax losses you can carry forward in your tax return up to $3,000 per year against
earned income. But above that, dollar for dollar, if you have a short term loss, long term loss doesn’t matter. Those
will dollar for dollar offset a long term gain or a short term gain that you experience.
Speaker 1 – 05:38
So I think this is one of the best things in the tax code that exists because if you’re, if that million dollars grows at
$2 million and you’re that direct index client, when you would unwind that $2 million could potentially be tax free if
you’ve harvested up to a million dollars of losses while achieving the same returns while getting there. So the goal
very simply would be to you know, get the money, your money out basis plus gains without the taxes involved with
it or minimizing the taxes involved with it. And historically there’s been studies to show on a percentage basis what
the tax alpha is. Do you know what that is Offhand?
Speaker 2 – 06:19
I don’t offend though.
Speaker 1 – 06:20
I think it’s 1.08%. On the screen you can see if you have a non qualified account and let’s just say this is on a million
dollar portfolio over 20 years a 1%. So we apply that 1.08% tax alpha and just round that down to let’s just say you
get 1% tax alpha. The difference of your actual portfolio over 20 years will be $662,549. So you know, on $10
million over 20 years that would be 6 million. So the bigger obviously for high net worth client trying to minimize
taxes, this can be a huge strategy. So right now we have an example on the screen that’s going to show the Russell
3000 index. So the Russell 3000 index is mix of large mid and small cap stocks in the U.S. and so this, what you
see on the screen here is between 2006 through 2021.
Speaker 1 – 07:14
So what I love about this slide is it shows out of the Russell 3000. So the bottom column here, let’s just look at the
last year 2021, the Russell 3000 did 25.7% returns and the 3000 stocks a little bit more than 3000 stocks actually
that made up the Russell 3000, it’s, it can fluctuate a little bit below or a little bit above. Actually 992 companies
that year in 2021 were negative, only 2. So 2/3, 2055 are positive. So if you were invested in the Russell 3000 index
by itself you just like you started this podcast Nick, that year in that fund you would have, if you invest a million
dollars end of the year you’d have 1.257 and there’d be very minimal if no, you know, opportunities.
Speaker 1 – 08:03
Because if to tax loss harvest if you own that fund, you have to sell the whole thing. If the market’s in a bull market,
there’s no time where you’re going to go below your million dollar investment. And once you get some significant
gains, there’s just not going to be that opportunity to tax loss artists. If you’re a direct indexer in this example now
you don’t own every stock in the index because you need replacements. You’re owning enough. So for example in
our portfolio 125 companies in our large cap we can get up down to a 2% tracking error. So if one company drops
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like Pepsi is my example, when you buy Coca Cola, there’s no material differences in what sectors you’re in or what
your returns are going to be compared to the s and P500.
Speaker 1 – 08:43
But if you own the stocks in this year you’re getting that 25.7% return over a little bit within that 2% tracking error, a
little bit less, a little bit more. But you’re gonna, you’re able to turn over a third of the portfolio and have, you know,
as long as you don’t buy the same Stock Back in 30 days, there’s no wash sales. You’re able to carry that loss
indefinitely in the future to offset any gains that you have. So I think this slide is a perfect example. If we go back to
2020, almost 50. So if 1,539 stocks went up, 1,447 stocks went down, still a 20.9% gain. So it’d be catastrophic if
you were an index investor that year in a non qualified account.
Speaker 1 – 09:20
No opportunity really to tax loss harvest if you’re a direct index, half your portfolio you could turn over, buy
replacements if you’re doing this correctly and offset those gains in the future. Anything else before we go from
what it is to obviously we’re starting to talk about what problem it solves. There’s, there’s many other problems it
solves Any other things to add, but this part is like what it is and what it isn’t.
