The financials sector is a cornerstone of the stock market. Composed of companies such as American Express, Bank of America, Charles Schwab, General Electric and Wells Fargo, it can be a very attractive segment for your company's portfolio. However, its important to be aware that this particular market segment is easily impacted by worldwide currency fluctations and major financial events.

Because the financials sector can be volatile, your business might want to get help with financials sector investments. Most investment firms and banks offer financials sector advice. Your financials sector consultant can help your firm develop an investment strategy. As you collect financials sector information, keep the following points in mind:

1. The companies in the financials sector are a mix of businesses that focus on finance, credit, insurance and banking.

2. Most financials sector businesses are worldwide entities. They can benefit or suffer from issues outside the United States.

3. Your company can invest in individual financials sector companies or in a financials sector fund.

Action Steps
The best contacts and resources to help you get it done

Secure stock market and financials sector training

As your company prepares to invest in the stock market, have staff members enroll in training programs. Many investment houses offer courses in person and online. Use the information gained to assess the risk and return of investment in the financials sector.

I recommend: At The Analyst Exchange you can find a corporate training program, tailored to your business interests and investment strategy. Start your company's investment education with the stock market investing guide at Coolinvesting.com. It contains investing basics, including key vocabulary.

Gather profiles and performance data for members of the financials sector

Some companies and segments of the financials sector have better track records than others. Some are better positioned to grow in value based on given factors than others. Evaluate company profiles and historical market trends.

I recommend: Check the Business Week website for a selection of the firms in the financials sector, current stock price and performance information. You can gather similar data at CNNMoney.com, including daily most-active stocks. Join Dun & Bradstreet's Selectory business database for access to company profiles and other detailed information.

Build a portfolio with a financial sectors fund or individual stocks

Depending on your company's analysis of the market and investment strategy, either a fund or a collection of individual stocks might be the best choice. A professional manager oversees a fund, while your company financial department or broker can trade individual stocks. A manager has access to bundles of information but can be slow to react, while your team can be decisive quickly.

I recommend: Consider investing in the unique Exchange-Traded Fund (ETF) for financials sector managed by ALPS Distributors. Recommend that your company open a standard investment account with Bank of America. There are no commissions for online trades and you can select the stocks for the portfolio.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  As with any stock market investment strategy, a balanced portfolio is best. Combine your holdings in the financials sector with investments in other sectors or individual stocks.