Some funds tend to hoard the big-volume stocks -- those that traded in much larger volumes than other company's shares.
Every stock mentioned in this article averaged a trading volume of more than $1 billion of market activity over a recent five-day period.
Five of the $1 billion-plus stocks are centered around the Internet and technology space.
generated the highest dollar volume at $4.88 billion per day. Apple shares represented 13.95% of the C-rated
Berkshire Focus Fund
at the end of the first quarter.
is the next-highest-volume tech company at a daily volume of nearly $1.47 billion. Microsoft is also the biggest holding of the D-rated
ProFunds-Technology UltraSector ProFund
at 12.11% of assets as of March 31.
The second of four different ProFunds to make the cut this month is the
ProFunds-Semiconductor UltraSector Inv ProFund
. Nearly 35% of this E- rated fund is tied up in shares of
At 9.96% of assets,
is tops at
Rydex Series-Internet Fund
, currently rated D+.
shares are 7% of this same fund.
The next group of five companies are some of the biggest names in the financial arena.
Three of the most highly liquid shares are also the top three holdings of the E- rated
ProFunds-Bank UltraSector Inv ProFund
, at 12.54% concentration;
Bank of America
, at 19.17%; and
at 16.34%, all regularly trade more than $1 billion in shares per day.
Trading just barely $1 billion worth of shares, brokerage firm
is a top-five holding of
Legg Mason Partners Aggressive Growth Fund
American International Group
, at 8.6% of assets, slipped to the second-largest holding of the
The next two companies are very well known.
is the third-largest holding of the B+ rated
Boulder Growth & Income Fund
The third most active at $1.86 billion average daily volume is
, making up 21.26% of the A-rated
Vanguard Industrials Index Adm Fund
Finally, the price of a barrel of oil hit another record in May. Every well balanced portfolio should have some exposure to energy stocks like
Exxon Mobil, with a 27.78% weighting, is the largest holding of the B-rated
ProFunds-Oil & Gas UltraSector Inv ProFund
. Chevron and ConocoPhillips are the second and third largest holdings of the C+ rated
Vanguard Energy Index Adm Fund
in slightly higher proportions than in the ProFund.
Important disclaimer: These stocks are so liquid that any of the above funds may already have liquidated their positions in these companies by the time you read this article.
For an explanation of our ratings,
Kevin Baker became the senior financial analyst for TSC Ratings upon the August 2006 acquisition of Weiss Ratings by TheStreet.com, covering mutual funds. He joined the Weiss Group in 1997 as a banking and brokerage analyst. In 1999, he created the Weiss Group's first ratings to gauge the level of risk in U.S. equities. Baker received a B.S. degree in management from Rensselaer Polytechnic Institute and an M.B.A. with a finance specialization from Nova Southeastern University.