Related: U.S. Sector ETFs for a Rising Rate Environment
The financial services sector is widely regarded as perhaps the only sector in the U.S. that is attractively valued relative to the broader market and its own long-term averages. The financial sector valuations still look relatively cheap, compared to the broader market. The sector’s valuations are still about 25% below the average since the early 1990s.
“To some investors, the recent weakness in bank stocks despite the stellar earnings presents an opportunity,” notes Bloomberg.
For more information on the financial sector, visit our financial category.