|Toronto-Dominion Bank (TD)/Bulls/Sound Canadian banking system|
|Toronto-Dominion Bank (TD)/Bulls/Be Cautious|
The Toronto-Dominion Bank (TD) (NYSE: TD) is one of Canada's Big Five banks, being the second largest bank in the country by assets and market capitalization. The bank offers a full range of financial products, ranging from retail to loans and mortgages. Out of the Big Five, TD has the most branches in the United States.
Since TD has the most U.S. branches, the bank was more affected by the 2008 Financial Crisis than the rest of the Big Five. TD's Wholesale Banking segment had a 50% decline in revenues. In response, TD lowered its prime lending rate by 50 basis points to 3.50%. As a whole, however, Canadian banks are more sound than U.S. banks. Canadian banks as a whole have lost $11.7 billion due to subprime investments -- which is a fraction of the over $592 billion that U.S. banks have written down. Even though its banks' losses were minimal compared to their U.S. counterparts, Canada has hinted at raising the minimal Tier 1 Capital Ratio% to 10%.(Read more at Wikinvest )