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To: Thomas M. who wrote (66604)	2/10/2001 1:41:00 PM
From: patron_anejo_por_favor	Respond to of 436258

Nice article on Chuck Clough in (former ML investment strategist who got canned for being too bearish in '99) in today's Barron's. Seems he started a private hedge fund and has had a great time shorting tech and going long energy. He also hates the banks and credit card trash. Has some interesting short side recos: interactive.wsj.com According to HedgeWorld's Gallo, Clough's strategy reflects a generally renewed interest in value investing as Internet fever subsides. "It's not unusual to have a hedge-fund strategy that exploits cyclicals when the glamour stocks fade," Gallo comments. As for those erstwhile glamour stocks, Clough believes further declines could be in store. In addition, he's extremely bearish on banks, which he believes are attempting to paper over increasingly high loan-delinquency rates by lending even more money and taking on greater risk. He's especially down on sub-prime lenders such as Providian Financial and Capital One Financial. "Consumer loans are the real-estate loans of this cycle," Clough says. "The banks are overloaded in the consumer area, and their books will be hit." Clough also is shorting virtually all the publicly held employment-agency stocks, because of an expected economic slowdown. And he maintains some short positions in tech and telecom issues, including Nvidia; VeriSign, which sells and verifies dot.com addresses; Inforte, an e-business services provider, and Time Warner Telecom. Clough has trimmed his short positions in some other Internet stocks that have declined substantially, including Amazon.com. But in a telling echo of his days as a strategist, he remains bearish on other richly valued technology stocks, including Siebel Systems and Level 3 Communications, as well as the socalled Internet incubators that invest in other dot.coms. Disclosure: I'm short Providian (PVN)