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of all equity sectors, there is one that is positioned most
precariously for an environment with rising interest rates:
financials (XLF). Will higher borrowing rates discourage
borrowing as much as expected? How will the big banks' bottom
lines be affected? In this sector, one bank has been making
headlines recently for news concerning a massive bet on rising
rates. With a humble valuation, longtime heavyweight bank
JPMorgan (JPM) is the frontrunner when it comes to preparing for
looming higher interest rates. Will this bet be the next 'London
Whale' trade or will this result in a monumental payday to JPM
shareholders?  The Background  JPMorgan CEO Jamie Dimon has
seemingly been on the better side of every financial crisis
since the late 1980s. With the Fed governors talking about
trimming QE3 asset purchases as early as September, companies
are preparing to deal with higher interest r