Don’t be fooled by bank ‘profits’

TERRY Murden does investment (and would-be investors) a disservice when he falls for the 89 per cent “profit” claimed for Lloyds Banking Group over 2012, or the 60 per cent “return” for RBS (Business Comment, 20 January).

Neither of these banks expect to resume payments of dividends any time soon. Most of the long-term sustained/sustainable returns from equity investment come from dividends paid, not from short-term momentum trading (aka speculation) in shares.

I do hope Terry was writing with tongue in cheek?

George Kirrin, via email