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Subject:  Re: The "forgotten" CashKings (?) Date:  7/19/1998  2:48 PM
Author:  DoubleEntry Number:  513 of 8329

>>>>However, considering we are building this portfolio over several years and intend to have 10-12 CK stocks plus 4 Dow Dividend Stocks. That means 3 techs, 2 pharms (assuming SGP is added), 1 retailer, 2 financial,1 beverage and 4 Dow stocks is still relatively diverse. Now I agree, future CK selections should most likely focus outside the tech and pharm industries (e.g. a consumer-nondurable, another food/beverage, or another retailer). If this is the intent of the CK investors, this port could have some significant weight in pharms and techs and still provide a good diversification.<<<<

Keep in mind that diversification is not measured by the number of companies you have in each industry, but by the number of dollars you have in each industry. Accordingly, future investments will shy away perhaps from our big winners. This, as of recent, would have been a poor strategy in that good things keep on happening to good companies--the best get better.
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