In a recent interview with Jacob Sonenshine of TheStreet, Associate Advisor John Ham weighs in on Q1 earnings for large-cap banks and how the sector may benefit from a slew of big IPOs in 2019.

First quarter earnings season is well underway, as several large-cap U.S. banks including Citigroup, Goldman Sachs and Bank of America reported earnings in early April. The banking industry faced a challenging environment in the first three months of 2019, with a flattened yield curve, falling 10-year Treasury yields and uncertainty surrounding Fed policy. Despite relatively strong earnings and a low probability of further interest rate hikes this year, U.S. banks are looking for growth opportunities outside of traditional lending.

According to John, the big “unicorn” initial public offerings in 2019 could serve as a “large catalyst” for the banks, helping to increase earnings and investment banking revenues. Read the full article here to learn more about Wall Street’s outlook for the banking sector in 2019.