In this week's share tip, Edmund Shing argues that despite the mis-selling scandal that Barclays, LLoyds, HSBC and RBS have been embroiled in, now is still a great time to invest in the big four UK banks, in particular HSBC.
Here are five reasons why HSBC could be an appealing prospect for those investors who like a bit of value.
1. Market size: HSBC is larger than the other four UK banks - Barclays, Lloyds and RBS.
2. A global bank: HSBC is a global bank, with a presence in the UK and US, with a very heavy Asian focus.
3. Profits on the rise: Although it has been hit by PPI claims, cost-cutting and the reduction in these fines, means that profits are going to go up for the bank.
4. It's cheap: HSBC is a very cheap bank. Compared to the FTSE 100 Index it's really rather cheap with a PE Ratio (TTM) off 11.81 (6 October).
5. Income yield: If you like income, then HSBC is a hefty dividend payer. It has an income yield of over 6%.
Edmund Shing is Global Head of Equity Derivative Strategy at BNP Paribas in London. He holds a PhD in Artificial Intelligence.