Quant Picks: 5 Investment Banks & Brokerage Firms to Buy
Investment banks help to allocate financial capital to its most efficient uses across firms and industries. Investment banks utilize their vast experience and network of institutional investors to facilitate the sale of securities, mainly stocks and bonds of companies seeking to raise capital. They help new companies become public through initial public offerings; and existing companies to raise additional funds for expansion. Investment banks play a crucial role in mergers and acquisitions, as firms try to improve their competitive posture in the global economy. Brokerage firms make it possible for investors to buy and sell financial assets. That is, the Brokerage industry is playing a crucial role in wealth management. With financial assets in the trillions, rising financial wealth due to rising stock prices, and a growing economy, the Brokerage companies have a bright future. Let's take a look at some of the best investment banks and brokerage firms TheStreet Quant Ratings says you should add to your portfolio, right now. Number 5 is Raymond James Financial. With an 'A-' rating, the company's strengths can be seen in its revenue growth and increase in net income. Fourth is, TD Ameritrade. This rating is also an 'A-.' TD Ameritrade thrives in its solid stock price performance and notable return on equity. Number 3 is Goldman Sachs. With an 'A-' rating the company flourishes in its revenue growth and compelling growth in net income. Second is Charles Schwab. With an 'A' rating, the company's strengths can be seen in its revenue growth and expanding profit margins. Number 1 is Lazard. With an 'A+' rating, the company has good revenue growth, and notable return on equity. TheStreet Ratings are algorithmic stock picks based on 32 major data points. S&P 500 stocks rated 'buy' yielded a 16-and-a-half-percent return in 2014, beating the S&P 500 Total Return Index by more than 300 basis points. For the full reports on these stocks, you can check out TheStreet.com/QuantRatings.
