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To: donald sew who wrote (37472)	3/26/1998 9:05:00 AM
From: Patrick Slevin	Respond to of 58727

As I remember the "deadline" is a deadline because of reporting. That is, the funds are required to file quarterly reports for their shareholders stating outstanding positions and so forth. So, they like to be showing that they hold whatever the hot stocks on the block are. Even if they were in cash or held weaker stocks throughout the quarter, they "dress it up" by rotating. The real cutoff is the end of the quarter.

To: donald sew who wrote (37472)	3/26/1998 9:15:00 AM
From: George Mc Geary	Respond to of 58727

Donald, The Mutual Funds would just not want to show a lot of cash on hand at the end of a quarter when the market has been up so strong. It would make them look bad. There is no written rule that they have to have all or the majority of the cash invested by the end of the month or quarter. Just think if they were to receive an extra large amount of cash on Monday or Tuesday Morning next week they would want to invest it (to make the portfolio look good) but they are not bound to invest it by the end of the month.