KBW's Frederick Cannon calls for investors to be "very selective" with bank stocks heading into...


KBW's Frederick Cannon calls for investors to be "very selective" with bank stocks heading into 2012. While noting U.S. banks sport historically high tangible common equity ratios, and expecting the U.S. economy to avoid a recession, Cannon thinks regulatory issues such as the Fed's capital-deployment restrictions should give investors pause. His top picks: STT, JPM, GS.
From other sites
Comments (1)
  • nafar
    , contributor
    Comments (333) | Send Message
     
    Fed's capital requirement is good for financial institutions as well as for investors. However, their requirement is still far away upto 2019. JPM, WFG & C can touch their requirement by end 2012. What that needs to cover for loss of profit on idle funds would be to charge price on their services which they are now providing free or at nominal charges plus they may inch lending rates also. So good banks would continue to make similar profit as they are currently making, as I think.
    28 Dec 2011, 03:29 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs