Bank of Nova Scotia (TSX, NYSE: BNS)

Scotiabank has been the worst-performing of the Big Six Canadian chartered banks, as investors were unenthusiastic about its exposure to what were regarded as higher risk Latin American markets, such as Mexico, Peru, and Chile. That resulted in write downs when it exited certain markets. Those included $379 million for the sale of its stake in Bank of Xian in 2024 and $1.36 billion in the first quarter of 2025 for the sale of operations in Colombia, Panama, and Costa Rica, receiving a 20% stake in Colombia-based Bank Davivienda in return.

New CEO Scott Thomson, appointed in 2023, has refocused Scotiabank’s business on North America, with spectacular results. Up only 20% before dividends over the last five years, the share price has climbed 40% in the last year, helped by the acquisition of a 15% stake in Cleveland based Keycorp (NYSE: KEY). The civil unrest in Mexico after the death of a notorious criminal drug lord in March is not expected to affect Scotiabank’s operations.