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To: sam who wrote (832)	1/1/1999 9:15:00 PM
From: 1SFG	Read Replies (1) \| Respond to of 41369

Come on now, this is getting tiring. If the stocks aren't weighted equally then they aren't index funds because they don't follow the index. I can only say that if YOU can get a computer program and buy the stocks that way, don't you think the index funds do the same thing? The reasons people buy any fund, including index funds are many and varied. I started out buying funds because I didn't have the millions it requires to buy each and every stock (in meaningful quantities) that the fund contains. If you have that kind of money then you are set and I suggest you go ahead and set up your personal index fund and save the fees. Finally, don't say "we" when referring to the high fees paid--I don't buy index funds.

To: sam who wrote (832)	1/1/1999 9:34:00 PM
From: 1SFG	Respond to of 41369

<You are correct -- that "the purpose of an Index fund is to exactly match the index numbers." Obviously. Did I say otherwise? My point was that if the index has a bad year -- so does the manager running a fund based on the index. And that these guys and gals will go to serious lengths to make sure the indexes DON'T have bad years.> One final bit of input to our disagreement. Does the above look familiar? That is what YOU wrote. Your introduction of new and misleading information is of no help. The above is what YOU wrote and trying to cloud the issue by saying that index funds might not have equally weighted holdings is in total contradiction to the premise of "exactly match the index numbers" that you already bought into. My only argument with you is that I don't believe or see how an index fund manager can "make sure the indexes DON'T have bad years." If you could explain that based on the fact that index funds MUST buy certain stocks in PREDETERMINED QUANTITIES, I would be eternally grateful and we could put this puppy to rest.