ETFs for Wall Street Survivors Prosper

NEW YORK (TheStreet) -- Wall Street survivors like Goldman Sachs(GS Quote) and JP Morgan Chase(JPM Quote) have survived the crush of recession and are profiting on the upside.

ETFs like the iShares Dow Jones U.S. Broker-Dealers Index Fund(IAI Quote) and the RevenueShares Financials Sector ETF(RWW Quote), heavily weighted towards these companies, should continue to prosper.

Like it or not, Goldman Sachs survived the downturn. Individual investors may not be able to control bonuses, but they can continue to benefit from the rise in Goldman's stock.

ETF for Wall Street Survivors

On the brokerage side, highlighted by iShares' Broker Dealer ETF(IAI Quote), firms like GS and Morgan Stanley(MS Quote) will benefit in the wake of fallen comrades like Lehman and Bear Stearns.

Less competition means a greater piece of the pie, and these firms continue to be at the forefront of trading technology. In addition to GS and MS, IAI's top five components include the CME Group(CME Quote), Ameriprise Financial(AMP Quote) and Schwab(SCHW Quote).

IAI tracks the Dow Jones U.S. Select Investment Services Index, a narrowly-themed group that includes brokers and dealers and commodity and stock exchanges. While this bunch was hit hard by the economic downturn, IAI has risen nearly 45% year to date.

The recent launch of Schwab's proprietary ETFs gives investors a unique view of what some of these firms will be up to in the future. By offering asset management clients a "one-stop shop" for trading needs, SCHW will help to cultivate a client base that stays in-house for transactions. These recurring fees will help firms like SCHW to continue growing.