Obama Answers Questions About Finances

From the NTY

Less than two months after ascending to the United States Senate, Barack Obama bought more than $50,000 worth of stock in two speculative companies whose major investors included some of his biggest political donors.

One of the companies was a biotech concern that was starting to develop a drug to treat avian flu. In March 2005, two weeks after buying about $5,000 of its shares, Mr. Obama took the lead in a legislative push for more federal spending to battle the disease.

The Senator responded that:
"...he retained a broker upon the recommendation of a wealthy friend and top contributor, George W. Haywood. The senator said he did not specifically instruct the broker to follow the investment patterns of Mr. Haywood, who along with his wife, Cheryl, has contributed nearly $50,000 to his campaigns and political action committee.

“What I wanted to make sure was that I didn’t want to invest in companies that would potentially bring conflicts with my work here or not abide by some public statements I’ve said in terms of how things work,” Mr. Obama said. “Obviously, the thing didn’t work the way that I wanted it to, which is why we ended up discontinuing it.”

But, he added: “It wouldn’t be surprising to me that he was recommending stocks similar to me that he would be recommending to others.”