“It is easy to try to respond to the rumor of the day, but that is not usually productive. Instead we should let balanced third parties do their own analysis and let the facts speak,” CEO James Gorman said in a memo sent to employees.

“While the macro issues remain intense for the capital market sectors/stocks and will likely continue to weigh on the sector in the near term, given valuations and our view that Europe doesn’t become a systemic issue, we see some attractive long-term opportunities within the capital market space, though we remain selective,” Deutsche Bank analysts wrote in a note Tuesday. Morgan Stanley and Goldman Sachs (NYSE: GS) are their top picks among broker-dealers.

SPDR KBW Capital Markets ETF (NYSEArca: KCE)

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Max Chen contributed to this article.