Investors in General American might snare a bargain, too. As a closed-end fund, it trades on the New York Stock Exchange at a price that may be higher or lower than the value of its portfolio. Chang might as well be talking about himself and Hayes. Hayes and Chang track long-term economic shifts and buy companies that lead the way. Due diligence is a crucial risk control.
Strong businesses are best able to ride out turbulence.
I build portfolios stock by stock. Nearly three-quarters of assets are committed to technology and telecom services. Janus Worldwide was an early believer, for example, in NTT Mobile Communications Network, better known as NTT DoCoMo, a Japanese wireless leader. Other holdings include Canada s Nortel Networks, Finnish cell phone titan Nokia, and China Telecom. A big stake in German telecom firm Mannesmann was well-rewarded when Britain s Vodafone AirTouch paid dearly to acquire it.