Where to invest in 2007

This year’s sectors to watch are Investment Banking, whose deal-making is now global; Chemicals, boosted by cheaper energy; Internet, where ads and retail are here to stay; Insurers, which thrive amid disaster; and Beverages, since alcohol is recession-proof. In Emerging Markets, you can profit from the new global middle class.

Investment Banks
BanksGoldman Sachs (GS)
Lehman Brothers (LEH)

Chemical Makers
Dow Chemical (DOW)
Rohm & Haas (ROH)

Internet Companies
Yahoo (YHOO)
Amazon.com (AMZN)

Insurers
St. Paul Travelers (STA)
Hartford Financial Services (HIG)

Beverages
Diageo (DEO)
Anheuser-Busch (BUD)

Emerging Markets
China Mobile (CHL)
Coca-Cola Hellenic Bottling (CCH)