BUSINESSWEEK ONLINE : SEPTEMBER 6, 1999 ISSUE
BUSINESSWEEK INVESTOR

What to Look for in a Tech Fund


RISK
Tech funds come in many risk levels. Make sure you choose a fund that suits your tolerance for volatility--and losses.

TAXES
Capital-gains distributions can be high, sharply reducing pretax returns. Consider tech funds for tax-deferred retirement accounts.

RESULTS
Be wary of high short-term returns. Some funds have untested managers, so look for funds with long track records.



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RELATED ITEMS
High Tech: Don't Let the Swoon Scare You Off

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``It's Always a Good Time to Invest in Technology''



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