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Royal Bank of Canada (RY $242.37)
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Bank of Nova Scotia (The) (BNS $104.29)
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Canadian Imperial Bank Of Commerce (CM $149.67)
Q: In the last few weeks,the big 6 ex BNS generally hit new H after new H.Their CEOs are bankers ex BNS. BNS has been a laggard for 7 years,so the opportunity costs is huge while waiting for it to revert to the mean. So is it worth holding on longer? Chris White on Market Call like the big 6 with his top picks being RY & CM. Txs for u usual great services & opinions
5i Research Answer:
BNS has been a relative underperformer compared to the other large Canadian banks, but its pivot away from Latin America and into the US, we think will benefit the company long-term. While we cannot personalize responses, and we think the difference between the banks is largely minimal, and most names have performed well over long timeframes, we would be comfortable switching to RY or CM, or trimming some BNS and diversifying into RY or CM.