Wednesday, July 9, 2008

AIG Infrastructure and Economic Fund

I happened to go through the AIG Factsheet of June 2008. When I saw the portfolio of AIG Infrastructure and Economic Reform Fund, I was shocked to say the least.
According to the Factsheet, the single largest holding of the AIG Infrastructure and Economic Reform Fund was neither a Infrastructure Stock nor a Economic Reform associated Stock, but GLAXO PHARMA!!!!
I fail to understand the logic of the Fund Manager in buying this stock Under this fund. If the Fund Manager is so bullish on the stock, let him buy the said stock, but not as to make this Stock the Largest Holding in the Fund!
How will the Glaxo Pharma benefit from Infrastructure or any Economic Reform?.
I think the Investors in the Fund deserve an explanation by the Fund Manager immediately.

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