The recent selloff in bank shares, combined with banks' excellent third-quarter earnings, have created buying opportunities for investors, according to Robert A. Bonelli, who runs the Ernst Bank Equity Fund for Ernst & Co.

Unlike some other fund managers, Mr. Bonelli is not ready to turn bearish on bank stocks. Even Morgan Guaranty Trust's recent cut in its prime lending rate, which sent bank stocks falling, hasn't dissuaded him.

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