Analysis: Canada banks steal quiet march as Wall Street retreats from energy

As Wall Street’s giants pull back from the energy business, Canadian banks are stepping forward, aided by booming domestic oil production and a reputation for prudence. Bank of Montreal, Canadian Imperial Bank of Commerce and Bank of Nova Scotia, long-time niche players in energy trading, hedging and dealmaking, are expanding their operations both north and south of the U.S. border, executives told Reuters. In total, commodity trading revenues at the three banks rose by 30 percent last year, according to a Reuters review of their annual reports. “We have been able to pick up market share not only in our home market but able to rapidly grow our business in the U.S. and overseas in places like the North Sea,” said Adam Waterous, a veteran oil banker who heads Scotiabank’s global investment banking team, which is based in Calgary, Canada’s oil capital.

    

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