National Bank of Canada (NA.TO)

This is interesting because it is basically Canadian only, mostly in Québec and a larger capital markets operation than other banks on a relative basis. The fact that it is not over exposed to the mortgage market in Ontario and BC has been viewed as a positive. The lack of exposure to the US has hurt them, but offsetting that they have a lot of energy exposure in Alberta. Dividend yield of 3.9%.

Seasonally, this does very well from September through until around the end of November, similar to other Canadian banks. If it moves above resistance at around $59, its all-time high, that will be a very positive technical indicator. That would be until the end of November, when the period of seasonal strength will have ended. Momentum indicators are all trending higher.

Canadian banks in general have been great long-term investments for Canadians. The regulatory system has kept them out of trouble. This one was trading at a bit of a discount to the others, but has closed a lot of the discount over the last couple of years. The Québec economy is stronger now than it has been in years, which should be a regional positive for them. They have a larger exposure than the other banks to Alberta, but that has now been digested. This is fine to own. They’ll be able to raise their dividend is the other banks do.

This is his biggest holding amongst the banks. He really likes management, which has done a really good job. Dividend yield of about 4%.

She likes Canadian banks as a group, and there is nothing particularly wrong with this one, but there are others in the big 6 she prefers. This one is more domestically oriented and doesn’t have the geographic participation as some of the others. Also, tends to have a higher capital market exposure in terms of their composition of revenues and earnings, which tends to be a bit more volatile.

(A Top Pick Sept 1/16. Up 24.09%.) He likes the banks. Thinks this can deliver 5%-8% earnings growth in a good economy. Dividend yield of 4.2%.

Move some National Bank (NA-T) funds over to Toronto Dominion (TD-T)? If you want to make a switch, TD makes more sense than National. This bank has a little more energy exposure and more domestic exposure, while TD has more US exposure. However, he would rather you buy a US bank, such as Citigroup (C-N), J.P. Morgan (JPM-N) or Bank of America (BAC-N).

He likes this bank, and purposely decided to own US banks rather than Canadian. This is a really well-run bank. A strong corporate lender. There is a resurgence in their energy book which is a positive. Good dividend yield of 4.1%.

This usually carries a pretty good yield relative to the other banks. They’ve always been a fairly conservatively managed bank, and are certainly not as regional as they used to be. Have a fairly strong capital ratio, and sell at a fairly reasonable multiple of book. He doesn’t see the possibility for growth and expansion that he can see in their larger competitors.

Prefers Toronto Dominion (TD-T) and Royal (RY-T). This one is a smaller bank and doesn’t have a presence across Canada. Predominately Québec based. They’ve done really well and have made some really good acquisitions. Has a good wealth management business. If you own, you will do well. It is not expensive.

This has Québec exposure and a little more energy exposure. Banks are a level now where he is fairly bullish on them. He would dip his toe in the water right now. Dividend yield of 4.3%.

(A Top Pick March 17/16. Up 30%.) Historically, this bank has always traded at a discount to their peers because they are fairly concentrated in the Québec region. Feels it is now expensive at current valuations. He has trimmed his position.

A lot of Canadian banks have fallen to the 200-day moving average, and have bounced a little on the backs of earnings that have come out in the last few days. This one is right at its 200-day moving average. It might be attractive in that it is trading at about 10X Forward Earnings and pays a pretty decent yield of 4.24%. However, you need to look at your outlook for Canada in terms of its economic outlook; what is going to happen in housing, what are household debt levels going to look like in 2-5 years’ time. 90% of its revenues comes from Canada, very similar to CIBC where about 80%-85% revenues come from within Canada. He would rather look at names that are more dependent on international or US revenues, such as Toronto Dominion (TD-T) or Bank of Nova Scotia (BNS-T).

The dividend is certainly secure, and he would expect it to go up 6%-7%. They are expanding out West. This bank is fine.

It is hard to find a pure Canadian bank anymore, and he likes this one because it is Canadian. Part of their growth is from coming out of Québec, and part of it is from their brokerage arm. Wealth management is a big part of their business. This has always traded at a discount to the other banks, which he likes. 3.4% dividend yield.