5 stocks to bank on right now

Financial Journalist
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It is time to buy the banks. If you already own them, add more if possible. If you do not, take advantage of the best buying opportunity in banks in a decade.

Yes, risks to bank earnings and dividends are immense. Bad-debt provisions from NAB, Westpac and surely ANZ imply a $10billion hit for the big banks this year.

Morgan Stanley this week forecast cumulative losses of $35 billion for the major banks over three years as business and personal customers struggle to repay their loans. Bank losses could worsen if parts of industry are shut down for longer than expected, unemployment exceeds expectation and the economic recovery is more “U” or “W” shaped rather than the “V” snap-back that governments are desperate to engineer.

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