Alberto Vilar, who heads Amerindo Investment Advisors, which manages some $7.5 billion, is convinced "religion will come back to investors" in the second half, as the market snaps smartly back on its way to much higher ground. Techs and biotechs will lead the next parade, says Vilar, whose flagship fund, Amerindo Technology Fund, has racked up 71% a year since its inception in 1996. Companies that enable enterprises to position themselves in the B2B market will be winners, says Vilar. He has launched two new funds, Amerindo Internet B2B Fund (up 68% since May 30), and Amerindo Health & Biotechnology Fund (up 39%), to bag such potential winners.
One is Vignette (VIGN), a provider of software that helps companies serve customers and suppliers on the Internet. "It is a leader in the exploding Internet relationship management market," says Vilar. In biotech, Vilar is high on Alkermes (ALKS), a leader in developing alternate formulations of drugs. The company has signed agreements on products in its pipeline with Eli Lilly, Glaxo, Genentech, Johnson & Johnson, Alza, and MedImmune. With Lilly, Alkermes is developing an inhaled formulation, based on Alkermes' pulmonary drug-delivery system, of human growth hormone. Clinical trials will begin in 2001.
With their products' hot prospects, Vilar figures that Vignette, now at 46 1/8, and Alkermes, at 47 1/2, could double in two years.