Speaker 2 – 09:44
I mean, I would just add in that when you’re talking about the tracking errors. So yes, we’re not holding every stock
in the S&P 500, but we are frequently trading outside of those wash sale windows. So every 31 days and looking
for opportunities to harvest those losses. But the tracking error, what we’re trying to do is we’re trying to hold
enough underlying holdings in the S&P 500 and Constrain that tracking error to have the sector weightings of The
S&P 500 matched as closely as possible with the actual holdings in the portfolio. So we’ll take a look at tech, we’ll
take a look at consumers, we’ll take a look at materials, we’ll take a look at all the different sectors inside the S&P
500. And we’re looking to have those weightings closely mirror what The S&P 500 weightings actually are.
Speaker 2 – 10:35
So that’s kind of the base basis for those holdings. And then yeah, we’re looking to harvest any losses we have on
a continuous basis. And it’s not necessarily getting out of the full position. We’re looking at share lots that have
losses. And it’s also not getting out of the position indefinitely. We will look to get back into the position that was
operating at a loss that we harvested outside of those wash sale periods. So it really is an environment where
you’re consistently shuffling the deck, so to speak, with those holdings.
Speaker 1 – 11:05
No question. Yes, I would say so moving on to what problem it solves, I would say, you know, three things
obviously. The first, very low table stakes, just obvious is like you don’t want to invest in mutual funds inside of a
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non qualified account. Because in a mutual fund what happens, the manager could turn over 20% of the
companies. And that capital gain, even if your mutual fund that you’re invested in didn’t have a gain, if they turn
over some of the stocks that were to gain to buy new ones, that capital gain gets distributed to you as one of the
mutual fund holders. So we’ve seen clients pay taxes on their mutual funds and their account didn’t even grow. And
you’ve seen this very common.
Speaker 1 – 11:39
That’s why we look at for, you know, clients that have that where they’re trying to unwind those is, you know, those
get announced in the December time frame. And so you’re looking at what do we need to get out of before we get
this huge tax surprise. That’s just low key table stakes. The second thing that direct indexing, the problem it solves
is even if you’re an ETF investor, which was as much big step up from mutual fund investing in a non qualified
account, you’re still going to have capital gains in the same sale. And so direct indexing can, I don’t want to use the
word eliminate. It can get as close as it can minimize the tax liability dramatically compared to just a regular etf.
So that’s the second thing. The third thing, the problem it solves is the industry as a whole.
Speaker 1 – 12:18
When advisors say here’s my fee, maybe they’re charging you 1%. There’s also internal fees. The portfolio they
have you in has internal fees. And those on an industry standard because a lot of old school advisors have their
clients, mutual funds, ETFs are really taking off regardless. The average cost when analyzing what a client’s paying
internally is 65 basis points. So it’s almost 2/3 of a percent. And so direct indexing, when you own the stocks
individually, you’re erasing those fees because when you own a stock there’s no internal management fee to pay a
mutual fund manager, even ETF manager. So you’re erasing, you’re cutting costs down dramatically.
Speaker 1 – 13:01
Another problem I would solve, it would say it solves is that the flexibility you have if someone is distributing
money and they’re with Fidelity or Vanguard or whoever, you know, the corporate, a corporate advisor and let’s say
they have a million dollars and they’re like I’m going to take out 50,000 a year. That company is selling pro rata
every fund they own. Some are doing good, some doing bad. And, and when you do that you can really cut into the
whole purpose of having diversification asset allocation is that you can have something to sell at a gain and not
sell something at inopportune time.
Speaker 1 – 13:38
And direct indexing, not only do we not have to sell things pro rata, we can go in and specifically look at which
holdings we can sell to get the client money or we can redirect dividends and look at the exact tracking error that’s
going to happen if we choose a specific position. And the same thing would be like a donor advised fund. So let’s
talk about a donor advised fund, Nick. Like the flexibility of having an individual stock at a highly appreciated
versus having one fund. Talk about that.
Speaker 2 – 14:11
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Yeah, I mean we can take a look at any long term highly appreciated share lot and there’s really great opportunities
there to donate that directly to the donor advised fund. Another huge tax boom to your portfolio and your overall,
you know, financial planning situation versus if you have a mutual fund, you know, like you’re just throwing average
cost in there. You’re not able to really take a look at individual holdings and individual share loss.
Speaker 1 – 14:36
The best thing you can do is you can look at what share lots. Right. Which can eliminate. But if you look at like
what I just that sheet of the Russell 3000, there’s the fund overall is doing great, but internally use usually a couple
of stocks that are really leading the way. So the way the donor advised fund works is you can donate up to 30% of
your adjusted gross income. So if you’re adjusted gross income was half a million, you can donate 150,000. I’m
talking 30% is the stock like you can donate a highly appreciated asset to a charity. So in that example, if you
chose a stock that you had invested 10,000 in and now is worth 150, so it’s $140,000 gain, you’re saving 23.8% if
you’re in the highest tax bracket of that $140,000 gain.
