Published on 28 Jul 2023 on Insider Monkey via Yahoo Finance
10 Best Regional Bank Dividend Stocks to Buy
In this article, we discuss 10 best regional bank dividend stocks. You can skip our detailed analysis of the banking sector and its performance over the years, and go directly to read 5 Best Regional Bank Dividend Stocks to Buy.
The US banking sector faced significant challenges this year due to the troubles encountered by major banks in the country, including Silicon Valley Bank (SVB), First Republic Bank, and Signature Bank (NASDAQ:SBNY). Concerned bank customers and investors rushed to withdraw their funds, prompting the federal government to take strong measures to prevent a broader panic that could disrupt the entire financial system. According to CNN, the three banks collectively had about $559 billion in total assets, which, when adjusted for inflation, exceeds the $523 billion held by the 25 banks that failed in 2008.
Following this upheaval in the banking sector, regulators seized First Republic Bank in May and reached an agreement to sell most of its operations to JPMorgan Chase & Co. (NYSE:JPM), ensuring stability and mitigating the risks associated with the situation. JPMorgan will be taking responsibility for all of First Republic's deposits, both insured and uninsured, amounting to $92 billion. Additionally, they are acquiring a large portion of the bank's assets, which include approximately $173 billion in loans and $30 billion in securities.