While some little-known tech companies will become Microsofts, many will disappear, he says. The only way to get at those blue chips is by investing in a basket of possibilities. First, determine how much technology you already own. Many growth funds already own a lot of technology stocks. Check your fund's most recent shareholder report, which will show its largest holdings.
Reports usually are available at the fund's Web site.
Determine how much technology you can stand. Don't discount experience. You're not going to find a fund manager who has lived through a prolonged bear market in tech stocks, because there hasn't been one. There are, however, some managers who have delivered solid returns without undue risk for more than six months. The managers of the funds in the chart have been at the helm for at least six years.