Such trees-grow-to-the-sky-and-beyond thinking seemed to dominate Wall Street during much of 1998 and 1999. But now, says Ballen, ''The bubble has burst. Stocks that sold for $200 are selling at $20, while stocks that sold at $20 now trade at $2. It's unlikely we'll see those ridiculous valuations again any time soon.''
Consequently, Ballen continues to see reasonably priced growth stocks for his Emerging Growth Fund while exerting his influence throughout MFS. As Shames tells it, Ballen constantly generates creative ideas, many of which have led to new MFS products, including the Strategic Growth, Equity Income and Research International funds. ''Most recently,'' Shames says, ''John came up with the idea of a long-short hedge fund, using our research capabilities. We're offering this fund to foreign and institutional investors and it may become a domestic offering in the future.''