Top 5 Bank Companies To Invest In Right Now

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Top 5 Bank Companies To Invest In Right Now: Tompkins Financial Corp (TMP)

Tompkins Financial Corporation (Tompkins) is a bank holding company. The Company is a locally oriented, community-based financial services company that offers an array of products and services, including commercial and consumer banking, leasing, trust and investment management, financial planning and wealth management, insurance, and brokerage services. The Company operates in two segments: banking and financial services. Banking services consist primarily of attracting deposits from the areas served by the Company’s banking subsidiaries’ 45 banking offices and using those deposits to originate a variety of commercial loans, agricultural loans, consumer loans, real estate loans, and leases in those same areas. Financial services activities consist of the results of the Company’s trust, financial planning and wealth management services, broker-dealer services, and insurance and risk management operations. On June 1, 2011, its subsidiary, Tompkins Insurance Agencies, I nc. (Tompkins Insurance), acquired Olver & Associates, Inc. (Olver), a property and casualty insurance agency. In August 2012, it acquired VIST Financial Corp.

The Company maintains a portfolio of securities, such as obligations of the United States Government agencies and the United States Government sponsored entities, obligations of states and political subdivisions thereof, and equity securities. Tompkins provides a variety of financial services to individuals and small business customers

Commercial Services

The Company’s subsidiary banks provide financial services to corporations and other business clients. Lending activities include loans for a variety of business purposes, including real estate financing, construction, equipment financing, accounts receivable financing, and commercial leasing. Other commercial services include deposit and cash management services, letters of credit, sweep accounts, credit cards, purchasing ca rds, Internet-based account services, and remote deposit ser! vices.

Retail Services

The Company’s subsidiary banks provide a variety of retail banking services, including checking accounts, savings accounts, time deposits, individual retirement accounts (IRA) products, brokerage services, residential mortgage loans, personal loans, home equity loans, credit cards, debit cards and safe deposit services. Retail services are accessible through a variety of delivery systems, including branch facilities, automated teller machines (ATMs), voice response, Internet banking, and remote deposit services.

Trust and Investment Management Services

The Company offers a range of financial services to customers, including trust and estate services, investment management, and financial and insurance planning. These services are offered through Tompkins Investment Services (TIS), a division of Tompkins Trust Company, and AM&M. Tompkins Financial Advisors has office locations at all three of the Comp any’s subsidiary banks, and provides a range of money management services, including investment management, trust and estate, financial and tax planning, as well as life, disability and long-term care insurance services.

Broker-Dealer Services

AM&M operates a broker-dealer subsidiary, Ensemble Financial Services, Inc. Ensemble Financial Services, Inc. is an outsourcing company for financial planners and investment advisors.

Insurance Services

The Company provides property and casualty insurance services and employee benefits consulting through Tompkins Insurance. Tompkins Insurance is an independent insurance agency. Tompkins Insurance has automated systems for record keeping, claim processing and coverage confirmation, and can provide insurance pricing comparisons from a range of insurance companies. Tompkins Insurance provides employee benefits consulting to employers in Western and Central New York, assisting them with their medical, group life insurance and group disability in! surance. ! In addition to its seven offices, Tompkins Insurance shares several offices with The Bank of Castile and The Trust Company. AM&M also provides insurance services for financial planning and wealth management clients, offering risk management plans using life, disability and long-term care insurance products.

Subsidiary Activities

The Company’s subsidiaries include: three wholly owned banking subsidiaries, Tompkins Trust Company (the Trust Company), The Bank of Castile, and The Mahopac National Bank (Mahopac National Bank); AM&M Financial Services, Inc., doing business as Tompkins Financial Advisors, a wholly owned and an investment advisor (AM&M), and a wholly owned insurance agency subsidiary, Tompkins Insurance. AM&M and the trust division of the Trust Company provides an array of investment services under the Tompkins Financial Advisors division, including investment management, trust and estate, financial and tax planning, as well as life, disa bility and long-term care insurance services. The Trust Company has a full-service office in Cortland, New York and a full-service office in Auburn, New York. Both of these offices are located in counties contiguous to Tompkins County. The Trust Company operates 15 banking offices, including two limited-service banking offices in the counties of Tompkins, Cortland, Cayuga and Schuyler, New York.

