Q: The Israeli drug company. A: Yes. Teva sells more pills than anybody; they just happen to be lower-priced pills. They passed Pfizer [PFE] several years ago in the U.S. market for the number of prescriptions sold. On next year's earnings, the stock sells at maybe an 11.5 multiple, several points cheaper than the market. As I try to figure out who is going to win in health care, the large generic-drug companies like Teva seem capable of doing the big distribution job that will be needed. They are hard-wired with the retailers and with the prescription-by-mail guys and with everybody else. It's a scale business, and they've got the scale.

Q: You've said you sometimes look at stocks without big dividends. How about tech? A: You don't get a lot of dividends there, even though there is lots of cash in the group. But Intel [INTC] has kind of an interesting yield. We also like Dell [DELL] and Microsoft [MSFT]. People have put off upgrading their computers' operating systems, in many cases because they have been waiting for Windows 7. While I haven't used it yet, I was at Dell a couple of months ago, and they have been using it all year throughout the company and they were very, very high on it.

Q: You've said you sometimes look at stocks without big dividends. How about tech? A: You don't get a lot of dividends there, even though there is lots of cash in the group. But Intel [INTC] has kind of an interesting yield. We also like Dell [DELL] and Microsoft [MSFT]. People have put off upgrading their computers' operating systems, in many cases because they have been waiting for Windows 7. While I haven't used it yet, I was at Dell a couple of months ago, and they have been using it all year throughout the company and they were very, very high on it.

Q: And Dell itself? A: The estimate next year is about $1.04, which puts it at 15 times earnings.

Q: Let's move on to dividend stocks. A: I like some big oil companies. Italy's ENI [E] and France's Total [TOT] both have dividend yields between 5% and 7%. Our biggest sector weighting by far is telecom. We like Australia's Telstra [TLS] and Madrid-based Telefónica [TEF].

Q: Let's move on to dividend stocks. A: I like some big oil companies. Italy's ENI [E] and France's Total [TOT] both have dividend yields between 5% and 7%. Our biggest sector weighting by far is telecom. We like Australia's Telstra [TLS] and Madrid-based Telefónica [TEF].

Q: Let's move on to dividend stocks. A: I like some big oil companies. Italy's ENI [E] and France's Total [TOT] both have dividend yields between 5% and 7%. Our biggest sector weighting by far is telecom. We like Australia's Telstra [TLS] and Madrid-based Telefónica [TEF].

Q: Let's move on to dividend stocks. A: I like some big oil companies. Italy's ENI [E] and France's Total [TOT] both have dividend yields between 5% and 7%. Our biggest sector weighting by far is telecom. We like Australia's Telstra [TLS] and Madrid-based Telefónica [TEF].