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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Will Lyons who wrote (54362)	10/20/2001 10:55:30 PM
From: Zeev Hed	Read Replies (4) \| Respond to of 70976

Going into value stocks as you describe assures you "more or less" that another slump in the market will not cause you to lose half of your investment. The flip side is that these type of investments, in many cases, will not move up as much in a strong bull market as the dearer stocks. The reason is simply "Funds sponsorship". Many of the "value companies" are simply too small to attract big money. Once big money decides to jump in, they go with the leaders in each segment, the AMAT, INTC, MU, MSFT, simply because they are big chunks of the averages and a lot of money has no choice but to mimic the "averages". Once you see a "value company" attract some sponsorship (by breaking a trend on increased volume), that might be the right time to jump in on such value stocks, IMTO. Zeev