The Bank of Castile is a New York State-chartered commercial bank and conducts its operations through its 15 banking offices, in towns situated in and around the areas commonly known as the Letchworth State Park area and the Genesee Valley region of New York State. The Bank of Castile’s lending portfolio includes loans to the agricultural industry. The Mahopac National Bank (Mahopac National Bank) operates 15 banking offices, including one limited-service office in counties north of New York City. The 15 banking offices include five full-service offices in Putnam Coun ty, New York, three full-service offices in Dutchess County,! New York! , and six full-service offices, and one limited-service office in Westchester County, New York.

Tompkins Insurance Agencies, Inc. (Tompkins Insurance) offers property and casualty insurance to individuals and businesses primarily in Western and Central New York. AM&M Financial Services, Inc. (AM&M) offers financial services through three operating companies: AM&M Planners, Inc., which provides fee-based financial planning and wealth management services for corporate executives, small business owners and high-net-worth individuals; Ensemble Financial Services, Inc., an independent broker-dealer and outsourcing company for financial planners and investment advisors, and Ensemble Risk Solutions, Inc., which creates customized risk management plans using life, disability and long-term care insurance products. Tompkins Capital Trust I and Sleepy Hollow Capital Trust I are Delaware statutory business trusts.

Advisors’ Opinion:

  • [By Marc Bastow]

    Ithaca, N.Y.-based financial services company Tompkins Financial (TMP) raised its quarterly dividend 5.3% to 40 cents per share, payable Nov. 15 to shareholders of record as of Nov. 4.
    TMP Dividend Yield: 3.25%

  • [By Fredrik Arnold]

    Tompkins Financial Corp. (TMP) netted $44.97 based on a mean target price estimate from three analysts combined with projected annual dividend less broker fees. The Beta number showed this estimate subject to volatility 27% less than the market as a whole.

Top 5 Bank Companies To Invest In Right Now: Banco Santander Brasil SA (BSBR)

Banco Santander (Brasil) S.A. (Santander Brasil), incorporated on August 9, 1985, is a full-service bank in Brazil. The Bank operates its business along three segments: Commercial Banking, Global Wholesale Banking and Asset Management and Insurance. Through its Commercial Banking segment, the Bank offers traditional banking services, including checking and savings accounts, home and automobile financing, unsecured consumer financing, checking account overdraft loans, credit cards and payroll loans to mid- and high-income individuals and corporations (other than to its Global Banking and Markets clients). Its Global Wholesale Banking segment provides financial services and solutions to a group of approximately 700 local and multinational conglomerates, offering such products as global transaction banking, syndicated lending, corporate finance, equity and treasury. Through its Asset Management and Insurance segment, the Company manages fixed income, money market, equity and multi-market funds and offers insurance products complementary to its core banking business to its retail and small- and medium-sized corporate customers.

Lending Activities

As of December 31, 2010, the Bank’s total loans and advances to customers equaled R$160.6 billion (42.9% of its total assets). Net of allowances for credit losses, loans and advances to customers equaled R$151.4 billion as of December 31, 2010 (40.4% of its total assets). In addition to loans, it had outstanding R$93.5 billion as of December 31, 2010.

Substantially all of its loans are to borrowers domiciled in Brazil and are denominated in reais. Its commercial, financial and industrial loans include primarily loans to small and medium-sized enterprises (SMEs) in its Commercial Banking segment, and to Global Banking and Markets corporate and business enterprise customers in its Wholesale Global Banking segment. The principal products offered to SMEs in this categ ory include revolving loans, overdraft facilities, installme! nt loans, working capital and equipment finance loans. Credit approval for SMEs is based on customer income, business activity, collateral coverage and internal and external credit scoring tools. Collateral on commercial, financial and industrial lending to SMEs generally includes receivables, liens, pledges, guarantees and mortgages, with coverage generally ranging from 100% to 150% of the loan value depending on the risk profile of the loan. Its Wholesale Global Banking customers are offered a range of loan products ranging from typical corporate banking products (installment loans, working capital and equipment finance loans) to more sophisticated products (derivative and capital markets transactions).

