Greatest capex boom is yet to come, says BofA's Chris Hyzy

Market Trend & Investment Opportunities - The market is close to all-time highs, and despite potential short-term weakness due to Treasury General account requequification, it's time to lean in, presenting buying opportunities [1][2] - The greatest capex boom is yet to come, driven by AI spending, with trillions of dollars still to be deployed in digital infrastructure [2][3] - Weakness in financials, industrials, utilities, and information technology sectors represents buying opportunities [4] - The S&P 500 has rallied almost 30% off the lows, and the NASDAQ has rallied 40% off the lows, indicating a strong profit cycle with potentially another double in the S&P [6][7] AI & Technology - Generative AI hitting the cost line helps margins expand, creating greater profitability and ROI in both public and private markets [8] - Data center buildout, requiring billions and ultimately trillions in spending, creates a catalyst for a full profit cycle [8] Financial Sector - The financial sector, including asset managers, advisors, and lenders, is a buy, supported by infrastructure rebuild and the increasing need for retirement investments [9][10][11] Valuation & Asset Management - An asset-light era is occurring, where companies with less fixed cost relative to labor, strong cash, and balance sheets should maintain higher multiples than historically seen [12] - Multiples sticky at current levels make sense [13]