The majority of economists are predicting a late 2009 or early 2010 economic recovery, and the recent upswing in the market has been bolstered by some of the sectors that were beat up the most in the recent crisis. As "zombie" banks are separated from healthy banks on the rebound, the financial sector is gaining momentum.
When it comes to financial ETFs, investors have an increasingly large selection, from broad-based indices to specialized subsector funds. The Financial Select Sector SPDR ( XLF), PowerShares Financial Preferred ( PGF) and iShares Dow Jones U.S. Regional Banks ( IAT) funds represent different approaches to the financial sector and different methods for investors to position themselves for recovery.