Editing Royal Bank of Canada (section)

== Competition ==

* The main competitor is Toronto-Dominion (TD) Bank, which is the second-largest bank in Canada after RBC by market capitalization 
* Both companies were planning major acquisitions with RBC acquiring HSBC Canada but TD’s buyout of First Horizon fell through. RBC’s acquisition helps them to consolidate their position in Canada whilst TD were hoping to expand more into the U.S. - something that RBC has done previously. 
* TD Bank now has a stronger capital base than RBC to help them stay protected under a recession in Canada that is expected later on this year, and a worrying housing market that may struggle with high-interest rates given that housing in Canadian cities is ranked some of the most unaffordable in the world 
* Some argue that the buyout of HSBC is poorly timed and that HSBC has a lot of risk on its books. Moreover, the deal is quite pricey with the acquisition coming in at 17x earnings. Contrastingly, the market seemed relieved that TD’s buyout of First Horizon collapsed 
* TD is far more exposed to the Canadian market with RBC having a further global presence that is expanding.  RBC recently closed a $2.4 billion takeover of Brewin Dolphin, a large wealth management firm in the UK. This makes RBC one of the top three largest managers in the UK.