Investors

NEW YORK -- Orange County's loss on its investment portfolio is creating a bonanza for those brokerages and investors who snapped up bonds at depressed prices.The Southern California county, which lost about $2.02 billion on its investments in the debt of government-related agencies, is unloading the bonds to avert further losses.Although the county has stressed it won't hold a "fire-sale" of the securities, investors expect it to sell bonds at bargain prices to get them off its books."It's an excellent opportunity, as evidenced by the fact that about $1 billion of [agency bonds]

INVESTORS IN THE American Century Giftrust know about pain and suffering. They agonized in 1996 when the fund returned 5.78 percent while the broader market shot up 20 percent. They grumbled a year later when the Giftrust lost money, and the market rose still higher. They protested the next year when the fund fell more than 13 percent and the market soared. Letters poured into the company, and some were "nasty," recalls Christopher Doyle, a spokesman for American Century Investments, a Kansas City-based mutual fund company.

The Persian Gulf war has ended but the recession has not. Small investors, therefore, still face uncertainty in making short- and long-term investment decisions.The plunge in consumer confidence that followed Iraq's invasion of Kuwait gave rise to widespread hope that the war's successful conclusion would help lift the U.S. out of recession. It would, it was argued, bolster consumer attitudes and, in turn, their spending.But spending hasn't resumed, That is not surprising, given the current strain placed on consumer purchasing power.

Investors plunged back into stock mutual funds after pulling billions of dollars from them in August, and industry experts are hopeful the money will keep flowing this year.Executives at mutual fund companies are optimistic over what they have seen in 1999."The fund flows have been phenomenal," said Raymond A. "Chip" Mason, chairman and chief executive at Baltimore-based Legg Mason Inc., a diversified money management firm. "It has been wonderful."Assets in Legg Mason's 18 mutual funds have shot up to $15.4 billion under management as of Jan. 11, a 64 percent increase from a year earlier.

Is this the bottom of the market? Is it time to step in and buy stocks? No one knows, so commentators cheerfully fill the void with guesses of their own. But good investors don't look for yes/no replies to futile questions. Instead, you need a strategy for investing in uncertain times. "Uncertain" describes investing at any time, but you notice it more when stocks have dropped. So, here goes. It's a fact, not a guess, that business growth is slowing down. Most economists expect either a "soft landing" (where growth continues but at a moderate pace)

IT WASN'T long ago that investors turned their backs on Japan.Who could blame them? The world's second-largest economy was mired in recession, its banking system foundered with billions in bad loans, and the Japanese government seemed apathetic to taking steps to pull the country from its morass.Many of the problems still exist, but investors, who have held fast to mutual funds that invest in the country, are suddenly finding themselves far richer.The reason? Japan as an investment has suddenly gotten hot. Funds that invest in Japan are up 104.72 percent as of Nov. 26, according to Lipper Inc., a New York-based firm that tracks the performance of mutual funds.

The Sun Trust Bank Building, a 25-story office tower in downtown Baltimore, has sold for $62.75 million, signaling continued strength in the city's commercial real estate market, CB Richard Ellis Group said yesterday. The sale of 120 E. Baltimore St. to a Massachusetts-based investor brings the combined value of office properties sold downtown to more than $300 million this year, far surpassing the $185 million worth of office properties sold downtown all of last year, said Bo Cashman, a senior vice president in CBRE's Investment Properties Capital Markets Group.

The owner of the San Diego Sockers announced yesterday that he had been unable to find investors to buy his majority interest in the seven-time MSL champions, and that he will close the team's offices June 30 if new investors are not found.Ron Fowler's decision comes 11 days after the Sockers won their fourth straight title. He offered to stay on as a minority owner.If no one in San Diego buys Fowler's majority interest in the team, the Sockers either will be moved to another city or fold.

Wall Street handed investors an early Valentine's Day gift yesterday as the Dow Jones industrial average broke through its 365-day high of 3,953.88 and closed up 15.14 points at 3,954.21. At this level, the Dow stands only 24 points below its all-time high. Investors will now focus on the January retail sales figures, due to be released today.HEARTWARMERS: "Last week's breakout in the Dow Jones utility index above its August peak is a good sign that the November trough was a significant low. The Dow utility index is often a market indicator."

Two groups have confirmed that they have talked with Laurel/Pimlico operator Joe De Francis about becoming investors to help him buy out minority partners Tom and Bob Manfuso.One is a group of local horsemen headed by Arnold Heft, part owner of USAir Arena in Landover. The other is led by Arnold Stansley, owner of Toledo (Ohio) Raceway."We are interested and we have been in touch with Joe," said Heft, who owns a large stable of thoroughbreds. "Other than that, I have no comment."Stansley said yesterday that De Francis told him two groups are seriously vying with Stansley to purchase the Manfusos' shares in the tracks.