CAUTION: YOUR FUND MAY BE TOP-HEAVY

摘要

James McCall had the wind at his back just over a year ago when Merrill Lynch & Co. wooed him from a competitor to manage a new "focused" mutual fund. The market was on fire, and McCall's reputation helped to attract $1.1 billion in assets to the new fund, which invests in just 20 fast-growing companies. But the Focus Twenty Fund's debut has been far from auspicious: The tech-heavy fund sank 28% in 2000 as the Nasdaq recoiled. "It's a painful thing," McCall says. "When you go through a lot of uncertainty, these types of portfolios don't do well."