NEW YORK (
) -- While the federal regulators have reported some grim news for small business credit, investors should take note of which banks are consistently growing their commercial loan portfolios.
According to Community Reinvestment Act data filed by banks and thrifts with total assets of $1.1 billion or more gathered by the Federal Reserve, the Federal Deposit Insurance Corp. and the Office of the Comptroller of the Currency, total business loan originations among banks and thrifts required to file the data declined 9% during 2010.
In a time of turmoil for the markets overall and bank stocks in particular, investors looking for safety are well-advised to
consider names that are sufficiently healthy to support a generous dividend payout
. Those looking for bargains can focus on the
bank stocks trading below tangible book value
. Investors looking for growth during a sluggish economic recovery should key in on banks that are bucking industry trends.
One way to do this is to focus on banks growing revenue, such as the ones covered in
10 Banks with Solid Revenue
Another approach is to look at which large banks have grown their commercial loan books quarter-over-quarter and year-over-year. Among the largest U.S. banks that are required to file regulatory financial statements with the Federal Reserve, these 10 reported the largest gains in commercial loan balances during the second quarter, while also growing the portfolios from a year earlier. Some, but not all, achieved the growth through acquisitions.
Several of the names also feature attractive dividend yields in a prolonged low-rate environment.
Here are the
10 large banks
showing significant commercial loan growth, counting up to the banks with the largest second-quarter non-real estate commercial loan growth: