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Lloyds Could Provide Good Growth
I’ve been a long term holder of Lloyds Banking Group (LON:LLOY) (LLOY.L), as it is now called, since 2007.
In my new full time role as Analyst Manager at Newgen Renewables I have had the chance to conduct some ‘branch visits’ to branches in the Huddersfield area. So keen am I to check out the Black Horse that I even did this in none work time!
Some of the rural workers fear for their jobs. Lloyds has already axed many such branches. I can see more being closed in the coming years.
The PPI scandal has hit Lloyds hard but it has just about recovered from it. There is in fact further ongoing legal action being taken against the bank, which I am taking part in.
Yet I’m still a Lloyds shareholder. And at these current levels you could buy the share. At 62.2p it gives a dividend yield of 4.2% which can grow over time. A purchase on Lloyds is really a statement of belief in the UK economy and I think it will be fine post Brexit.
You can also look at banks like HSBC at these levels. Let’s have a look at the Beast From The East.
Again, I have some inside info on this bank. None working hours, I am checking it out paying a visit. I would described the Huddersfield manager as a bit scared to see me but the branch was busy.
I’ve been a holder of HSBC (LON:HSBA) (HSBA.L) since 2014, and a purchase I made in 2016 has done very well. At 626.2p it gives a yield of 6.37% which is very tasty. If you’re buying HSBC you’re betting on Chinese and Indian growth, which will happen. HSBC is a ruthless money maker and worth putting on your watchlist for sure.