As President Bush laid out a tough new stance last week on the increasing number of accounting scandals that plague Wall Street, fund executives turned their attention to accounting practices. Many executives said that portfolio managers have been too lazy about assessing the risk involved with the stocks they choose.

In fact, if portfolio managers spent as much time analyzing risk as they do performance, they might have avoided the stocks of such firms as Enron, Worldcom and Merck, executives said.

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