Financials hit a new all-time high: The Committee's top bank plays

Market Trends & Performance - Several banks, including Goldman Sachs, Morgan Stanley, Synchry, Bank of New York, and Citizens, are hitting all-time highs [1] - The financial sector is experiencing internal sector rotation, with regional banks potentially undervalued compared to money center bank peers [7] - A steepening yield curve and increased mergers and acquisitions (M&A) activity are acting as tailwinds for the financial sector [9][11] - The overall market valuation, while potentially stretched, provides a valuation umbrella for equity capital work [9] Valuation & Investment Considerations - The speaker's exposure to the financial sector via the Jot ETF has reached 35% since January 2024 [1][2] - Valuations for some money center banks like JP Morgan and Goldman Sachs may be getting stretched relative to earnings [3][7] - Regional banks like Citizens Financial Group and Regions Financial have shown significant improvement in their balance sheets [3] - Bank of America is considered cheaper at 12 times earnings compared to JP Morgan and Goldman Sachs at 15 times earnings [10] - Goldman Sachs is currently trading at a discount to its historical price-to-book ratio [8][9] Company Specifics - The firm owns JP Morgan and Goldman Sachs [1][10]