Bank Stocks offer great potential

Why buy bank stocks? Nothing special about bank stocks, right? Although banks do not posses the same intrigue and luster as the more highly touted sectors you read about in business pages around the world, bank stocks become very interesting when you see returns that are possible.
Recently, almost out of nowhere, bank stocks have grabbed headlines in world markets, now regarded as a safe play. Even the May 19 issue of Forbes has an article titled "Why bank stocks are cash machines" by Shawn Tully, Senior Writer. This article makes a very strong case, and was even featured on CNN's site.
Similar articles have emerged since, outlining the performance of the larger banks including Bank of America, Wachovia, Wells Fargo, J.P. Morgan Chase and Citigroup (the 5 largest banks in the U.S.). As Tully notes, these bank stocks are up 7 percent this year and they are still priced at great value.
With the recent history of the banking industry, mergers will continue as these larger banks keep diversified, but also they should look to expand, which could provide excellent returns on other bank stocks.
Consider that banking is an industry which offers services such as credit cards, car loans and as far out as trading commodities, bank stocks offer diversity, solid dividends combined with share price gains. All of this at very little risk.
As one writer recently pointed out, when you buy bank stocks, thousands of experts work hard each day to maximize your investment. It is almost as if you bought your own army of money experts.
There is of couse some risk in bank stocks, just like any other investment. Research bank stocks for yourself. Look into Citi, Bank of America, Wachovia, Wells Fargo, and J.P. Morgan Chase. Check their numbers and look at the gains. You may find that one (or more) of these bank stocks are right for you.