Speaker 1 – 15:16
Plus if you’re in the highest tax bracket, you’re saving 37% of the 150. So when you look at a dollar for dollar basis,
what you’re saving compared to the gift itself, we’ve seen clients, you’re saving 60, 70, maybe 80 cents on the
dollar. When you look at how much we’re not paying capital gains and we’re getting that full. So having the
flexibility versus like if you were an S&P 500 index and your base is a hundred, the gains at 50. Yeah, you’re still
getting the 37% deduction on the full 150, but you’re only getting that 23.8% savings on a $50,000 gain versus in
that example, $140,000 gain. Direct indexing gives you the flexibility to pick that most highly appreciated stock,
whereas a mutual fund or ETF portfolio would not. Right. And I would say the last. And there’s many, many benefits
of direct indexing.
Speaker 1 – 16:10
We’re just kind of doing an 8020 analysis. Like what are the five that give you 80% of the results? What you need to
know now, I would say for executives, so if you have a high or for someone that’s invested heavily in a stock that’s
like, what do I do now? I’ve got $2 million of Nvidia and that’s like half My net worth, what do I do? Direct indexing
can be perfect for that for several reasons. But walk us through how we would start to develop a game plan around
a highly appreciated stock. Whether you’re an executive that’s had RSU’s vest over the last 10 years, whether if
you’ve put money into these tech stocks that have highly appreciated will be our game plan with direct indexing in
mind of how we would start to unwind those in a tax efficient manner.
Speaker 2 – 16:52
Yeah, definitely. So I mean as you’re going through on a, for us, a monthly basis outside of those wash sale
windows and we’re generating significant losses throughout the year, any highly appreciated position, maybe you
have a legacy holding that you’ve invested in for 20, 30 years and held onto for a long time or you hit, you know, a
home run with something like Nvidia and now you have a significantly overweight position in your overall portfolio.
And you know, maybe it’s done great for you, but now you want to take some of it off of the table and rebalance,
but you realize there’s a huge tax bill coming. It’s great. You know, like paying taxes isn’t necessarily a bad thing. It
means you’ve won on that investment.
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Speaker 2 – 17:34
But direct indexing can really help with removing some of that tax bill while you’re also reallocating your portfolio.
So like let’s lock in those gains on that Nvidia position by taking potentially 60, 70, 80,000 in losses that we
harvested throughout the year and just directly wiping out that gain to sell out of some of that Nvidia position. And
it’s something that we analyze and we do on a consistent basis for our portfolios. We’ll take a look towards the end
of the year at any maybe tax inefficient active funds that a client’s had for many years with large embedded gains
or in this scenario, you know, a large, highly concentrated stock, something like that in your portfolio.
Speaker 2 – 18:19
And let’s take a look at what we’ve harvested throughout the year and take some of that off the table and we can
sell that without having a tax impact on the basis.
Speaker 1 – 18:29
You basically have that you can step up basis. When you have a basis, all of the basis is tax free or you can, you
know, bank those on a tax return. You have to work with a CPA that knows what they’re doing, which we obviously
have in house, but that you’re able to, you know, take those banked losses and offset any gains in the future. The
Nice thing about this is this. A loss in the direct index portfolio could offset, you know, a capital sale in your
business. It could offset a real estate transaction. It could offset any passive investment that you have if you
haven’t gained in it. These losses can offset those on your tax return. So a stock loss can offset your business
gain. A stock cost could offset your real estate gain.
Speaker 1 – 19:05
It’s how the two interact can be really key.
Speaker 2 – 19:08
Yeah, and the losses will stay with you indefinitely even if you don’t use it in the current year to, you know, harvest
any gains and wipe out those gains with those harvested losses. I mean it’ll stay with you next year, the following
year, continue to build up that loss bank, if you will.
Speaker 1 – 19:22
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So the third thing, we talked about the problems that solved the third thing. Let’s talk about the value creation. So
the value creation, obviously we’re eliminating the soft cost of the portfolio. Now we have a small fee that we have
to charge because one we operate, we sponsor what’s called a RAP program. So RAP program means our clients
never pay us fees to get in or out of something or when we trade internally. So anything, any fee that’s incurred.
