
TSE:BNS
Has been a fairly significant appreciation in the stock, especially more recently. Not sure there will be a lot of capital growth at this time but, where else are you going to get a safe 4% yield with the potential for further growth down the road. The most internationally diversified Canadian bank. If you have a 3-5 year time horizon, this is still a good Buy today.
Bank stocks. In general, there is a lot of talk with problems in lending and mortgages in Canada and there is no doubt that is slowing but he doesn’t see is falling off a cliff here. Expects mid single-digit EPS growth and a 4%-5% dividend yield on this one, which gives you a 8%-9% return over the next year or so. This probably has the least exposure to the Canadian consumer.
(A Top Pick Jan 12/12. Up 14.83%.) Thinks the ING is a good purchase for them. Paid a lot of money for it but they get $30 billion plus of deposits. This will aid profitability and reduce earnings variability. There is always the cross-selling. Dividend yield of 3.96%.