why the exodus, page-4

I don't get the impression WAM bailed out completely. It was their major investment in value and they have taken some profit out . When you drop below 5% you have to announce. Hard to work out from the announcement but it looks like a drop from 6.5% to roughly 4%. Fisher Funds increased late may from 5.3% to 6.4%.
P.E. of 27 is high but so is growth. Wam seems to think the resources are good value at the moment and industrials getting expensive.
Short excerpt from Wam Website

MARKET OUTLOOK
The Australian sharemarket denied all the sceptics and bears to post a stunning 30.3% gain on
the Accumulation index for the year to 30 June, 2007. This took the gain on the All Ordinaries
Accumulation index since the current bull market started in March 2003 to 171.5%.
Interestingly, the increase in share prices has accelerated during the past 12 months. For the
first time, however, much of the increase in the last year has been because investors are
paying more for earnings. This is especially so among industrial stocks. In other words
investors are prepared to pay more and take on more risk. As a result we have become
increasingly cautious.
In WAM Capital Ltd we have deliberately raised our cash position to around 25% and moved
our trading positions into larger and more liquid stocks.

The last five lines might also help explain profit taking in CCP.
RAB