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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Jurgis Bekepuris who wrote (53738)	3/22/2003 1:42:56 PM
From: gdichaz	Read Replies (1) \| Respond to of 54805

Jurgis: Thanks. Your point about an advantage of understanding the strength of a gorilla is to avoid companies "in the shadow of the gorilla" is especially insightful IMO. The idea that understanding the technology in which a gorilla is dominant and the gorilla's strengths (and weakenesses) within it is irrelevant continues to puzzle me. Why is better understanding of fundamentals - the sector/area/technology not useful? It would seem that for a serious investor (not a trader)information and understanding of fundamentals is a clear advantage in investing. And the idea that "value" could ignore such considerations seems to put it bluntly simply head in the sand. Sure "value" and quantitative measures are a valid factor, yet I continue to strongly argue that qualitative factors are crucial even though difficult to measure. The Gorilla Game is helpful IMO in helping to analyze quality. Best. Cha2

To: Jurgis Bekepuris who wrote (53738)	3/22/2003 10:55:23 PM
From: Stock Farmer	Read Replies (2) \| Respond to of 54805

Hi Jurgis, Sorry, but I can't do better. At least you try, and there is merit in that. More than can be said about others. As far as using whether or not something is a Gorilla to filter out investment opportunities, e.g. those which are "under the shadow of Gorilla"... I wonder about that as an investment strategy. Seems to me that price is the single determinant of a good investment. In other words, the difference between what one's investment is worth at sale versus what it cost at purchase. Plus any dividends in between. Everything else is irrelevant in the end. Gorillas included. We can profit from investing in Gorillas and we can fail to profit. That much is evident. What about screens based on price/value determinants, rather than on inputs to determinants or derivative characteristics? What if identifiable Gorillas go on sale less frequently than companies in their shadow? What if Gorillas become overvalued once they are identifiable as such? If I have $1,000 to invest it seems to me that if a company is a Gorilla but priced at $0.98/long-term dollar that it would be a worse investment than some Gorilla Shadowed company available for $0.50/long-term dollar. Yes? Food for thought, rather than a foregone conclusion. John