The Bank’s Real estate-construction loans include construction loans made principally to real estate developers that are SMEs and corporate customers in its Wholesale Global Banking Segment. Loans in this category are generally secured by mortgages and recei vables, though guarantees may also be provided as additional security. Real estate-mortgage loans include loans on residential real estate to individuals. All loans granted under this category are secured by the financed real estate. Installment loans to individuals consist primarily of unsecured personal installment loans (including loans whose payments are automatically deducted from a customer’s payroll), revolving loans, overdraft facilities, consumer finance facilities and credit cards. Lease financing includes primarily automobile leases and loans to individuals. The vehicle financed acts as collateral for the particular loan granted.

Investment Activities

The Bank’s investments include Government securities-Brazil, Government securities-other countries and other debt securities. As of December 31, 2010, the book value of the investment securities was R$84.7 billion (representing 22.6% of its total assets). Brazilian government securities totaled R$55.8 billion, or 65.9% of the Bank’s investment! securiti! es as of December 31, 2010. As of December 31, 2010, the Bank held no securities of single issuers or related group of companies whose aggregate book or market value exceed 10% of stockholders’ equity, other than Brazilian government securities, which represented 76.9% of its stockholders’ equity.

Sources of Funds

The Bank offers its customers a variety of deposit products, such as current accounts (also referred to as demand deposits), which do not bear interest; traditional savings accounts, which earn the Brazilian reference rate for savings accounts (taxa referencial) plus 0.5% per month, as set by the federal government, and time deposits, which are represented by certificates of bank deposits (CDBs), which normally have a maturity of less than 36 months and earn interest at a fixed or floating rate. In addition, it accepts deposits from financial institutions as part of its treasury operations, which are represented by certificates of int erbank deposit CDIs, and which earn the interbank deposit rate.

Advisors’ Opinion:

  • [By Rudy Martin]

    We are buying Banco Santander (Brasil) S.A. (BSBR) to gain broad additional exposure to the Brazilian.

    BSBR offers a full-service range of financial services, including individual and corporate banking. We also hope to benefit from the stock’s 7.2% current indicated dividend yield.

Top 5 Bank Companies To Invest In Right Now: Trico Bancshares (TCBK)

TriCo Bancshares (TriCo), incorporated on October 13, 1981, is a bank holding company that operates through its wholly owned subsidiary, Tri Counties Bank (the Bank). The Bank conducts a commercial banking business, including accepting demand, savings and time deposits, and making commercial, real estate and consumer loans. It also offers installment note collection, issues cashier’s checks, sells travelers checks, and provides safe deposit boxes and other customary banking services. Brokerage services are provided at the Bank’s offices by the Bank’s association with Raymond James Financial Services, Inc., an independent financial services provider and broker-dealer. The Bank does not offer trust services or international banking services. Tri Counties Bank, TriCo Capital Trust I and TriCo Capital Trust II are the subsidiaries of the Bank. On September 23, 2011, the Bank acquired Bank of Northern California.

The Company is engaged in the banking business throu gh 68 offices in 23 counties in Northern and Central California including ten offices in Shasta County, nine in Butte County, seven in Sacramento and Nevada Counties, six in Placer County, four in Stanislaus County, three each in Siskiyou, Sutter and Kern Counties, two each in Glenn and Yolo Counties, and one each in Contra Costa, Del Norte, Fresno, Lake, Lassen, Madera, Mendocino, Merced, Napa, Tehama, Tulare, and Yuba Counties. The Bank’s 76 automated teller machines (ATMs) are linked to several national and regional networks, such as CIRRUS and STAR. In addition, banking by telephone on a around-the-clock toll-free number is available to all customers. This service allows a customer to obtain account balances and most recent transactions, transfer moneys between accounts, make loan payments and obtain interest rate information. The Bank emphasizes on retail banking. Most of the Bank’s customers are retail customers and small to medium-sized businesses. The Bank emphasiz es serving the needs of local businesses, farmers and ranche! rs, retired individuals and wage earners.

Lending activities

The Bank conducts a commercial banking business, including accepting demand, savings and time deposits and making commercial, real estate, and consumer loans. It also offers installment note collection, issues cashier’s checks, sells travelers checks and provides safe deposit boxes and other customary banking services. Brokerage services are provided at the Bank’s offices by the Bank’s association with Raymond James Financial Services, Inc., an independent financial services provider and broker-dealer. The Bank concentrates its lending activities in four principal areas: real estate mortgage loans (residential and commercial loans), consumer loans, commercial loans (including agricultural loans), and real estate construction loans. The majority of the Bank’s loans are direct loans made to individuals, farmers and local businesses.

