SPDR® S&P Bank ETF

Financial intermediation can result in concentration of risks that increase the fragility of the financial system. These risks are referred to as systemic risks.

The peers outperformed MGIC Investment based on the forward PE ratio. However, MGIC is way ahead of its peers based on the PBV ratio.

First Horizon National has a market cap of $3.23 billion. After the earnings report in 3Q15, it fell by 1.2% to close at $13.80 per share as of October 16, 2015.

First Horizon outperformed its peers based on the forward PE ratio and PBV ratio. The ETFs outperformed First Horizon based on the price movement.

BB&T Corporation’s (BBT) operations are divided into six business segments. Community Banking contributes 46% to the total revenue.

The Baupost Group lowered its position in Ocwen Financial (OCN) during 4Q14. The position accounted for 1.77% of the total portfolio in 4Q14.

In the third quarter, banks that relied heavily on interest-based income suffered, reporting record-low net interest margins.

Telecom services and utilities, the traditional dividend stars, have provided a fillip to US equities in 2016.

Historically, a flatter yield curve had an adverse impact on the financial institutions’ returns. It lowered their net interest margins. The Fed continues to stress an accommodative monetary policy. The policy and strong overseas demand have kept yields low at the long end of the curve. As a result, the difference between 30-year and five-year Treasury yields fell to 154 basis points on September 5, 2014.

In Monopoly, the $200 of credit creation never changes. In the real economy, credit creation isn’t guaranteed to occur at the same pace each year.

In contrast, however, weak data were reported for U.S. employment, the preliminary University of Michigan Consumer Sentiment Index[2. The University of Michigan Consumer Sentiment Index is a consumer confidence index published monthly by the University of Michigan. The index is normalized to have a value of 100 in December 1964. Each month at least 500 […]

While Donald Trump wants to get rid of the Dodd–Frank Act, especially the Consumer Financial Protection Bureau, Hillary Clinton wants to retain it.

Both the labor force participation rate, which came in at 62.8%, and the employment-population ratio, which came in at 59.7%, were unchanged in August.

The United States Census Bureau published the US retail sales report for June on July 15. Retail sales rose 0.6% in June on a month-over-month basis.

Wells Fargo (WFC) added 350 million shares to its share repurchase authorization in January 2016.

Wells Fargo (WFC) is the largest mortgage lender in the US, operating primarily as a retail and commercial bank. It is been the most profitable bank in its peer group, posting a return of 10% on shareholder’s equity and ~1.3% on assets in 2015.

During last week’s volatile trading session, investors pulled money out of all but two US GICS Sector ETFs. All of the sectors closed in negative territory.

According to George Soros, the Chinese property and construction bubble can grow and feed itself like in the United States in 2005–06.

On March 18, 2016, Bank of America (BAC) reported that its board of directors has authorized the repurchase of shares worth $800 million.

Goldman Sachs (GS) is adding more technology to its investment banking arm with its acquisition of Honest Dollar, an Austin-based digital retirement savings tool.

The Consumer Financial Protection Bureau was established to protect consumers’ interests by implementing federal consumer financial laws.

Credit growth has started to slow in the Us. From the 12% annualized growth rate of commercial and industrial credit in 2014, the rate is currently around 10.8%.

The Dodd-Frank Act is a financial reform legislation passed in an attempt to prevent events similar to the 2009 financial crisis from occurring again.

Since the financial crisis, the Fed has enforced regulations for the capital strength and liquidity of 16 systematically important financial institutions.

3Q15 earnings offered strong signs that the Dodd-Frank Act is working. Banks are focusing on building their balance sheets and enhancing asset quality.

Global market uncertainty took a toll on US banks’ capital market revenues during 3Q15.

In order to boost profitability in a low–interest rate environment, banks are reducing expenses by restructuring their businesses.

MGIC Investment (MTG) has a market cap of $3.4 billion. After the earnings report in 3Q15, it rose by 4% to close at $10 per share as of October 15, 2015.

SunTrust Bank’s return on equity is 8%, which is 18% lower than the industry average.

BB&T’s Susquehanna acquisition will significantly expand BB&T’s Mid-Atlantic footprint. The deal is valued at ~$2.5 billion. It will close in the second half of 2015.

BB&T’s Community Banking segment offers a variety of loan and deposit products and other financial services. The segment’s net interest income decreased in 2014.

As a result of the 2008 financial crisis, Congress passed the Dodd-Frank Wall Street Reform and Consumer Protection Act in 2010. The Act includes provisions for enhanced liquidity. It also includes provisions for capital and risk-management requirements for large financial intermediaries.

Last week, the week ended June 13, the U.S. Treasury held weekly auctions for four-week, 13-week, and 26-week Treasury bills for $30 billion, $25 billion, and $23 billion, respectively.