BB&T Asset Management Sees Opportunity In Stock Market, Calls for Increase in Equity Exposure

Apr 03, 2001, 01:00 ET from BB&T Corporation

    RALEIGH, N.C., April 3 /PRNewswire/ -- Despite the stock market's sharp
 decline, BB&T Asset Management, LLC, today said it is advising its clients to
 increase the equity allocation in their capital appreciation portfolios.
     "We firmly believe that the current market environment, far from posing
 daunting risks, is becoming increasingly constructive for investing in
 equities," said David McMahon, BB&T Asset Management chief investment officer.
     "Considering the current economic uncertainty, the expectation that
 earnings reports may continue to be lackluster, and the ongoing volatility of
 the stock market, many investors may feel that they should continue to reduce
 their equity exposure.  However, we believe that it is not too early to
 increase equity allocations.
     "The last 12 months have been a good reminder of the importance of
 portfolio diversification.  "We expect investors who focus on securities with
 good earnings potential and reasonable valuation characteristics will earn
 attractive returns on their diversified portfolios in the year ahead."
     McMahon cited three reasons for his recommendation: investors have
 overreacted to falling prices; volatility creates opportunity; and the time is
 right for rebalancing investment portfolios.
     Raleigh-based BB&T Asset Management, a registered investment adviser,
 manages customized investment portfolios for affluent individuals, businesses
 and institutional investors.
     Early in 2000, BB&T Asset Management trimmed its exposure to equities
 prior to the market's most significant decline, believing that too many
 technology and other white-hot stocks could not sustain their prices.  A year
 later, despite widespread pessimism, the investment management firm finds many
 stocks appealing.
     "We are not market timers," said McMahon, "but there are times when
 discreet revisions in an asset allocation are prudent in order to manage risk
 or take advantage of future opportunities."
     BB&T Asset Management's broad range of diversified investment strategies
 includes: value, growth and international equity; taxable and tax-exempt fixed
 income; and balanced portfolios.  BB&T Asset Management also offers asset
 allocation analysis, investment monitoring and performance reporting.
     BB&T Asset Management operates regional offices in Charlotte, N.C.,
 Columbia, S.C., Richmond, Va., Westminster, Md., Wilmington, N.C., Winston-
 Salem, N.C., Charleston, W.Va., and Washington, D.C. It will soon open an
 office in Atlanta.
     BB&T Asset Management is a subsidiary of Branch Banking and Trust Company,
 the principal subsidiary of Winston-Salem, N.C.-based BB&T Corporation
 (NYSE:   BBT). With $61.7 billion in assets, BB&T Corp. is the nation's 17th
 largest financial holding company.
     BB&T operates 892 banking offices in the Carolinas, Virginia, Maryland,
 Georgia, West Virginia, Tennessee, Kentucky and Washington, D.C.
     BB&T and its subsidiaries offer full-service commercial and retail
 banking, trust and additional financial services such as insurance,
 investments, retail brokerage, corporate finance, international banking and
 leasing.  More information is available at www.BBandT.com.
 
     A digital photograph of David McMahon is available through BB&T Public
 Relations, (336) 733-1006.
 
     Securities and other investments held in investment management or
 investment advisory accounts at BB&T Asset Management, LLC, are not deposits
 or other obligations of Branch Banking and Trust Company or any other bank or
 savings institution, are not guaranteed by Branch Banking and Trust Company or
 any other bank, are not insured by the FDIC or any other government agency,
 and are subject to investment risk, including possible loss of principal.
 
 

SOURCE BB&T Corporation
    RALEIGH, N.C., April 3 /PRNewswire/ -- Despite the stock market's sharp
 decline, BB&T Asset Management, LLC, today said it is advising its clients to
 increase the equity allocation in their capital appreciation portfolios.
     "We firmly believe that the current market environment, far from posing
 daunting risks, is becoming increasingly constructive for investing in
 equities," said David McMahon, BB&T Asset Management chief investment officer.
     "Considering the current economic uncertainty, the expectation that
 earnings reports may continue to be lackluster, and the ongoing volatility of
 the stock market, many investors may feel that they should continue to reduce
 their equity exposure.  However, we believe that it is not too early to
 increase equity allocations.
     "The last 12 months have been a good reminder of the importance of
 portfolio diversification.  "We expect investors who focus on securities with
 good earnings potential and reasonable valuation characteristics will earn
 attractive returns on their diversified portfolios in the year ahead."
     McMahon cited three reasons for his recommendation: investors have
 overreacted to falling prices; volatility creates opportunity; and the time is
 right for rebalancing investment portfolios.
     Raleigh-based BB&T Asset Management, a registered investment adviser,
 manages customized investment portfolios for affluent individuals, businesses
 and institutional investors.
     Early in 2000, BB&T Asset Management trimmed its exposure to equities
 prior to the market's most significant decline, believing that too many
 technology and other white-hot stocks could not sustain their prices.  A year
 later, despite widespread pessimism, the investment management firm finds many
 stocks appealing.
     "We are not market timers," said McMahon, "but there are times when
 discreet revisions in an asset allocation are prudent in order to manage risk
 or take advantage of future opportunities."
     BB&T Asset Management's broad range of diversified investment strategies
 includes: value, growth and international equity; taxable and tax-exempt fixed
 income; and balanced portfolios.  BB&T Asset Management also offers asset
 allocation analysis, investment monitoring and performance reporting.
     BB&T Asset Management operates regional offices in Charlotte, N.C.,
 Columbia, S.C., Richmond, Va., Westminster, Md., Wilmington, N.C., Winston-
 Salem, N.C., Charleston, W.Va., and Washington, D.C. It will soon open an
 office in Atlanta.
     BB&T Asset Management is a subsidiary of Branch Banking and Trust Company,
 the principal subsidiary of Winston-Salem, N.C.-based BB&T Corporation
 (NYSE:   BBT). With $61.7 billion in assets, BB&T Corp. is the nation's 17th
 largest financial holding company.
     BB&T operates 892 banking offices in the Carolinas, Virginia, Maryland,
 Georgia, West Virginia, Tennessee, Kentucky and Washington, D.C.
     BB&T and its subsidiaries offer full-service commercial and retail
 banking, trust and additional financial services such as insurance,
 investments, retail brokerage, corporate finance, international banking and
 leasing.  More information is available at www.BBandT.com.
 
     A digital photograph of David McMahon is available through BB&T Public
 Relations, (336) 733-1006.
 
     Securities and other investments held in investment management or
 investment advisory accounts at BB&T Asset Management, LLC, are not deposits
 or other obligations of Branch Banking and Trust Company or any other bank or
 savings institution, are not guaranteed by Branch Banking and Trust Company or
 any other bank, are not insured by the FDIC or any other government agency,
 and are subject to investment risk, including possible loss of principal.
 
 SOURCE  BB&T Corporation