As of December 31, 2011 loans, includi ng net deferred loan costs, totaled $1,551,032,000. As of December 31, 2011, total Real estate mortgage loans net deferred loan costs, were $ 965,922,000; total consumer loans were $ 406,330,000; total commercial loans were $ 139,131,000, and real estate construction loans were $ 39,649.

Investment Activities

The Bank classifies its investments as available for sale (AFS). As of December 31, 2011, investments consisted of corporate debt and debt securities of the United States government. As of December 31, 2011, the Bank’s securities portfolio consisted of obligations of the United States Government corporations and agencies, obligations of states and political subdivisions, and corporate bonds.

Sources of Funds

Most of the Bank’s deposits are attracted from individuals and business-related sources. The various types of deposits offered by the Bank include non-interest-bearing demand deposits, interest-bearing demand dep osits, savings deposits, time certificates of $100,000 and o! ver, and ! other time certificates. As of December 31, 2011, the Bank’s deposits totaled $ 2,190,536. The Bank participates in a deposit program offered by the State of California whereby the State may make deposits at the Bank’s request subject to collateral and creditworthiness constraints.

The Company had $8,527,000 of other collateralized borrowings as of December 31, 2011. The Company maintains a collateralized line of credit with the Federal Home Loan Bank of San Francisco. Other collateralized borrowings are generally overnight maturity borrowings from non-financial institutions that are collateralized by securities owned by the Company. The Bank had available unused correspondent banking lines of credit from commercial banks totaling $5,000,000 for federal funds transactions as of December 31, 2011.

Advisors’ Opinion:

  • [By Rich Duprey]

    California-based TriCo Bancshares (NASDAQ: TCBK  ) announced today its second-quarter dividend of $0.11 per share, a 22% increase over the $0.09 per share payout it made last quarter.

Top 5 Bank Companies To Invest In Right Now: AKB Mosoblbank OAO (MOBB)

AKB MOSOBLBANK OAO (AKB MOSOBLBANK OJSC) is a Russia-based commercial bank. The Company focuses on the provision of various types of banking services to both individual and corporate clients. The Bank offers its services through the network of 400 offices and automated teller machines (ATM), located across the Russian Federation. In addition, it has 23 branches in such cities as: Rostov na Donu, Samara, Astrakhan, Arkhangelsk, Nizhny Novgorod, Omsk, Tyumen, Yakutsk, Grozny, Kemerovo and Vladivostok, among others. As of May 25, 2012, the Company’s major shareholder was Respublikanskaya Finansovaya Korporatsiya OAO with a stake of 74.19%. Advisors’ Opinion:

  • [By Corinne Gretler]

    UBS, Switzerland’s largest bank, rallied to a two-year high. Philips, the Dutch maker of light bulbs and electric toothbrushes, gained for an eighth day. Portugal’s PSI-20 Index (PSI20) advanced 2.3 percent as President Anibal Cavaco Silva affirmed that he doesn’t want to call early elections. Mobistar (MOBB) SA slumped the most on record after the Belgian mobile-phone company cut profit forecasts and suspended its dividend.

Top 5 Bank Companies To Invest In Right Now: Raiffeisen Bank International AG (RBI)

Raiffeisen Bank International AG (RBI) is an Austria-based bank that focuses on corporate and retail banking sector. The Bank offers a range of products and consulting services, as well as market knowledge. The Bank’s products and solutions include financing, leasing, investing, hedging, trade & export finance, investment banking, cash management, payment services, custody & fund services, and cards, among others. RBI is organized into seven segments: the Central Europe segment encompassed the banking markets in the European Union countries in Central and Eastern Europe (CEE) region; the Southeastern Europe segment comprises Albania, Bosnia and Herzegovina, Bulgaria and Croatia, among others; the Commonwealth of Independent States (CIS) other segment comprises Belarus, Kazakhstan and Ukraine; the Group Corporates segment covers business with corporate customers of the Bank; the Group Markets segment covers capital market customers and business; Corporate Center, and Russia. Advisors’ Opinion:

  • [By Rebecca Bundhun]

    The Reserve Bank of India (RBI) recently banned banks from issuing loans under the “80:20 scheme”, which, through a three-way agreement between the lender, the developer, and the homebuyer, allowed the customer to pay 20% upfront, while the remainder of the loan would be issued to the developer, regardless of the stage of construction.