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May 31, 1999

Language lesson: valuation

How professional investors use valuation tools

Investment advice has never been a scarce commodity, although sifting through the advice is not easy. Occasionally, one may stumble across a theory or a process that seems to make sense. Perhaps one of these ideas even works, or at least works in more cases than not. Maybe people begin to accept this premise as more than fool's gold. Portfolio managers and analysts are constantly hunting for just such a tool, an accurate method for evaluating investments. At the same time, the concept that

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