Higher Interest Rates Boost Large US Banks and Brokers

The recent surge in US inflation and strong job market data has pushed interest rates back into focus. As a result, large U.S. banks and brokers are under pressure from increased borrowing costs. This shift affects where money can work harder and where it may struggle.

Three financial stocks that could benefit from higher US interest rates are Amerant Bancorp (AMTB), CVB Financial (CVBF), and Blue Owl Capital (OWL). These companies have business models tied to interest rates, making them potentially attractive in a rising rate environment.

Amerant Bancorp is a Florida-based bank holding company that generates revenue from traditional lending and deposit services. Its net interest margin (NIM) has improved due to higher-yielding loan production and lower deposit costs. However, the company's risk profile and rate exposure could be quietly accelerating or stalling value.

CVB Financial is a California-based regional bank holding company that earns most of its revenue from interest-driven business and consumer banking. Its growth in noninterest-bearing core deposits positions it to maintain low funding costs and support stable net interest margins and earnings growth. The bigger swing factor is how one pressure point on funding costs eventually settles against that earnings path investors are counting on.

Blue Owl Capital is a U.S. alternative asset manager that arranges private credit and real asset financing for middle market borrowers. It generates revenue from fee income from private credit and real asset funds, which can become more attractive when higher rates support richer yields. The company's significant ongoing growth in permanent capital vehicles provides stable and recurring management fee revenue, positioning Blue Owl for higher future earnings and durable margin expansion.