Bank profits soaring

[JLM]

We've heard quite a bit the past few days about recently unprecedented bank profits by our 5 major banks........good or bad news depending on who you ask. To me unless we know how much of that money if any was profit to shareholders, the news is meaningless.

 

[Niflmir]

We've heard quite a bit the past few days about recently unprecedented bank profits by our 5 major banks........good or bad news depending on who you ask. To me unless we know how much of that money if any was profit to shareholders, the news is meaningless.

Wouldn't reinvesting it into the company and creating jobs be just as good a use of the money as paying dividends?

 

[gerryh]

We've heard quite a bit the past few days about recently unprecedented bank profits by our 5 major banks........good or bad news depending on who you ask. To me unless we know how much of that money if any was profit to shareholders, the news is meaningless.

I don't know about you, but for me, the bank I use to safe guard my money making profits is a good thing. Last thing I want is for that same bank to lose money and go tits up.

 

[JLM]

Wouldn't reinvesting it into the company and creating jobs be just as good a use of the money as paying dividends?

In the U.S. probably, where a guy can own a bank. Banks in Canada are made of probably millions of shareholders, of which you and I are a couple if we have money in a pension. If we have money invested for retirement, we expect that money to grow, when the money quits growing we put it somewhere else. Bye bye bank!

 

[eh1eh]

I'll say this again and this proves my point nicely.

Don't put your money in the bank, buy their stocks and let the bank rip money from other people and pay you the dividends.

 

[JLM]

I don't know about you, but for me, the bank I use to safe guard my money making profits is a good thing. Last thing I want is for that same bank to lose money and go tits up.

Yep, I think a lot of people see "bank profits" to mean the manager goes home every night with all his pockets stuffed full of money! :lol:

 

[Niflmir]

In the U.S. probably, where a guy can own a bank. Banks in Canada are made of probably millions of shareholders, of which you and I are a couple if we have money in a pension. If we have money invested for retirement, we expect that money to grow, when the money quits growing we put it somewhere else. Bye bye bank!

Only the credit union has its account holders as shareholders, by definition in fact. When you open an account or make an investment you agree upon an interest rate, subject to some readjustment at some fixed times. You won't be seeing any of the profit at a normal bank but society is still bettered if they invest it in opening new branches, extending branch hours or similar things which is something everyone should care about.

 

[gerryh]

Only the credit union has its account holders as shareholders, by definition in fact. When you open an account or make an investment you agree upon an interest rate, subject to some readjustment at some fixed times. You won't be seeing any of the profit at a normal bank but society is still bettered if they invest it in opening new branches, extending branch hours or similar things which is something everyone should care about.

When JLM talks about a pension plan, he is talking about a union, government, employment, etc plan where the money dumped into the pension fund is then invested in various ventures (including banks) to make a profit for that pension fund. He's not talking about an RRSP.

 

[L Gilbert]

Only the credit union has its account holders as shareholders, by definition in fact. When you open an account or make an investment you agree upon an interest rate, subject to some readjustment at some fixed times. You won't be seeing any of the profit at a normal bank but society is still bettered if they invest it in opening new branches, extending branch hours or similar things which is something everyone should care about.

https://www.cibc.com/ca/investor-relations/share-info.html

https://www.bmoinvestorline.com/ILClientWeb/marketing/marketingChart.do?method=displayMarketingChart&language=E

http://www.td.com/investor-relations/ir-homepage/share-information/common-shares/common.jsp

etc.

 

[Niflmir]

When JLM talks about a pension plan, he is talking about a union, government, employment, etc plan where the money dumped into the pension fund is then invested in various ventures (including banks) to make a profit for that pension fund. He's not talking about an RRSP.

His reply and prioritization of dividends over re-investment makes more sense now. Thanks.

 

[JLM]

I'll say this again and this proves my point nicely.

Don't put your money in the bank, buy their stocks and let the bank rip money from other people and pay you the dividends.

One caution- right now is not the best time to buy bank shares, they are at a "high" right now, buy them when they are cheaper!

 

[L Gilbert]

Better idea is to just buy bank shares constantly; the tendency is to make more money than just to buy low and sell high.

 

[darkbeaver]

What,s all this about non segregation of assets in yankee banks,?apparently your money is their money and when they close the door you get nothing. They suggest that depositors might want to get their valuables out now. Oh yeh they are opening up safety deposit boxes in UK banks at this time and keeping the contents. HANG THE BANKERS

 

[JLM]

Better idea is to just buy bank shares constantly; the tendency is to make more money than just to buy low and sell high.

Yep, a good strategy is to invest small amounts monthly, especially for the undisciplined!