Banks Are a Good Place to Put Your Money

Now that the big, bad event is over, we go back to thinking about earnings, and I still think the earnings coming from financials will be the true bright spot this quarter.

Bank of America (BAC - commentary - Cramer's Take) and Goldman Sachs (GS - commentary - Cramer's Take) don't boost dividends huge because they're bearish or cautious. Despite the comments from Goldman on its call about the pipeline, and despite the decline in assets under management -- which is disappointing, if you ask me -- you got the most tangible evidence of things getting better in the form of that payout.

Even more important, that Bank of America payout should get the whole banking industry to rethink its dividend and buyback schemes. I own Wells Fargo (WFC - commentary - Cramer's Take), but I have to tell you, I was plenty jealous of the Bank of America owners yesterday. I want a bigger payout for Wells Fargo!

That's why I think there are more ways to win in that group than any other. Now that we aren't going to have a 50-basis-point-led catastrophe in the money fund business, too, you can bet the asset managers are going to be hot.

Now that Neuberger Berman (NEU - commentary - Cramer's Take) is in talks to be acquired, you have the tripleheader: dividend boosts, earnings gains, and takeouts.

This group simply must be overweighted in every portfolio. Don't let the technicians tell you otherwise. Cheap stocks that get taken over and boost dividends don't stay cheap for long.

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James J. Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. At the time of publication, Cramer was long Wells Fargo. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column to [e-mail]. Listen to Cramer's RealMoney Radio show on your computer; just click here. Click here to buy Cramer's latest book, "You Got Screwed!" Click here to order Cramer's autobiography, "Confessions of a Street Addict."