Is the time right to buy financials again?

Financial stocks have had a very tough year or so. Bank stocks have fallen spectacularly. But they do look attractive at the moment - superficially, at least. So is it time for you to put your money back into banking stocks?

If you're thinking about buying bank stocks, and have been following the market this year, you know what's been happening.

A good proxy for the group is the KBW Bank ETF (AMEX:KBE), an exchange-traded fund that holds all of the nation's major banks. The fund has lost nearly half of its value over the past 13 months. The index of smaller, regional banks Regional Bank HOLDRS (AMEX:RKH) has fallen even more.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.