With the Fed expected to raise the fed funds rate in March, the big question is: what would rising interest rates and bond yields (assuming we get them) mean for the growth stocks that have done so well in recent years? The answer is: perhaps not much, because there are bigger dangers to them.
Theory is ambiguous here. On the one hand, rising bond yields are bad for growth stocks. They increase the discount rate applied to future cashflows thus reducing the present value of those cashflows. And because growth stocks by definition offer more future cashflows than do other stocks, it follows that they should underperform when yields rise.