Banks enjoyed the low interest rate environment while they still had higher interest assets on the books. However, with interest rates stuck at record lows and margins compressing, banks are increasingly focusing on non-interest revenue. In order to maintain a relatively stable earnings stream, banks will need to focus on growing this piece of the banking puzzle.
In this video, Motley Fool banking analyst David Hanson tells investors which banks have a revenue mix that would be favorable in a continued low-rate environment.
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The article These Banks Have Ammunition to Fight the Fed originally appeared on Fool.com.
David Hanson has no position in any stocks mentioned. The Motley Fool recommends Wells Fargo. The Motley Fool owns shares of Bank of America, Citigroup, JPMorgan Chase, and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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