NEW YORK ( TheStreet) -- Goldman Sachs' financial sector analysts have added three new companies to their "conviction buy" list for the Americas, while announcing ratings changes on four other companies as well.

In order to add to its current picks Goldman's financial sector team dropped three companies from its list.

T Rowe Price ( TROW - Get Report) fell off the list to make room for another asset manager. Despite knocking T Rowe Price off the list, Goldman's analysts see it benefitting from increased demand for retirement asset management products and increased investor risk appetite as the market has stabilized somewhat coming out of the crisis.

Goldman also dropped Digital Realty Trust ( DLR - Get Report) from its conviction buy list, as the analysts "see fewer identifiable catalysts for the shares over the next six months" and potential upside from their $64 price target is just 6%. Nonetheless, they see this company, a real estate investment trust, as offering "unique value relative to an expensive REIT sector." As a result, they left the "buy" recommendation in place on the name.

Goldman also made several ratings changes in the online broker space unrelated to the "conviction buy" list, upgrading E*Trade ( ETFC - Get Report) to "buy" from "neutral," while dropping TD Ameritrade ( amtd) to "neutral" from "buy." Goldman's analysts argue E*Trade is better-positioned than TD Ameritrade to weather the traditionally slow trading period that is characteristic of the summer months.

Other positives Goldman analysts cite for E*Trade are the fact that it was better-positioned for the recent decline in interest rates and the fact that its creditworthiness is improving. E*Trade's share price performance has lagged rivals like Ameritrade and The Charles Schwab Corp. ( SCHW) year to date. Even after getting a lift on Monday's upgrade, E*Trade shares are roughly flat so far in 2011 versus a more than 5% gain for Schwab and more than 10% for Ameritrade.

Still, the note suggests E*Trade would be hurt if rates start to rise.

"E*Trade's strategy for its interest rate sensitivity is to manage it to a position of overall neutrality. Thus, it will have more stability in a period of falling rates, such as 2Q to date, but less when rates rise as it has swapped its variable rate exposure for fixed performance," Goldman's analysts write.

Here, then, are the three stocks Goldman's financials research team added to their conviction list on Monday.

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3. XL Group ( XL), which underwrites commercial insurance and reinsurance, is "the stock in our universe that is best positioned to benefit from improving trends in global property markets," Goldman's analysts write.

They also see limited downside if the property rebound proves disappointing, as they argue XL is cheaper than peers since it trades at just 80% of book value.

"With recent significant loss events such as the Japan earthquake, Australian floods, and New Zealand earthquakes, we think a change in risk perception (a positive for pricing) from both policyholders and insurers is afoot," the analysts argue in their report. "We do not anticipate a broad-based turn in pricing, but weexpect to see further improvement in pricing for global property (CAT) coverage," the analysts write.

While XL has temporarily halted share buybacks, Goldman's analysts see this as a good thing.

"A pause in buybacks is a statement of optimism around opportunities, not concern over capital," they write. "In XL's case, higher property (CAT) exposure are likely to keep buybacks at bay at least until 4Q as the company looks to keep its PML ratios well within a conservative range. But after hurricane season is done, either XL will have more property premiums on its book or will resume buyback activity, both of which further the investment case for XL, in our view.

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2. Ameriprise ( AMP - Get Report) is another company Goldman's financial team added to its "conviction buy" list, arguing it "continues to be one of the few idiosyncratic stories in financials."

Among the positive trends is that the company's asset and wealth management businesses continue to account for an ever-increasing share of earnings, which is a good thing for shareholders since those businesses require very little capital to be successful, according to Goldman's report.

Indeed, the fact that so little capital is required and that margins are so strong allows Ameriprise to continue to show an ever-stronger balance sheet while likely having plenty of money left over for buying back shares.

Despite these positives, Ameriprise is relatively cheap, Goldman's analysts argue, noting the stock still trades in line with its historical price-to-earnings ratio of nine times their estimated 2012 earnings. That compares to a multiple of 11 for peers during the same period.

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1. Evercore ( EVR - Get Report) is one of many investment banking focused firms that provide advice on mergers and acquisitions, restructurings and other corporate activities while claiming to be less conflicted than larger rivals like Goldman Sachs ( GS)or Morgan Stanley ( MS) because they do little or no trading or lending.

In recommending the stock, Goldman's analysts cite "strong second-quarter completed M&A trends,an increasing group of senior managing directors that are performing at solid levels, a healthy backdrop for advisory globally, and improving trends in asset management and equities."

They also argue Evercore is "more attractive than peers with vast equity or fixed income trading exposure ," since they see "a deceleration in trading activity that is likely to impact many of the stocks in the capital markets sector."

Goldman is predicting record second quarter earnings of 57 cents per share for Evercore, with advisory revenues of $119 million, which would represent an increase of 67% over the second quarter of 2010. Even that bullish estimate may be low, Goldman's analysts write.

-- Written by Dan Freed in New York.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.