European Stars And Stripes (Newspaper) - March 22, 1987, Darmstadt, Hesse Page 20 stars and stripes sunday March 22,1987 investor s Druid by Bill Doyle q. I am in experienced Small in vector in stocks and Bonds but i bin Only recently made my first investment in a Mutual fund pc Elk ally fond holding corporate ind government Agency Bonds. Having watch bad both Market Price a Bonds ind interest rates Ince ims i feel 1 know How ranch Bond prices will More relative to interest Rale changes. However i have no such historical reference for Bond Mutual funds. In Etc blog a Sharp Rise in interest rate which 1 believe is coming will per Shire Price of Bond Mutual funds drop with lame degree and Speed As individual Bonds or would percentage Price change be leu erratic a. In Best of All worlds Bond fund s. Per share Price change would be much Lew severe. Why because fund s Man agers should sell Large i amounts of Long term Bonds from i fund s in Doyle vestment portfolio and increase fund s Cash that Means investing fund s asset in . Treasury Bills and other Short term Money Market instruments. Because they Are due to mature at face value soon Market prices of Short term debt securities show Only minor re action to interest Rale changes. The Market prices of Long term Bonds of course react sharply to interest Rale changes. Again in Best of All worlds fund s managers should make these changes in fund s invest ment portfolio before interest rates head up or in Early stages of an interest rate Advance. Unfit Lanalely we Don t live in Best of All worlds. No fund has Ever been Able to unload All its Long term Bonds and go into a 100 percent Cash position prior to an interest rate Csc or accomplish just opposite before interest Rales head Down. Remember that a Mutual fund s per share Price is calculated at least once a Day by adding up value of All fund s assets subtracting any liabilities and divid ing by number of shares out standing owned by investors. When almost Oil of a fund s As sets arc Bonds and Bond prices fall fund s per share value naturally drops by same percentage. Q approximately half of our in vestment income is from Bond Mutual fund. Know that funds share values will drop at some time in future when interest rates Rise. I m told that when that Hap pens we should get nut of Bond funds and into common Stock Mutual funds. A. Low interest rates have been one of factors sending Stock prices higher in recent Bull Market. If interest rates head sharply higher Ine Market prices of stocks and Mutual funds hold ing stocks almost certainly will de Cline. If you re trying to protect your investment values during a Lime of rising interest rates you should move into Money Market Maual funds. C King Fht Mii financial stocks close at record Levels As triple witching hour ignored new York up Stock prices finished at record Levels last week As buyers locked to Oil and technology issues and shrugged Oft Friday s triple witching hour. The Dow Jones Industrial average climbed 74.86 to 2333.30. Winners led losers 1,211 to 725 among 2,1 s3 issues traded on new York Slock Exchange. The Market fell on monday but Rose every Day for rest of week hitting four straight record highs As investors defied jitters expected to proceed triple witching hour a quarterly event in which Stock Index futures come due and options on futures and on individual stocks simultaneously expire Oil and technology issues attracted buyers and Strong institutional buying sent Dow average above 2300 level for first time at close Friday Monte Gordon research director at Dreyfus corp., said Market started week with a great Deal of fear and trepidation about witching hour. The expectation was that Market would slay Low because nobody knew what would happen at end of week Gordon said. Instead mar Ket has moved Forward broken through 2300 level and is staying there. So it would appear Market has discounted triple witching Rodd Anderson Shearson Lehman Brothers vice president of equity trading said witching hour cast a Light Shad Stock pulse Friy. M4ftti 20 Stock Tim tit Parol to at1t Oik Ameis eng 3.0.4�a, 3 &ub.4do ii s,44e.soo ikz.191.mo t7h 2,143-300 15k2.17mco is 1,87�.x us 1,644,200 bin cd cwwtwni7k 1 11 1,0 10 0.6b 3.0s 14.0 1,9 c.b917.d 3b7.bi 10 in 7.12 12.0 4.2 Stock Jpcik no con Lutr ounce Ltd abrupt k it dolt a tsp comp Matt i Ign he a Tanh cum of go Etc p-6 Vuk 352 t t 1120 31-0 1.0272u 9 la 18,0 2.3 a 6h souk 4v 2.01 a i29h 4h 4.47 29.0 2.0 u to it 1bo 2.1 163 t in 34.0 1 13h t 4k4ih t 3h 2.03 Iso 13 ten in Flea 11.0 n so Rund Price from Page 19 Chi 81 us cd 7.23 5, que 1.m b.44 bit in Dent cd con St Ormi Otot Phi fwd cell Mun Una of4ja Mun 7 my 30 con s0 alb suit or 6-Yni fund dip saw Tikot a 13ui4.69 it 711ii7.m30m i Mitra ismlobi43onl. 11u i4.m 101 Mil. 31 21 is so 76 1 07 s3 41 hit u u to ti16 so 17 j7 i3jih.12hs7i671 it 0 17 w 14 Din