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Technology Stocks : America On-Line (AOL)

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To: sam who wrote (717)1/1/1999 5:54:00 PM
From: 1SFG  Read Replies (2) of 41369
 
<My point was that if the index has a bad year -- so does the manager running a fund based on the index. And that these guys and gals will go to serious lengths to make sure the indexes DON'T have bad years.>

I am at a loss to understand what you are saying? Where is the management or control if all you do is sell a delisted stock and buy a newly listed stock. Do they have some flexibility to vary the % of the portfolio that an individual stock holds? I didn't think so, but unless that were true there are NO "serious lengths" they could possibly go to in an effort to have a high flying index. An investor goes into this type of fund knowing exactly what he is getting and I doubt there are any type of retributions if the fund tanks, which means the S&P tanked.
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