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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club

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To: Justa Werkenstiff who wrote (4379)4/9/1999 7:51:00 PM
From: marc ultra  Read Replies (3) of 15132
 
Justa, don't forget to have a splits only chat room to go along with the beeper and fund. I asked a while ago if we're smarter than most with our near term cautiousness or just another bunch of contrary indicators. The numbers so far are giving an unpleasant answer. If this keeps up we're going to qualify for visits on CNBC soon where we can answer questions from a bunch of adolescent truant delinquents <g>. I just got the new MarkeTimer and without saying anything that might bring the wrath of those protecting their copyright, while discussing a small cap fund Bob brought up what struck me as an incredible fact I was unaware of. He said seven of the top ten stocks in the Russell 2000 are currently internet stocks led by CMGI first and E-Trade second and these relatively mid to large cap internet stocks are there because they only rebalance the index once a year. While his point was about the reasons for relative poor performance of a particular fund I felt rather astounded and I must be missing something. IF THE RUSSELL 2000 IS LOADED UP WITH INTERNET STOCKS THAT HAVE STAYED IN THE INDEX EVEN THOUGH THEIR MARKET CAP HAS SOARED BECAUSE THEY ONLY REBALANCE YEARLY THEN HOW ON EARTH COULD THE RUSSELL BE DOING SO CRAPPY? SOMEBODY PLEASE TELL ME WHAT I AM MISSING HERE.

Marc
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