Now Fidelity and Schwab have, you know, if you have over a million dollars paperless, the domestic stocks are, you
know, commission free. There’s no longer that $5 per trade. But the ADR is the international stocks, they do have
this. We cover 100% of that. We also have technology costs that you know, are over six figures a year.
Speaker 1 – 20:00
And I want to get into the weeds a little bit of how we do that. But we’re able to take those 60, that 65 basis points
that someone would pay on average internally and lower that to as low as like 10 basis points. So we’re going to
cut that, you know, down by 5x. So which is obviously fees erode the portfolio value dramatically long term. So
that’s one value creation. The second thing obviously is dollar for dollar taxes. We talked about the 1% a year, how
that could be on a million dollar portfolio over 20 years at $660,000 plus of value gained. But I would say the other
value creation is just the distribution. When someone, that’s pro rata, if you have a million dollars good, assuming
50,000 a year from 2000 to 2020, I’ll actually pull up a slide to show this.
Speaker 1 – 20:45
So if we look at someone like with a million dollars from 2002 through 2020 and they’re pulling money out, if they
were just invested in the S&P 500 and they just ripped 50,000 a year out. They would have started with a million,
taken out a million ending result after 20 years would be $454,000. Now if they were ETF invested like 8020
allocation, so large mid small international emerging markets, you’d have doubled your results. A million dollars
you start with take out 50 a year. Over 20 years you’ve taken out a million. At the end you have 890. However if
you’re able to pro rata take out road to split, you know the account 80% it’s direct index 20%. We have in you know
a five year duration bond portfolio we’re able to refill stocks were up.
Speaker 1 – 21:29
We have a cash account for one year in advance. We’re able to refill from stocks if stocks were up. If not from
bonds. Remember to refill from a direct index portfolio that’s you know, we can get that refill tax free. This doesn’t
include the tax savings on it but you can see on here the, you start with a million, you take out a million. At the end
you have 1.36 million. So just dollars save when you have control of the portfolio and how the distribution
methodology works can be massive. You know and this you have $10 million, you know, just do the math on that.
But any other value creations that you would point out. Nick, before we get into the why it’s important to have a
direct index program that’s technology based but also has humans behind it.
Speaker 1 – 22:14
Anything else to add before we go into the kind of the, the weeds of how it works? I think we covered a good bit of
it.
Speaker 2 – 22:19
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Let’s, let’s dive into it.
Speaker 1 – 22:21
Okay. So there’s a lot of platforms that have you know, AI backed and that are just like these big corporate
programs. You throw money in and it just, it, this technology just runs it. Now some of the clients that we work
with, high net worth clients have positions it needs to have human oversight. We don’t want to go and say oh you
have $2 million Nvidia, that’s a $1.9 million gain in it. We don’t want to just throw that in a corporate program and
you just rip it, pay all the taxes and then it’s gone. So it’s, you know, it’s pretty obvious we want to have I, I use
analogies like going to see a surgeon or going to see a robot to do your surgery.
Speaker 1 – 22:56
Why not go see a surgeon that has robotic arms that they can, you’re they’re still doing your surgery, but they have
the ability to get into angles they couldn’t with the human hand. Now, that’s our technology, you know, gives us all
the data to run the platform, but ultimately we have the manpower. You and a team under you that is able to look at
each account by account and make the technology, gives us the data, gives us the suggested decisions, but you’re
ultimately pressing go. So walk us through that process.
Speaker 2 – 23:28
Yeah. So really, you have to have powerful technology to roll this out. It’s something that could you do it yourself?
Yes, but it would not be an efficient usage of time. So, yeah, how we’re utilizing the tech here is we input everything
that we want to see. So we’ll build our custom blended benchmarks. We’ll set our overall asset allocation how we
want to see the direct indexing portfolios come to life. And ultimately we’ll set the prompts. The software will
assist with the tracking error and the constraining. So it’ll make recommendations. But you need the human
component as well, because we understand the relationship side with the client and not necessarily just making
moves based on what the software is generating and saying to do. So we ultimately have full control over the final
allocation here.
