RE:UpgradeA few more comments. GLTA
“Our expectation is that interest rates will stay higher for longer than implied by the market, which is a relative positive for lifecos over banks,” he said. “Regulatory capital also remains a relative positive for the lifecos and we expect relatively solid Q4 results. For these reasons we think it is a good time to trim bank exposure and add to lifecos. Our preferred name at this juncture is SLF.”
“We think now is a good time to be adding to SLF weights given the relative underperformance over the last year and equity market levels as a catalyst for positive earnings revisions,” he said.