Letter From Private Wealth Advisors President

On behalf of our team, I invite you to enjoy our annual perspective in “The Long View.” Each year when I sit down to write this introduction, I am afforded the opportunity to review the past year and attempt to put some context to what we just lived through.

FINANCIAL MARKETS stayed in the headlines throughout the year as interest rates continued to rise, inflation remained a bit too sticky and bank failures returned to the landscape. Over the course of 10 weeks we saw the second, third and fourth largest bank failures in history with the collapse of First Republic, Silicon Valley and Signature Banks.

GLOBAL UNREST remained a theme as war continued in Ukraine, tensions between China and Taiwan stayed escalated and unimaginable conflict returned to the Middle East. Domestically, the migration surge on our southern border continues while our elected officials refuse to have a mature discussion about potential solutions.

TECHNOLOGY continues to radically transform the world around us yet the line between reality and fraud has stayed blurry. The criminal trial of Sam Bankman- Fried dominated headlines in 2023 and the meaning of effective altruism became even harder to grasp. Additionally, we continue to read about the rise of Artificial Intelligence (AI) and its opaque and potentially devastating impacts to the economy and society at large.

Yet with all the negative developments cited above, personally I roll into 2024 with incredible optimism. Our bank, First Merchants, remains strong in the face of a challenging banking landscape and in our markets we continue to make a positive difference in our communities through our commitment to helping clients prosper. 2024 will see the largest investment in technology in our company’s history as we work to improve the client and employee experience. Inside of our Private Wealth Advisors business we will completely overhaul the platform our advisors use to help our clients manage their financial resources and, in turn, will deliver incredible enhancements to our clients’ digital experience. These investments will create a new client portal for wealth, trust and banking as well as enhanced reporting and financial planning capabilities.

While investments in technology continue to be important, I am not worried that technology will replace the human side of our business but instead will help enhance it. Every day our team comes to the office motivated and inspired by you and the opportunity to play a key role in your pursuit of a secure financial future. No technology will ever be able to replace that enthusiasm, but continued investments will make our team better and improve your experience.

I hope you share my optimism about the future and believe in the indomitable human spirit that will continue to overcome the challenges placed in our way. Thank you for the trust you have placed in First Merchants and enjoy “The Long View.”

MICHAEL JOYCE

President, Private Wealth Advisors