JANUARY 6, 2005
S&P GLOBAL PICKS PORTFOLIO

A Wide World of Stock Picks
S&P analysts scour the globe to offer these 30 favorites. Among them: France's Danone and Hong Kong's Cathay Pacific Airways

We at Standard & Poor's Equity Research have enjoyed some success with our PowerPicks portfolio (see BW Online, 12/31/04, S&P's New Picks of the Crop) -- our collection of "single best ideas" from our U.S. equity analysts. And with our expanding worldwide reach -- we now have equity-research groups in London, Stockholm, and Singapore -- we thought it only logical to apply that idea on a global scale.


So we're pleased to bring you the inaugural edition of the S&P Global Picks Portfolio for 2005. It represents the collective best ideas of Standard & Poor's equity-research analysts globally. Each of the contributing S&P equity-research industry analysts considers the stocks highlighted within this report, which are from each of their coverage universe, to be those best positioned for superior appreciation during 2005. The selections are also closely scrutinized by the Regional Equity Research Director in each respective part of the world, as well as by the S&P Global Equity Research Director.

The portfolio is to be frozen, meaning it's expected to undergo no changes during 2005. The objective of the S&P Global Picks 2005 Portfolio is to exceed the total return (capital appreciation plus dividends paid) generated by the S&P Global 1200 index during 2005.

SECTOR STARS.  The median capitalization of the S&P Global Picks 2005 portfolio is approximately $12.8 billion, ranging from a high of $232 billion for Citigroup to a low of $717 million for Chattem. For more info on the companies in the S&P Global Picks 2005 portfolio, see "Who's Who in 'Global Picks 2005.'"

The sector representations within S&P Global Picks 2005 are broadly representative of those within the S&P Global 1200 Index. On an equally weighted basis, the most significant weightings in the portfolio are in the financials, consumer discretionary, health care, and industrials sectors, which collectively account for approximately 57% of S&P Global Picks.

Here's the current edition of the portfolio. Local-exchange ticker symbols are given for those non-U.S. members without NYSE-listed American depositary receipts or American depositary shares.

  S&P GLOBAL PICKS 2005
Company Ticker HQ Country Primary Listing Country Mkt. Cap ($ Mln) STARS Subindustry
Consumer Discretionary            
Burberry BRBY.L United Kingdom United Kingdom 4,000 5 Apparel Accessories & Luxury Goods
Esprit Holdings 330.hk Hong Kong Hong Kong 6,754 4 Apparel Retail
Harrah's Entertainment HET United States United States 6,881 5 Casinos & Gaming
Mediaset MS.MI Italy Italy 14,000 4 Broadcasting & Cable TV
Consumer Staples            
Chattem CHTT United States United States 717 5 Personal Products
Danone DANO.PA France France 24,000 4 Packaged Foods & Meats
Energy            
China Oilfield Services 2883.hk China Hong Kong 1,169 5 Oil & Gas Drilling
Devon Energy DVN United States United States 20,131 5 Oil & Gas Exploration & Production
Total TOT France France 135,000 5 Integrated Oil & Gas
Financials            
CapitaMall Trust cmlt.si Singapore Singapore 1,214 4 Real Estate Investment Trusts
Citigroup C United States United States 232,241 5 Other Diversified Financial Services
Goldman Sachs Group GS United States United States 50,723 5 Investment Banking & Brokerage
Keppel Land Klan.si Singapore Singapore 834 4 Real Estate Management & Development
Royal Bank of Scotland RBS.LN United Kingdom United Kingdom 102,000 4 Diversified Banks
Health Care            
Novozymes NZYMB.DC Denmark Denmark 3,000 4 Specialty Chemicals
Roche ROG.VX Switzerland Switzerland 95,000 4 Pharmaceuticals
Sanofi Aventis SNY France France 105,000 4 Pharmaceuticals
WellPoint WLP United States United States 14,063 5 Managed Health Care
Industrials            
Cathay Pacific Airways 0293.hk Hong Kong Hong Kong 6,175 4 Airlines
Cosco Pacific 1199.hk Hong Kong Hong Kong 4,005 4 Marine Ports & Services
Ingersoll-Rand IR Bermuda United States 12,816 5 Industrial Machinery
Securitas SECUB.SS Sweden Sweden 5,000 4 Diversified Commercial Services
Information Technology            
Canon Inc. CAJ Japan Japan 44,091 5 Office Electronics
Dell DELL United States United States 101,163 5 Computer Hardware
ValueClick VCLK United States United States 1,046 5 Internet Software & Services
Materials            
Yanzhou Coal YZC China Hong Kong 4,743 5 Diversified Metals & Mining
Telecommunication Services            
CenturyTel CTL United States United States 4,430 5 Integrated Telecommunication Services
China Mobile CHL China Hong Kong 64,768 5 Wireless Telecommunication Services
DiGi.Com dsom.kl Malaysia Malaysia 1,076 5 Wireless Telecommunication Services
Utilities            
Endesa ELE Spain Spain 23,000 5 Electric Utilities




From Standard & Poor's Equity Research Group

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