2007's Top Picks: Financial Services

Top Wall Street pros offer their thoughts and predictions on companies in the financial-services industry

Neither an inverted yield curve, rising interest rates, nor a weakening U.S. dollar could keep financial services stocks from solid gains in 2006. The industry also weathered security concerns and outsourcing talk, and still share prices emerged undaunted (see BusinessWeek.com, 12/19/06, "Financial Services '06: Dash of the Unusual"). In fact, the financial services sector rose 15.8% last year, according to Standard & Poor's (MHP), compared with a 13.6% advance for the broader S&P 500 index.

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