The Attraction of Italian Banks

Featuring Scott Davies

Scott Davies of CDAM makes the case for Italian banks, which have been hit by negative sentiment, but offer some of the most attractive long run returns in the European equity markets. Filmed on May 23, 2017, in London.

Published on
31 May, 2017
Topic
Financials, Trading, Europe
Duration
3 minutes
Asset class
Equities
Rating
49

Comments

  • LJ

    Lewis J.

    15 9 2017 19:04

    1       0

    Hard case to make.

  • KB

    Krystof B.

    30 7 2017 12:38

    0       0

    16% + non-performing loans + two Italian banks filled for bankruptcy and the largest Italia bank got bail-out few weeks ago. I don't see any opportunity on the long site in Italia at all, whole country will go bankrupt sooner rather than later.

  • AE

    Aleksey E.

    9 6 2017 08:15

    1       0

    Sounds like one for a long term options play

  • SS

    Steve S.

    2 6 2017 09:55

    1       0

    If you are going to invest in European Banks, stick with the German, French or UK ones. Investing in Italian banks just isn't worth the risk.

  • RT

    Rune T.

    2 6 2017 06:26

    0       0

    Sounds like long ISNPY short ASX:WBC could be a trade for me.

  • FM

    Fraser M.

    1 6 2017 05:54

    8       0

    I like these trade ideas but the presentations are too thin on rationale. More substance please.

  • AS

    Artur S.

    31 5 2017 17:42

    6       0

    I agree with Intesa, good management there. The rest is mostly just a bunch of crap. The issue with NPLs in Europe is that it's always all accounted ... until the day we realize it really isn't and they are going to need another capital increase. Also, hard to argue they have taken the right steps since they have little steps they can take by themselves. Regulators do as they please and more and more banks in Europe look like they want to be utility companies. They forget their job is to manage risk. The other day, BNP's CEO talked on BBG and he seemed so enthusiastic about more regulation that it really scared me.

  • MS

    Matt S.

    31 5 2017 16:38

    6       0

    That's it? Everyone is short Italian banks... so we are contrarians and say go long.

    : \