Credit Suisse First Boston Disruptive Technology Portfolio
An index of companies shaking up traditional business models.
The Disruptive Technology Portfolio slightly underperformed the broader market this week, posting a decline of half a percent, versus a .8% uptick for the S&P 500. Overall, declines outpaced advances by nearly 2-1. During the week, there were three stocks with stock price appreciation greater than 5%, and also four stocks that declined greater than 5%. The biggest gainer for the week was Indian outsourcing firm Wipro, which gained nearly 9% on slightly higher volume. On Demand HR software provider Ultimate Software was up 8% for the week, while Novell gained over 5% for the week, indicating investor interest in both the on demand model, and open source technology. Right Now Technologies took a breather this week, dropping 10%, and giving back its recent gains. China Internet Company Baidu dropped 7% for the week following Google's announcement that they would not be increasing its investment in the firm. And semi-conductor company Marvell dropped 7% for the week, most (6%) on Wednesday following Seagate's acquisition of Maxtor. Clearly, investors were concerned that this could negatively impact Marvell's newly ramping business with Maxtor.
The Business of Going DigitalDigital business isn't about changing code; it's about changing what legacy sales, distribution, customer service, and product groups do in the new digital age. It's about bringing big data analytics, mobile, social, marketing automation, cloud computing, and the app economy together to launch new products and services. We're seeing new titles in this digital revolution, new responsibilities, new business models, and major shifts in technology spending.