Friday, February 20, 2009

This is not investment advice

...but if we have the soundest financial system in the world, doesn't it seem like now might be a good time to buy Canadian financials?


Anonymous said...

Depends on your time frame and risk tolerance. I have a hard time seeing dividend cuts, given the efforts at raising capital a number of banks have put in. There's going to be some hard slogging earnings wise for a good while, but there's nowhere near the risk for these banks compared to their American or European cousins. The yields are outstanding, and the odds of a dividend cut is probably 10% or so, though it has largely been priced in. Pile in now, and in a few years the rewards will be there, no question. There will be significant turbulence in the interim though.

Not intended as investment advice, because obviously I'm talking my book here.

Shock Minus Control said...

I have to agree- the dividend yield is mighty juicy at these levels and I don't mind getting paid while waiting for the sector to bounce back. Even getting back to somewhat normal levels means pretty substantial capital appreciation.

Anonymous said...

financialsector.blogspot is for you, then!

Also, TD reports 700 million in PROFIT this quarter, down from 900 million, but beating analyst's expectations.