Speaker 2 – 24:27
So it’ll look to harvest losses, it’ll look to replace certain equities. But if we don’t like what we’re seeing from the
tech, we can easily make our own changes to it. So it really is taking the driving force behind it is the tech, but we
have full control over the entire process at all times.
Speaker 1 – 24:46
Yeah. So one of the important things, obviously is to look at when you’re going to trade. It is what’s available that
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we could sell at a loss. And the technology provides that. It also provides. Okay, here’s what we’re purchasing. If
you sell something at a loss, we’re not waiting for 30 days in cash. We’re at the same time purchasing the new
stock. No wash sales. So that’s one point of it. But you don’t always make those trades that suggest though,
because there’s a second component. And this is where the artwork of let’s maximize taxes, but let’s keep the
integrity of the portfolio. Let’s keep that tracking error.
Speaker 1 – 25:22
So, for example, if it’s saying, here’s 10 stocks that you could sell at a loss, and one of those is, let’s say Nvidia,
which is like powerhouse on the S&P 500 right now, and say, well, we already own the other six of the Mag 7. If we
sell this thing, the tracking error is going to go from 1 1/2% to 4%. We’re not making that move. And that’s again,
the importance behind the human, behind the technology is having the artwork to calibrate. Just like AI can’t read
emotion, it can’t read. I mean, it’s kind of scary with how powerful it can be, but it’s also just as scary with how
people are depending on it for some human decision.
Speaker 1 – 25:59
So you need to have that human and that artwork between the integrity of the financial plan, the returns, the
tracking error, but then also making sure we’re taking advantage of every tax opportunity we can while keeping the
integrity of the portfolio in line. And that’s what I think differentiates our technology. Married with manpower and
it’s not just men’s women as well, but married with the human backing that you’re not going to get in a big
corporation like Vanguard Fidelity that just, you know, it’s very automated and technology driven. You don’t have the
one one attention that you would, you know, with an account at uwa. Exactly.
Speaker 2 – 26:36
It’ll show opportunities, but all those opportunities aren’t necessarily something you want to take. So there’s always
going to be a need to have that human component taking a look at the software and working the portfolio for sure.
Speaker 1 – 26:48
Well, one of the, I was just in a client review and this client, you know, has, I, I think he started a couple years with
us and he started with like 10 million. His accounts now worth like 16 million. And he’s in distribution mode. So
we’re sending him, he could be living off of a lot more, but we’re sending him 50,000amonth. And so what amazed
me is when I was getting ready for this review, I think this was back in October, we had sent him 50,000amonth. So
that was like, we had sent about half a million dollars at that point. And his account for the year was up like at that
point two and a half, $3 million because the market shot up. I think he was up like 18 to 20%.
Speaker 1 – 27:27
But you’d think, okay, if he’s up that much and he’s taken out a half a million dollars through October, what taxes is
he gonna owe and what. The amazing thing is, net of what we had sent him, he was carrying a $284,000 loss just
for that year. So he not only is gonna pay zero taxes on those distributions that occurred, the he has another
284,000 that he’s able to carry forward next year. So next year if there’s not as much tax loss harvesting
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opportunities, he’s still going to be able to offset any distributions or any gains that are received in future years.
That to me is like clicked. It’s like, wow, he’s getting, and this is not stock picking, this is not trying to beat index,
this is getting index return.
Speaker 1 – 28:12
Now he had beat the index by a little bit, but this is getting the index returns while being as tax efficient as
possible. And that was just a perfect example of how this works. If he was just in ETFs, he would be, you know,
getting half a million dollars to having to sell 600,000 at that point to get the half a million after taxes are taken into
consideration. And here not only would we not have to pay taxes, were able to create alpha for future years while
doing that as well.
Speaker 2 – 28:39
So no, it’s absolutely huge. It’s not all about the performance, but the performance was right in line with what you
would hope to see if you were just investing in, you know, the s and P500 index itself. Not that we’re only investing
in large cap, we’re spreading it across large mid and small international markets as well with our direct indexing
initiative. So yeah, it’s absolutely massive to see solid returns in comparison to the indexes, but also have the
ability to pull all that money out and not have to pay any taxes and create an even bigger bank of losses harvested
for the future.
Speaker 1 – 29:13
So yeah. Any questions? If you’re interested in how our direct indexing platform could be a catalyst in your financial
plan, please reach out. We’ll look forward to catching everyone next week.