After following the stock market for quite a while, it’s about time to sit down and seriously think about whether opening a stock portfolio focused on banks is truly a good idea—and, if investing, which banks are genuinely worth keeping an eye on.

There are several reasons why bank stocks remain a standout option. First, steady dividends—this is what long-term investors truly want. Large banks with strong financial positions often pay dividends generously, and in 2025, based on analysts’ forecasts, banks worldwide are expected to increase dividend payouts and share buybacks as well. Second, interest rates are still at a good level today. Even if the strong upward phase has ended, banks still benefit because their net interest income spreads remain favorable, since these rates are still far higher than during COVID-19.

When it comes to the Thai market, there are some really promising choices. Bangkok Bank (BBL) stands out for its stability, with an extensive overseas network. L&H Securities expects profits to grow the most in 2025, with a target price of 178 baht. KASIKORNBANK (KBANK) is strong on digital—K PLUS is used by a huge number of people. The main thing to watch is the company’s large SME loan portfolio and the need to manage NPLs properly.

As for SCBX, that’s an exciting story. A major restructuring from a bank into a financial technology group creates the opportunity for leapfrog growth—but there are risks too. Dividends may not flow as freely as before. Krungthai Bank (KTB), a state-owned bank, benefits from government projects, and the “Pao Tang” app has massive users. However, the key is to see how well this data can be converted into sustainable revenue. TMBThanachart (TTB), formed from a merger, is still in the phase of building Synergy. L&H Securities has selected it as a top pick because downside is limited and the capital management plan is solid. Ayudhya Capital Bank (BAY) benefits from being part of MUFG Japan, the largest financial group in Japan.

Looking at the global market, JPMorgan Chase (JPM) is the largest bank in the United States. It has diversified businesses, strong technology capabilities, and a solid balance sheet. It is a Core Holding that many institutions must have. Bank of America (BAC), the second-largest, focuses on retail customers and domestic business, benefiting from the rise in interest rates—but it also needs to watch NPLs if the economy slows down. HSBC is a bridge connecting the West and the East, with key business bases in Asia. The challenge lies in geopolitical issues between China and Western countries.

DBS of Singapore—the largest bank in ASEAN—is a leader in digital banking, with strong operating results and good management. ICBC of China has the largest assets bank in the world, but it also has many specific risks, including regulatory issues, NPLs that may not be transparent, and governance concerns. Its low P/E price reflects these risks. MUFG of Japan—the largest financial group—stands to benefit if the BOJ truly raises interest rates, but growth within Japan itself is limited.

Investing in Thai bank stocks is very easy: open an account with a broker, deposit funds, and place orders through an app. For foreign banks, there are multiple routes, either via Thai brokers that provide international services, or through CFDs—if you want short-term speculation and are willing to accept higher risk.

In summary, opening a bank stock portfolio in 2025 is still a reasonable choice, considering dividends, stability, and the move toward digital. Whether you choose Thai banks or overseas ones, what matters is to study all relevant information thoroughly before making a decision.