Although banks would likely benefit from a faster rise in U.S. interest rates, many non-bank financial firms would be harmed by rapidly rising rates, according to t a report published Tuesday by Fitch Ratings.

“A significant proportion” of U.S. non-bank financial institutions, such as securities firms, asset managers, and finance companies, would be “adversely affected” by higher-than-anticipated increases in U.S. interest rates, the report says.

Some firms could benefit in this environment, the report notes, but most would be challenged by negative effects such as deteriorating asset quality, margin pressures due to higher funding costs, and declines in asset valuations. In turn, this would impact profits, the report says.

Conversely, most U.S. banks should get an earnings boost from a rising interest rate environment over the next several years, Fitch says, in a separate report. “Rising rates should be positive for earnings, particularly if they are reflective of an improving macroeconomic environment,” the report says.

Additionally, rising rates may lead to increased net interest margins (NIMs) for banks. Although banks would also be impacted by a deterioration in credit and asset quality amid rising rates, Fitch believes that the impact “should be manageable for the banking sector.”

As for non-banks that could benefit from rising rates, Fitch says that this would include, “some investment managers and financial market infrastructure firms that benefit from increased trading and market volatility.”