i. 16 we 1thn Linn un144bn 1id2n 14 in cum isi7n spot tilt so amur win a Ibi oro131 no Ibi tm$11 he a inc an Mun no us pvt and stub Ute i so Olaf so 11.341130 14 � hoj 13� 14 w 1t.1711.77 t. B.h344 179 11.1712.21 j4.18 i7.b7 12.4913.1� 93 b1i 13091364 13mui7 16b9n1 1i9nl.slilhis 2b.i929gt com a 807 by Ctm Lii 1.71 Tilp Ragn 12.34 13 41 to e 10ki133 u 72 i 1433nl b24nl. H Jas no m n i b6s4m6i of St Olaf Sun s1te to Luucy a 2hnlt 97 n t 1wnioc.ki i 7 n l. Bua of b34nl Cifa Kuhnl Dnon 133jnl it 6 id 14 my Mun in Holhi in Moo of Over week. Traders expected Selling but what happened was Sellers never showed up Anderson said. The Market went Down to 2240 and it found Good support there this Market is not ready to go Down yet. It s that analysts said Market is Likely to try to extend rally this week but suggested in is vulnerable to a near term correction before finding a support level around 2280. On big Board Phillips Petroleum was most Active nose listed Issue rising itt to 15w. Us which owns Marathon Oil jumped 2h to 27% other Oil issues also were Strong. Occidental Petroleum jumped 2 a to 33 a Schlumberger Rose 2 to 40, Chevron advanced 5mi to 57%, Exxon jumped 34t to 85w, Mobil Rose 3 to 4b� and Texaco Rose w to 35w. Technology and Semi Condilor issues were in demand. Ism climbed 3vt to i49v, Uniss advanced 8 to 107, hew Lett Packard Rose 3% to 61 a Texas instruments jumped i i a to 175vi and Motorola advanced 6 to 55w, Gen corp was week s biggest Point Winner rocketing 22tt to 109%. A partnership linked to aug industries and Wagner & Brown has made a tender ofter Tor Akron Ohio tire manufacturer for $100 a share or about 12,2 Bil lion. Upjohn fell k to 130%. The Slock hit a Glock Anble a to Peirni old a morn doom Tshon Tonii air hit in Mif town a Mfd i Lonnor Tel i,,7i� ib779,600 3h 690,200 23ft 469,000 20h458.wo 40tt 430.hm 39 m8.3m 16h 380.200 sit 318.500 36 319,400 200.2b to 143 1b.o. 0.65 63.0 0 2 134.01.4b 13.0 108 stocks hand fld cd flub John tint Eti a a Jura be Vul in 1 8v. Tll.78. 9.0 0.3127 � 4 600 .4 a t 2h 1.3e 2zo111 2 of 1.6 33 m 1.39 �1 in ill 21.0 12 3s i 1 2.72 13.0 2.0 29v t is 1-5� 17.0 39k 1% Obi 49.0 0,5 Tift 1h 09 20.0 nuo pm d my Amtoft Ein Igi to tilt Mooon. Mud two Prat Imka yawl Anita i Tulip no High of 142 on news that a food and drug administration advisory panel recommended that Fra approve up John s anti baldness drug. Since announcement profit takers have sent Slock As Low As l29 a. Reports that a Pri vate pharmaceutical company has received Fra approval to Market a generic form of minoxidil tablets also Hurt up John. Bristol Myers advanced 10m to 110. On news of a plan for a vaccination against aids. American express eased i to 77w. Ii agreed to sell a 13 percent stake in its Shearson Lehman Brothers unit Loja pan s Nippon life insurance co. For j530 million. It was subpoenaed Friday by securities and Exchange commis Sion in connection with a secondary of Fering of shares in its former firemen s Funa subsidiary. Among other Blue chips Avistar Rose 14 to 7w, general motors Rose v4 to 78 4, Minnesota mining & manufacturing climbed 7i to 131% and Dupont added 714101141. Other pharmaceutical issues also resumed their advances. Squibb Rose 7% to 162v, and Merck jumped 10% to i63h, Broad Market indexes set records Standard � poor s 500-Stock Index climbed 8.28 to 298.17 and new York Slock Exchange composite Index jumped 4.06 to a record 169.37. The number of shares changing hands on new York Slock Exchange during week totalled 910,677,110, compared with 852,461,330 a week earlier and with 783,187,600 shares traded during inc same week a year ago. The Dow transportation Index added 2.s4 to 139.90. The Utility Index gained 0.79 to 77,20. Prices Rose in Active trading on american Slock Exchange american Slock Exchange Index climbed 5.37 to a record 337.80. Gainers outpaced losers 422-350 among 929 issues traded. Volume was 74,288,105 shares compared with 78,689,620 previous week and 76,466,660 during same week a year ago. Wickes led inc Macx actives unchanged at 374. Home shopping network followed falling 3h to 20&. Wang laboratories class b was third rising i to 16% Nash a Over counter composite Index jumped 7.67 to 439.64. Kmh.ls1jsm.l h . Suu 22.112u3 lb9 u74.h 64 30-50 my. 24jinl Tom my. 21 of 21.33ibb3�34 10 ii my v.3 9.37 1iknl.39knl. Ii to 12 75 fir u9t incl if k is us Shidi Gutt am snap Fino ghz i i50t1&47 id 76 11.76 174119 0 4b 42 ii 14 u1117cuou ii 1fmma, set 11591243 Arnm so s76 Ping 17 in in 7 tend i31b143j 14ikik Mun in corp ire eur q Opu Bee Mun by Hun i n one of Brasa Ufa tvs t Chou orow Incani Openo ii Una Unm a Sci tiranut in feb i Frfd est full ph44tj exp or exp in fun in Twyl Ullh Colury i1uhl 10 is my mull f034ml nept 4fttpt r us on us 04 conv Gold of Bretl Ancon until ii it 837 41 28 94 n i.13un.l. 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