The Laudus Rosenberg U.S. Discovery Fund, which focuses on small- and mid-cap companies, has delivered a 15.4% annualized gain since its launch in October 2001, helped by the overall performance of smaller stocks.

FORBES: 2004 Mutual Fund Survey

Gudefin's hedge fund background helps explain two of her other specialties at Discovery: merger arbitrage and distressed-debt investing.

FORBES: Money & Investing

Thanks to the discovery stay, it is easy for PSLRA attorneys to act like hedge-fund managers or like card-counters in blackjack.

FORBES: A Brief Explanation Of The Economics Of Securities Lawsuits