Banking and finacials

[DOGS THAT BARK]

thought we might break stocks down in sectors and get everyones input.

I had pretty good position in Citi Bank (C) for years and watched it do basically nothing however did pay decent dividend.

Sold it all early this year and decided to split proceeds between a few hoping to get one steller one and the others to carry their weight via divs ifnothing else.

The 1st I purchased was one of Kirks recommendations
BANK OF NOVA SCOTIA (NYSE:BNS) & have very happy with it--the other 2 positions have preformed much better than Citi also.
BK OF AMERICA CP (NYSE:BAC) &
BARCLAYS PLC ADR (NYSE:BCS)

All 3 seem to be surving credit crunch for now.

 

[dawgball]

Those are very solid pick ups, Wayne.


BAC should not be effected at all from the credit crunch and sub-prime debacle except from overall industry and market moves. They are very picky on their loans and really focus on traditional style as mainstay and exotics for situational, in my opinion.

 

[selkirk]

will post later a review of the cdn. bank as they all announced earninigs in the last two weeks.

most were good with many of them raising their divs. BNS actually had a great year (quarter)in their domestic operations and has recently bought into a Chile bank for (over ) 800 million.

Subprime is not a major concern to me for these banks, Subprime is only 25% of the same percentages in the US and they are much better overall. CIBC has over 1.1 billion in subprime, however will not lose that much, slowly writing some off.

the main fear is if their is continued selloff and how they would effect their wealth managment, and security divisions.

also looking at the Bank of America and MS, GS.
have invested in foreign banks such as some in Brazil. feel they are good, but lately they just trade off US markets.

big down day in the US, they get shot, good day, they spike higher.
BNS would be a good way of playing this region, though maybe some less upside far less risk, overall.

Royal Bank of Scotland is another interesting bank. whoever does not win the current takeover battle,is probably the one to buy, RBS or Barclays.


thanks
selkirk

 

[DOGS THAT BARK]

Very good call on BNS Kirk

Has been one in very exclusive group of financials centers that have thrived during the subprime woes of others.:toast:

 

[selkirk]

DTB BNS has held up well, and is trading near its highs. the sector has been one of (for the most part misery). like all cdn. banks long term except BMO, will wait for the fourth quarter, news.

would rate BNS a hold, short term and a buy long term... short term probably the financials have some problems and BNS could be taken down (though not as much). Housing (sub prime) problems not as bad in cdn.

have sold BNS to some friends, get them in DRIP/SPP told them 10% counting the div. on average. though probably close to flat the next three months. the stock trades around 12X earnings and though earnings are growing slowly and will be impacted by the strong cdn. dollar (int. operations), they are still growing.

good work on China stocks, have two and performed well.... should have bought more....

thanks
selkirk