Quote:
Originally Posted by LeftCoaster
And what do you think all those busy little banker bees are working on downtown? Equity financing for textiles companies in Mumbai?
No, they are structuring deals and securing financing for O&G companies.
Without the oil sands Toronto would not be enjoying the boom it is right now.
Period.
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Toronto has been growing at almost the same steady rate since the 70's, back when nobody knew what the oil sands were. The banks deal with so much more then just the oil sands in Alberta. They did not become the most stable banks on the planet by putting all of their eggs in one basket. That would be risky investing.
For Example RBC Canada's largest bank has invested $2.3 billion in the Oilsands but if you step back and look at the company as a whole it's worth 726.206 billion (2010) in the assets it owns. So technically the Oilsands only represent a small portion of it's portfolio. The oil sands are a huge money maker for a country with a small population like Canada, but it's nowhere near being the big banks prime source of income. It's one of many investments in their huge portfolios.
TD - Value - $619.545 Billion CAD (2010)
OS Investment - $8 Billion
Scotia Bank - value - $619.545 Billion CAD (2010)
OS investment - $10 Billion