Lou Holland JP Morgan Chase & Co JPM-N TOP PICK Nov 05, 2004

It's the higher for longer trade. Banking is the best non-tech sector. Banks don't need rate cuts for financials to thrive.

Is large and profitable. The CEO led the bank through 2008 and has made many good moves over the years. A long-term holding and the best US banks he owns.

US economy did better last year than expected. Waiting for a pullback to add new client money. Best-in-class US bank. Very strong balance sheet and management team.

The best. Still his choice today. Learn this lesson from him: stay with the best-run business in the industry, management that has the most skin in the game and knows how to create value. Winners keep on winning. 

Wonderful bank and CEO. Conservatively run. Premium bank, and you're paying a premium for it. Wouldn't buy at this valuation, but definitely a go-to name he'd like to own if it corrected a lot more.

Her top choice in the financial sector.

Friday kicks off bank earnings season, a sector that has been crushed, because Wall Street expects a downturn in the economy. JPM is down from 14x to 11x, and shares from $280 to $210, -7.48% today alone. An incredible fall.

Flagship US bank. Dimon has done a spectacular job. Pristine risk controls. Trading ~13x PE. Either #1 or #2 in all of its major businesses. Still growing and gaining market share. Core holding in any portfolio. Time is ripe to buy the best, you don't have to go down the food chain. Yield is 2.73%.

Financial sector offers great promise, though it's reacted to current markets by pricing in a potential recession. Slower economic growth would not be good for banks. Absent a recession, with consumer confidence returning and unleashing M&A, the sector provides a good opportunity.

Don't value it on PE. Instead look at price to book, and it's expensive at 1.8x. Less expensive options include BAC and C.

Strongest broad-based financial. One of his larger positions.