Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: jjs_ynot who wrote (2879)	12/26/1998 1:04:00 PM
From: Follies	Read Replies (1) \| Respond to of 99985

right, a higher proportion of new money goes into stocks that have risen, but I don't think that was Jim's point. Those higher cap stocks require more money to move them so they are not more likely to move because they now have a larger cap.

To: jjs_ynot who wrote (2879)	12/26/1998 8:58:00 PM
From: James F. Hopkins	Read Replies (1) \| Respond to of 99985

Dave; I study indexes inside out. techstocks.com If you buy the S&P with the exact weight today, and only ONE stock makes a $10 change tomorrow, you will not track the S&P unless you re-allocate That's a fact. If it's one of the BIG boys like MSFT or GE , you got a lot of re-allocating to do. In an UP market failing to do this will have you lagging the S&P gains. It's one reason so many mutual funds can't beat her. Half the professional money managers can't figure it out, they need some one like me to write the tracking program. :-) Jim