Which UK bank is Investec's Mundy snapping up?

Investec's stockpicking veteran Alastair Mundy has bought into Royal Bank of Scotland after a change of sentiment towards elements of the UK's beaten-up banking sector.

Having avoided most of the UK’s banks in his £2.2bn Cautious Managed and £631m UK Special Situations funds because of concerns over potential nationalisation, Mundy told Investment Week he has recently snapped up some RBS shares to take advantage of the extremely depressed price. “The valuation on RBS got so low it was either saying, it is going bust or returns will be very low forever,” he said. “It has some very good businesses, such as Natwest, which are attractive. As for the risk of it going bust, we do not think the number of skeletons in the cupboard will be that big, especiall...