Cameron's Feed
Dec 17, 2012

Sun Life to sell U.S. annuity business, shares fall

TORONTO (Reuters) – Sun Life Financial Inc (SLF.TO: Quote, Profile, Research, Stock Buzz) will sell its U.S. annuity business for $1.35 billion to a unit of asset manager Guggenheim Partners in a deal that should reduce the exposure of the insurer’s earnings to market swings and boost its cash levels.

Even so, shareholders pulled Sun Life’s stock down by 2.5 percent on Monday after the Canadian company announced the deal, which will reduce its book value and core earnings.

Dec 14, 2012

Scotiabank questions S&P’s cut, citing international reach

TORONTO, Dec 14 (Reuters) – Bank of Nova Scotia,
one of Canada’s largest banks, took issue on Friday with
Standard & Poor’s decision to cut its debt ratings, saying its
international reach helps cushion it from a slowdown in Canadian
lending.

S&P downgraded credit ratings on six Canadian financial
institutions late on Thursday, a move that could raise their
borrowing costs and crimp profit margins on the loans they make.

Dec 7, 2012

Scotiabank profit rises 31 pct on wholesale banking

Dec 7 (Reuters) – Bank of Nova Scotia capped off
the fourth-quarter earnings season for Canadian banks with a
slightly stronger-than-expected 31 percent profit gain on
Friday, as strong wholesale banking income made up for more
sluggish international growth.

Following the trend of most of its peers this quarter,
profit gains were driven by trading and investment banking
income, while domestic loan growth was steady despite worries
that a cooling housing market will dry up demand.

Dec 6, 2012

CIBC profit rises but lending performance spurs concern

TORONTO, Dec 6 (Reuters) – Canadian Imperial Bank of
Commerce reported a 13 percent increase in quarterly
earnings on Thursday, slightly ahead of estimates, but the
bank’s shares declined on concerns the profit gain will be
difficult to replicate in coming quarters.

The increase was fueled by stronger capital markets-related
profit, while retail banking weakened due to CIBC’s decision
earlier this year to wind down its FirstLine mortgage division,
which sold inexpensive mortgages through brokerages.

Dec 6, 2012

TD Bank to buy Epoch, fourth quarter profit little changed

TORONTO (Reuters) – Toronto-Dominion Bank (TD.TO: Quote, Profile, Research, Stock Buzz) is buying the owner of Epoch Investment Partners for $668 million in cash to expand its U.S. asset management business, Canada’s No. 2 bank said on Thursday as it reported little change in quarterly profit.

The acquisition will add $24 billion in assets under management to the $207 billion already overseen by TD Asset Management, and will fill a strategic gap for the bank, said TD Chief Financial Officer Colleen Johnston.

Dec 6, 2012

TD Bank to buy Epoch, Q4 profit little changed

TORONTO, Dec 6 (Reuters) – Toronto-Dominion Bank is
buying the owner of Epoch Investment Partners for $668 million
in cash to expand its U.S. asset management business, Canada’s
No. 2 bank said on Thursday as it reported little change in
quarterly profit.

The acquisition will add $24 billion in assets under
management to the $207 billion already overseen by TD Asset
Management, and will fill a strategic gap for the bank, said TD
Chief Financial Officer Colleen Johnston.

Dec 4, 2012

Narrow loan margins mar Canada bank profit gains

TORONTO, Dec 4 (Reuters) – Bank of Montreal topped
estimates with its fourth- quarter profit on Tuesday, but the
stock failed to gain traction as investors took a cautious view
of its lending performance, while smaller rival Canadian Western
Bank missed estimates and fell 3.5 percent.

Profit at BMO, Canada’s fourth-largest bank, was boosted by
a doubling of wholesale banking income and a gain on U.S. loans
that had previously been written down. BMO acquired Wisconsin
lender Marshall and Illsley (M&I) last year, more than doubling
the branch count of its U.S. midwest bank.

Dec 4, 2012

BMO profit rises on wholesale banking, better loans

TORONTO, Dec 4 (Reuters) – Bank of Montreal’s
quarterly profit rose 41 percent, topping estimates on the back
of a doubling of wholesale banking income and a gain on U.S.
loans that had previously been written down.

The company, Canada’s fourth-largest bank and also a major
presence in the U.S. Midwest, earned C$1.1 billion ($1.11
billion), or C$1.59 a share in the fourth quarter ended Oct 31.
That compared with a year-before profit of C$768 million, or
C$1.11 a share.

Nov 29, 2012

RBC profit rises 22 percent on strong trading

TORONTO (Reuters) – Royal Bank of Canada’s (RY.TO: Quote, Profile, Research, Stock Buzz) quarterly profit rose 22 percent on a sharp jump in fixed income trading revenue and steady loan growth, suggesting the long-awaited slowdown in Canadian consumer lending has yet to materialize.

RBC, Canada’s largest bank and the first Canadian lender to report year-end results, said on Thursday it earned C$1.9 billion, or C$1.25 a share, in the fourth quarter ended October 31. That compared with a year-earlier profit of C$1.6 billion, or C$1.02 a share.

Nov 25, 2012

Canada bank profits seen rising despite housing woes

TORONTO, Nov 25 (Reuters) – Slowing housing activity and
uncertain financial markets will not stop Canada’s banks from
reporting solid increases in quarterly profit starting this
week, although recent gains in their shares mean it might take
blockbuster results to push the stocks much higher.

Blockbuster earnings are plausible, given that Canada’s big
banks all topped estimates in the previous August reporting
period. But few see that happening again in the banks’ fiscal
fourth quarter, due to an expected decline in trading revenue
and higher expenses.