How Bad Is Mutual Fund Window Dressing Hurting Technology Shares? Asks Thomas Kee of Stock Traders Daily
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Asks Thomas Kee of Stock Traders Daily
SAN FRANCISCO, March 30 /PRNewswire/ -- Stock Traders Daily,
( stocktradersdaily.com ) has reviewed data from the past week on
CIENA Corporation (Nasdaq: CIEN), Veritas Software Corp. (Nasdaq: VRTS), and
Juniper Networks, Inc. (Nasdaq: JNPR) to obtain an indication of how recent
Mutual Fund Window Dressing has affected these stocks.
Mutual Fund Window Dressing takes place at the end of each fiscal quarter,
because many Mutual Funds have calendar reporting cycles their first quarter
ends on March 30, 2001. At the end of each quarter Mutual Funds publish a
Quarterly Report to all of their shareholders. This report discusses, amongst
other things, the current portfolio of the fund. Window Dressing takes place
when Fund Managers sell stocks that have been weak, and buy stocks that have
been strong, to appear as if they have held the best stocks during their
latest quarter when their shareholders review the Fund's Current Portfolio.
This practice often creates abnormal trading patterns within specific
securities, and it is also manipulative because the Quarterly Report may not
disclose the portfolio that provided the returns during the quarter.
Mutual Fund Window Dressing takes place during the last week of the
quarter, in this instance the week ended 3/30. The following data provides
some indication about the Window Dressing that may have taken place during the
last week:
CIENA Corporation has traded lower by 50% during the last week. During
this same period of time 91% of the trades in CIENA Corporation have been
institutional trades. This suggests heavy institutional selling. In
addition, during the last Quarterly Report, CIENA Corporation had
institutional ownership of 67%.
Veritas Software Corp. has traded lower by 29% during the last week.
During this same period of time 71% of the trades in Veritas Software Corp.
have been institutional trades. This suggests heavy institutional selling
also. In addition, during the last Quarterly Report, Veritas Software Corp.
had institutional ownership of 80%.
Juniper Networks, Inc. has also traded lower by 50% during the last week.
During this same period of time 52% of the trades in Juniper Networks, Inc.
have been institutional trades. This also suggests heavy institutional
selling. In addition, during the last Quarterly Report, Juniper Networks,
Inc. had institutional ownership totaling 95%.
The information above is public knowledge. The information is embedded in
filings and news releases made by CIENA Corporation, Juniper Networks, Inc.
and Veritas Software Corp. in the recent past. Trading data was obtained from
Thompsonfn.com. Stock Traders Daily has offered this information to help
investors make educated decisions about their investments. For more
information about Stock Traders Daily, including more comprehensive reports,
please visit our corporate Website: stocktradersdaily.com .
Thomas Kee is a member of the National Association of Securities Dealers,
CRD number 2369405.
SOURCE Stock Traders Daily
-0- 03/30/2001
/CONTACT: S. Dulong of CIENA Corporation, 410-865-8500; or Randi Feigin
of Juniper Networks, Inc., 905-863-0000; or Gary Bloom of Veritas Software
Corp., 650-335-8000; or Thomas Kee of Stock Traders Daily, 415-512-1229/
(CIEN VRTS JNPR)
CO: Stock Traders Daily
ST: California
IN: FIN CPR
SU: |
