Toronto-Dominion Bank (TD.TO)

(Market Call Minute.) His favourite bank.

Has done extremely well on the US banking. Known as the best service bank in Canada. In the long-term he feels their strategy will do well but they are heavily retail oriented and not quite as diversified as some of the other banks. Feels some of the other Cdn banks are more attractively priced.

Preferred bond. After 2023 they won't qualify as tier 1 capital. So it will probably be called. They could take it away next year and you could lose money.

Just reported earnings and had very good earnings, dividend is going up and will continue to do so. Have a strong retail franchise in Canada and the US. It should keep moving along. Not far from 52 week high. They took a measured pace with US investment and will take advantage of any good deals there.

Preferred shares Q? Most of the banks have announced increased dividends in the last quarterly reporting. Thinks the earnings power of the banks have been priced in fairly and upside from these levels is going to be very challenged. In terms of preferred stocks he is always worried in terms of performance if the stocks pull back.

Very strong position in retail banking in Canada. Over 90% of their earnings comes from retail. Made some acquisitions in the US, which are very deposit heavy and not loan heavy. Very good opportunity for them to grow their loan space and loan portfolio in the US. Expect dividends will outpace their earnings growth for the next few years.

Most banks reporting on Thursday. This is one of the better banks out there. Good loan growth and cost control. Would not be surprised to see a dividend increase on Thursday. Expects good, solid results. Continues to like it.

Good, top quality domestic bank platform. Will be able to weather the storm better than others. 3.5% dividend yield that he expects to be boosted. Report next week and he expects them to be at the top of the list. Over time there is potential for the entire bank group to be valued upward. Would be comfortable adding today, or staggering over next little while.

His favourite bank. Not ultra cheap on a Price to Book but it gives you US exposure in a very safe way. More than 50% of revenue comes from the US now.

Has the highest upside potential to target. All the banks have had good returns but this one has the best. Retail margins will be somewhat pressured but this is the best operator in Canada. Wealth management business continues to do well. US investment and business will be the sleeper and will be a key driver going forward. 3.5% dividend yield.

(A Top Pick Aug 15/11. Up 9.14%.) Thinks they are going to raise their dividend 2% or 3% when it reports next week. Stock should be $85 a year from now.

(A Top Pick Aug 15/11. Up 6.51%.) His favourite Canadian bank. 10% earnings growth and 3.5% yield so it is still a buy.

Holds a residual Nov 1/17 but resets on Nov 1/12. Reset is 100 basis points over the 3 month Bankers Acceptance Rate. What happens to the residual on Nov 1/12 if TD does not call the bond? Should I sell before Nov 1? There is no question that you will get your money back on Nov 1/12 but you could sell before that.

Sees better earnings growth than on Bank of Montréal (BMO-T) but their dividend is only 3.6% compared to Montreal's, which is over 6%. Expect they will have another dividend increase this year. Likes their US acquisitions and sees good opportunities to increase loans, mortgages and other wealth management services. Looking for about $90 one year out.