Banks stocks have stumbled since the start of 2016 over worries about tight net interest margins and overbearing regulation. Andrew Sleeman, portfolio manager at Franklin Mutual Advisers, said the sector will soon turnaround because bank boards have given management a mandate for change. 'That might be changing the business model to cope with the current conditions and what we expect will be the conditions going forward,' said Sleeman. 'Or it might mean M&A to grow out of their cost base or to reposition the bank.' Sleeman co-manages the Franklin Mutual Financial Services Fund (TFSIX) which is down 8.3% year-to-date after rising over 8% in 2015. Sleeman is bullish on FCB Financial Holdings (FCB), which has seen its shares rise 45% in the past 12 months. Franklin Mutual helped capitalize the Florida-based bank in the wake of the financial crisis, enabling it roll up small and troubled banks in Florida. The bank went public at $22 per share in August 2014 and now trades just under $33 a share.
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