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To: Reginald Middleton who wrote (142)	2/8/1999 12:41:00 PM
From: BGR	Read Replies (1) \| Respond to of 419

Reginald, LTCM, it seems, is the favorite whipping person for all non-academic market practitioners these days. Well, the fact that LTCM had a few Nobel Laureates on it's board doesn't mean that their policies were following the theories put forward by the general academic body at large - not when they were making gobs of money and beating their peers and not when they went belly up. Hence the LTCM experience is inconclusive as a single sample point does not make a distribution. But I digress. If you care to observe the performance of the average money manager vis-a-vis the average index fund, perhaps you will not be so upset at academicians at failing to predict how a handful of stocks will behave in a significantly different way than the rest of the market. They never claimed that they could do that anyway and never made such an attempt. However, the success of the index fund industry is heavily in debt to modern finance theories. -Apratim.