BMO EQL WGT US BANK HDGD TO CAD IDX ETF (ZUB.TO)

ZUB-T vs. BAC-N. ZUB-T is hedged back to CAD$ and is an equal weight mix of US banks. With the economies strengthening around the world these banks can do well. He feels ZUK-T would be okay without the hedging.

(A Top Pick Aug 4/16. Up 46.01%.) He is still buying this. If Trump is able to allow the US banks to participate in the markets again, by getting rid of Dodd Frank, that is going to be tremendous.

If you want to buy banks, this ETF gives you an excellent entrée. You have diversification. The dividend is also fairly generous. A much cheaper way than buying individual banks.

He likes this because it has all the major banks and all the big regional banks. He likes the US banking sector if Trump is able to get through with the dismantling of Dodd Franks. Once it is done, then you are going to see those banks really actively participating in the markets.

This has about 10 US bank positions with a currency hedge on it. He sees the Cdn$ making its way back down to $.75-$.73 range, with American banks being leaders in the back half of the year.

You want to consider US financials at this stage. This could do an equal weight of all the banks including the regionals. As interest rates start to move a little higher, you are going to benefit from that.

(A top pick April 3/17. Up 1%.) US banks have been underperforming lately. He felt it probably had short term technical resistance at around $26, so just sold his holdings today.

Equal weight US Banks. It is a way to play the sector. It is currency hedged. It is a short term play.

He was keen on US banks for a number of months already. He prefers this over many US listed bank ETFs because it is equal weight. There are US ETFs that focus on US regional banks also. 1.3% yield.

It expresses his conviction for the US banks and it is currency hedged. Over the next 3 to 5 years the US $ is probably over done compared to other currencies. There will be great growth in this sector.

This has banks from across the US. The story is a good one with regards to financials globally, and especially North America. He is not a sector guy, but if he were, finances would be a sector he would be in right now.

Prefers the BMO Equal Weight US Banks (ZBK-T), which is not hedged. He is not overly optimistic on the Cdn$. Expects the range will be $.70-$.75. However, if you own this, that is fine.

This gets you hedged back to the Cdn$, so you are taking currency off the table. If you thought the Cdn$ was going higher, you want the hedge. If you think the Cdn$ is going significantly lower, you would probably want an unhedged position.

It is a good ETF to play the US banks. There are a few others. If you look at the banking sector in the US it has been a good place to get into now. Post-financial periods take a long time to work through the financial system. Canadian banks are an uninteresting place to invest. All the macro tail winds are now turning to head winds for the banks. He would avoid Canadian Banks.

This is about 60% US regional banks. There are 2 issues with US banks, especially the bigger ones. They have been sharply curtailed after the financial crisis, and can’t do a lot of the trading that they used to do. Also, they have had to pay huge fines. The fines seem to have finally worked its way through the system.