ROADSHOWS: Communications / Media / Software - Andrew Freedman & Felix Wang /Hedgeye   •   London 10 - 11 Nov   03 - 11 Nov 26       Behavioural Finance, Portfolio Strategy & Quant - Jim Rocchio /Kailash Capital Research   •   London   05 - 05 Nov 26       US, European and Asian SELL / SHORT Ideas - Robert Prather /Vision Research   •     10 Nov - 15 Dec 26      
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The Cut

Fortnightly publication highlighting latest insights from IRF providers

Company Research

Growth vs Income Investing: Why choose?

Financials

Report by Kailash Capital Research

As the investment world obsesses over “DeFi” and “FinTech”, old-fashioned Financials are cranking out record profits on historically conservative leverage ratios amidst one of the most hostile Net Interest Margins on record. These cheap bank stocks have become high-quality growth stocks. The weight of Financials in the S&P 500 is barely above the levels seen at the trough of the GFC; despite generating ~25% of overall index profits they only represent an 11% weight in the index. KCR's top ranked stocks in the sector include Fidelity National Financial, American Financial Group and US Bancorp.

Edition 126 - 07 Jan 22