Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Paul Allen's Wired World -- Ignore unavailable to you. Want to Upgrade?

To: PatrickMark who wrote (85)	7/5/1999 11:02:00 PM
From: Adam S	Read Replies (2) \| Respond to of 361

Some responses from Patrick's post: When you link to the port, you need to link through classic SI. You cannot link through beta SI and then log on to classic SI. In other words, if you link from this post, do so while reading the post in classic SI, not beta. Just to clarify Patrick's comments, you CAN link to the port via the Beta, but it will only give you the list of stocks and their quotes. This is only giving you half of the picture. You are not seeing number of shares or cost basis. In order to see this plus the drop down list that gives you performance data and daily change, you must link via the Classic SI. I'm sure this will be fixed once the beta goes into production. 1) From the purpose of an investor's standpoint of trying to understand the inter-relationship of the various holdings, what's the purpose of weighting the three buckets differently? (As opposed to simply entering 1 share of each.) Or am I reading too much into this? Maybe this is simply one way to look at overall performance of the Wired World holdings? Yes, this is simply one way to look at overall performance. There is no one right way. I assigned the weightings with two criteria in mind: A) Each stock's ability to impact the Wired World strategy. B) A good balance among the various buckets with regards to risk/growth. Small caps being the riskiest. Considering criteria A, GNET is assigned a weight of 7.5% of the overall portfolio. That compares to ZANY, for instance, with 1% of the overall portfolio. In a sense, it's like saying that GNET is 7.5 times more likely to impact the Wired World strategy then ZANY would. MCOM, for instance, is assigned a weight of 5%. So, GNET is 50% more likely to impact the Wired World strategy then MCOM. Considering criteria B, if you go by the assumption that the Large Caps, are risky, the Mid Caps are riskier, and the Small Caps are riskiest, I wanted to balance the overall port so it was not too risky. In other words, something that an individual investor might be comfortable with. This also factored into my Large - 60%, Mid 35%, Small 30% weighting. Don't get me wrong, it's still a very aggressive port, I just made an attempt to balance the risk. I think I'll try to tackle your second question tomorrow. Thanks! Adam