His top picks in financials include Goldman Sachs , Morgan Stanley, and Citigroup.
Now, he said, he is seeing more of an appetite for risk and investors are looking at bank stocks again.
"This summer, I got the feeling a lot of investors had thrown their hands up in the air with financials being unanalyzable" because of volatility, he said. "What I would say is, over the last month or so, that tide has changed some. I’ve been getting more and more incoming calls about the fundamentals and how do I think about this and how do I think about that."
Still, Harte said, with continued volatility now in Europe "this is not a market for the weak of heart."
CNBC Data Pages:
Jeffery Harte does not own shares but Sandler O'Neill has investment banking relationships with the companies mentioned.