Trustmark, Walgreens Join 'Clean Stocks' List

The bad guys get all the headlines, but don't let them scare you into putting your money in the mattress.

So far, the "Clean Stocks" project I launched last July has identified six stocks that are clean enough for investors who worry about the never-ending round of financial scandals, yet know they must stay in the markets to stand any chance of reaching their own financial goals.

In this column I'll add two more names to my list and nominate three other candidates for due diligence.

It's not easy to find the good guys. After all, CEOs like Dennis Kozlowski and mutual fund managers like Richard Strong get the headlines and the TV time.

The good guys are ignored, except by smart investors.

These investors know that not all mutual funds see Job No.1 as filling managers' pockets by ripping off shareholders. The Dodge & Cox family of funds, for example, combines above-average gains for investors with below-average expenses.

Rather than waiting for Securities and Exchange Commission regulations, the Fidelity group of funds rigorously applies fair value pricing to prevent stale pricing at its international mutual funds. The Tweedy Browne fund family makes a habit of fighting for shareholder value. Its successful efforts to oust Conrad Black as CEO of Hollinger International (HLR - Cramer's Take - Stockpickr) after Black and other company executives accepted $32 million in unauthorized payments produced a one-day gain of $30 million for shareholders of the company's funds.

And of course, there's the Vanguard group, which has a policy against late orders that's still way ahead of any of the reforms now being proposed by the SEC or Congress.

And not all CEOs of publicly traded companies behave as if the company belongs to them, either. For every Bernie Ebbers, Dennis Kozlowski and Richard Scrushy, there's a Peter Rose or a George Roche.