RE: Extropy Investing Group

Ramez Naam (ramezn@EXCHANGE.MICROSOFT.com)
Mon, 13 Oct 1997 11:51:06 -0700


> From: Ed Sona [SMTP:edward.sona@pobox.com]
> What companies would you recommend?=A0 It seems that everyone agrees
this
> is a
> good idea, but I haven't seen a lot of specifics.

Since I work in infotech, my investments are currently concentrated
there.=A0 Following the general strategy of picking market leaders in a
fast-growing market, I would recommend a distribution of investment
capital among the following companies:

Microsoft
Intel
Compaq
Dell
IBM
Sun
Netscape
Oracle

Of these, performance over the past 5 years ranges from the moderate
(50% in two years for Netscape) to the truly astounding (2200% in 5
years for Dell).=A0 Compaq, Intel, and Oracle all come in between 1000 =
and
1300% over the last 5 years.=A0 Microsoft is a comparatively measly =
500%.=A0
IBM an anemic 200%.

A couple caveats:

1) This performance reflects a very strong bull market in the same
period.=A0 A bull market especially favors growth stocks.

2) This investment strategy is quite likely to produce years of =
negative
growth.=A0 Use it only if you are willing to accept some risk, and =
willing
to hang on tight to your investments for a period of several years.

good luck!
mez=20