Greetings,What is a cap gain distribution as opposed to dividend? Dividend distributions are taxed like dividends while capital gains distributions are taxed like capital gains. Basically it is a matter of what tax liability does the fund pass on to the shareholder. Don't forget that it used to be that dividends were taxed at a marginal rate and that long-term capital gains were taxed at a lower rate so that there is a reason why some would want to know which part of the distribution is which.Notice the breakdown of the distribution on http://news.moneycentral.msn.com/ticker/article.asp?Symbol=US:GROW&Feed=BW&Date=20051229&ID=5383867 I didn't see any reference to Cap Gain in the Morningstar snapshot below. Why? This could be due to the distribution consisting of capital gains along with dividends and there is a distribution alert on the page.Talk me out of it. Well, back a few years ago there were a few good funds that if you look at them afterward it was likely not the best time to buy them. I give you 2 exhibits:1) The S & P 500 beaters of the late 1990s. http://boards.fool.com/Message.asp?mid=13213138&sort=whole#13214987 is a thread noting these funds and their return in 2000 though I imagine they may have had rough times after that.2) In Search of Foolish Funds. http://www.fool.com/news/2000/foth000616.htm being a different set of funds that get highlighted here. White Oak Growth(WOGSX) being one of those mentioned had these for their total returns in 2001 and 2002: -39.1%, -40.0%. That is quite the wallop.To summarize: Could there be an oil bubble in stocks and if so what would the fall out be when it comes down? I remember when Fidelity Select Electronics was the hot fund and I doubt many would have wanted to hold it from 2000 till now all the way.Last but not least there is the note that 2 out of the 3 managers are rather recent additions to the fund which may be a factor on future returns.Regards,JB
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