Even with the likelihood of a tough first quarter looming, banks' stocks have been pushed to the point where many think they are now cheap. Those that cut their holdings are being forced to reconsider. Look at John Carey, of the Pioneer Fund. According to Financial News Online, he slashed his exposure last summer as the subprime mortgage crisis swelled. But valuations have shifted. So have industry dynamics. At some point, it will be worth it to jump back in. The issue is when. You have to wonder if there is another leg down beyond the first quarter. This is where fund managers really distinguish themselves.  

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