john,
am glad to hear your bullishness on the market...seems rather sound considering the recent bullish moves.
i'm going to wait until next week to recommit either way.
will just trade a little here and there for now.
news on Broadbands...
*Extra* Newest HOLDRs to Track Broadband Stocks
By Dagen McDowell
Senior Writer
3/16/00 2:22 PM ET
Merrill Lynch (MER:NYSE - news - boards) plans to launch a new version of its
exchange-traded HOLDRs, this one focusing on broadband stocks.
HOLDRs are baskets of 20 stocks that are bought and sold as a single security and are
traded on the American Stock Exchange. The broadband HOLDRs, which will trade
under the symbol BDH, will be the eighth in Merrill's HOLDRs lineup. (For other
HOLDRs and the stocks they hold, see a recent Dear Dagen column.)
Broadband is one of those new-school buzzwords that can carry multiple definitions.
Merrill is defining broadband as companies that "develop, manufacture and market
products and services which, among other things, facilitate the transmission of data, video
and voice more quickly and more efficiently than traditional telephone line
communications," according to the prospectus.
Merrill has filed the required paperwork with the Securities and Exchange Commission,
but it's unclear when the HOLDRs will launch. A Merrill official wouldn't comment on the
launch date.
Still, investors will probably be interested to find out the stocks that will eventually go into
the basket. Before the Pharmaceutical (PPH:Amex - news - boards) and Telecom
(TTH:Amex - news - boards) HOLDRs launched on Feb. 1, they attracted a combined
$1.5 billion in assets upon their initial offering. There is evidence that when a new
HOLDRs basket is filed with the SEC, some investors will load up on the 20 stocks in
advance, knowing that Merrill will eventually have to buy them in large quantities for the
HOLDRs portfolio.
Those 20 stocks are no secret. They're right there in the filing. They're listed below.
Proposed Broadband HOLDRs
Company Initial Weighting
Lucent Technologies (LU:NYSE - news - boards) 18.84%
Nortel Networks (NT:NYSE - news - boards) 17.3
Motorola (MOT:NYSE - news - boards) 10.4
Qualcomm (QCOM:Nasdaq - news - boards) 9.42
JDS Uniphase (JDSU:Nasdaq - news - boards) 9.41
Broadcom (BRCM:Nasdaq - news - boards) 4.32
Corning (GLW:NYSE - news - boards) 3.84
Sycamore Networks (SCMR:Nasdaq - news - boards) 3.07
Applied Mirco Circuits (AMCC:Nasdaq - news - boards) 2.72
Tellabs (TLAB:Nasdaq - news - boards) 2.45
Terayon Communications Systems (TERN:Nasdaq - news - boards) 2.38
PMC-Sierra (PMCS:Nasdaq - news - boards) 2.34
Comverse Technology (CMVT:Nasdaq - news - boards) 2.17
SDL (SDLI:Nasdaq - news - boards) 2.00
Conexant Systems (CNXT:Nasdaq - news - boards) 1.82
Next Level Communications (NXTV:Nasdaq - news - boards) 1.71
RF Micro Devices (RFMD:Nasdaq - news - boards) 1.70
Scientific-Atlanta (SFA:NYSE - news - boards) 1.59
Ciena (CIEN:Nasdaq - news - boards) 1.44
Copper Mountain Networks (CMTN:Nasdaq - news - boards) 1.07
Source: Merrill Lynch |
