Hennessy's Ellison: Bank stocks will pay a price when rates get cut
Listen now
Description
David Ellison, portfolio manager for the Hennessy Large Cap and Small Cap Financials funds, says that investors should not expect the classic thinking of lower rates equals higher margins and bank stocks go up, because the math may not work that way this time, which is why he is hoping rates stay where they are for longer. Ellison says that the Federal Reserve should wait until something about the economy breaks if it wants to help the banking sector, which needs to go through its classic cycles, which have been stunted by Fed actions over the last few years. Todd Rosenbluth, head of research at VettaFi, also weighs in on the financial services and banking sector, but in his case it's by turning to an insurance fund as his pick for ETF of the Week. Plus, in the Market Call, Jeffrey DeMaso, editor of the Independent Vanguard Adviser, discusses not only his manager-centric fund-selection style but also his recent foray into -- and now out of -- bitcoin.
More Episodes
Christine Benz, director of personal finance and retirement planning for Morningstar Inc., returns to the show — earlier this week she discussed her book "How to Retire: 20 Lessons for a Happy, Successful, and Wealthy Retirement" — to talk about how inflation, rate cuts and other current events...
Published 09/27/24
Published 09/27/24
Phillip Wool, head of research at Rayliant Global Advisors, makes a strong case for investing in emerging markets — as well as for sticking with investments in China despite geopolitical risk there — noting that valuations are particularly compelling compared to a domestic stock market that is...
Published 09/26/24