schappe

Mr. Schappe argues that it now makes sense to take a more defensive stance.

Where the method used in achieving this operation is through fermentation, the product is called schappe.

"Anything less-the schappe clings and the silk is ruined.

"The economics and valuations for the sector are pretty compelling," Mr. Schappe said.

Mr. Schappe, though, argues that this is "not a time to simply batten down all the hatches."

If the second quarter proved anything, Mr. Schappe said, it was that "risk is being put back" into the risk-return relationship.

THE theme of a slowing economy is also likely to drive interest away from small-cap stocks and toward the blue chips, Mr. Schappe said.

A new product was added to the Amann range in 1919 with the manufacture of schappe silk (silk waste) and in 1921 an extension was built to house the colour dyeing plant.

REGARDLESS of the economic outlook, Mr. Schappe of BB&T Asset Management said investors should consider focusing more on higher-quality stocks.

"A lot of times," Mr. Schappe said, "what causes a group of stocks to outperform isn't that people are passionate about them - it's simply a case of investors being forced out of another group of stocks."

Stephen P. Schappe, a professor at the Pennsylvania State University School of Business Administration in Harrisburg, said Mr. Lenny was trying to do what he was brought in to do: increase profits and profit margins.

"The reason that stocks corrected last spring was because inflationary pressures were accelerating," said Jeffrey J. Schappe, chief investment officer at BB&T Asset Management in Raleigh, N.C. "Now, those pressures are decelerating.

Nevertheless, the recent rockiness in emerging markets is part of a larger theme, said Jeffrey J. Schappe, chief investment officer at BB&T Asset Management in Raleigh, N.C. "We're seeing a very significant correction," he said, "in the riskiest asset classes."