For now, at least, ace fund manager Ken Heebner has turned bullish on financial stocks. At the same time, Heebner, who has been running mutual funds for more than 30 years and is known for his uncanny ability to measure the pulse of the market, has dramatically pared back his funds' commitment to commodity-related stocks.
Heebner, who trades feverishly, says he now has more than 30% of the assets of his flagship CGM Focus fund in financials and only about 10% in commodity stocks. As of June 30, according to Morningstar, Focus (symbol CGMFX) had 86% of its assets in energy and industrial-materials stocks and nothing in financials.
Heebner revealed his moves on September 19, as stocks rallied furiously in response to an array of government actions designed to end a crisis in global financial markets.
~ Kiplinger.com, "Ken Heebner Is Bullish on Bank Stocks," October 3, 2008, by Manuel Shiffres