Need to Know: This fund manager has long warned of money leaving the financial system as interest rates rise. Here’s his advice for investors right now.

Investors have been watching for further fallout from SVB and Signature Bank collapses and ensuing stress on the financial sector. And some are indeed warning of that.

JPMorgan’s Marko Kolanovic, told clients on Monday that many carry trades — basically borrowing at a lower interest rate and investing in one that offers higher return — that have developed during cheap financing “can’t all be bailed out.” Commercial real estate, auto loans, levered loans and credit cards among others, are all potential worry zones, said the…