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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (20236)	12/10/2004 10:11:23 AM
From: Steve168	Read Replies (1) \| Respond to of 78537

Paul, good to know you are holding all the "below net liquidation value" stocks we discussed here before. The window is usually small to be able to buy tech stocks at those prices. It happened in Oct2002-Feb2003, and we all know what happened after that. Our discussions/ideas - ALVR, DUSA, PCYC all worked very well. After more than a year, those stocks reappear again, INFO, TFS, OSTE just to name a few. CIEN was not as cheap as others but it was 20-40% below book with huge potential (fiber optics equipment, broadband specialist). I have a concentrated portfolio of 10-15 those names, and hope they will work in a year.

To: Paul Senior who wrote (20236)	12/11/2004 9:03:59 PM
From: jeffbas	Read Replies (2) \| Respond to of 78537

Paul, I could not disagree more that "AT LEAST 100 different positions" is sound strategy UNLESS you are talking about well-known large cap companies where there is limited monitoring required. But then the question I would have is whether you materially beat index funds, or a large cap value oriented fund like DODGX. I invest in the (volatile) microcap area and my goal is to know my major position companies better than anyone else outside of the company. For my two largest holdings, I have probably had 50 phone calls or emails with the CEO of one and 20 with the other over the last year, and participate on all earnings conference calls. This takes a lot of work/time, and 10 companies in total is almost too many.