SOURCE: Paragon Financial Limited

Paragon Financial Limited

November 24, 2011 08:16 ET

US Money Market Turns to Bank of Nova Scotia and Bank of Montreal as Europe Sputters

The Paragon Report Provides Equity Research on The Bank of Nova Scotia & Bank of Montreal

NEW YORK, NY--(Marketwire - Nov 24, 2011) - Canadian Banking stocks continue to lag in the markets despite continuous reassurance that their exposure to Europe's escalading sovereign debt problems is small. The Paragon Report examines the outlook for companies in Canada's Banking Sector and provides stock research on The Bank of Nova Scotia (NYSE: BNS) (TSX: BNS) and Bank of Montreal (NYSE: BMO) (TSX: BMO). Access to the full company reports can be found at:

With Europe in the doldrums, Canadian banks have become a premier destination for US Money Market Funds. According to a September report from Fitch ratings, Fitch Ratings, Canadian banks now represent 10.7% of American money market fund exposure, as exposure to Canadian banks increased a massive 12% from August to September.

According to Fitch, the top Canadian bank was Bank of Nova Scotia, with 3.1% exposure. This puts Scotiabank fifth overall, however, trailing Germany's Deutsche Bank, which averaged 3.5% exposure. The second most held Canadian bank was Royal Bank of Canada, with 3% exposure. No other Canadian banks made it into the top 10, which represented a combination of European, American, Australian and Japanese lenders.

The Paragon Report provides investors with an excellent first step in their due diligence by providing daily trading ideas, and consolidating the public information available on them. For more investment research on Canada's Banking Sector register with us free at and get exclusive access to our numerous stock reports and industry newsletters.

The Bank of Nova Scotia offers a range of products and services, including retail, commercial, corporate and investment banking to almost in some 50 countries worldwide. At the end of its last quarter, the bank reported having no direct exposure to Italian bonds.

Bank of Montreal, together with its subsidiaries, provides a range of retail banking, wealth management, and investment banking products and solutions in North America and internationally. According to its most recent earnings release the company had $131 million worth of exposure to European sovereign debt. No Italian number was specified.

The Paragon Report has not been compensated by any of the above-mentioned publicly traded companies. Paragon Report is compensated by other third party organizations for advertising services. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at