Liontrust's Fosh: Investors too focused on '0-60 stocks'

The death of blockbuster pharmaceutical companies has been greatly exaggerated by a market that is too focused on '0-60' stocks, according to Liontrust's Julian Fosh.

Fosh (pictured) and Anthony Cross, co-managers of the £1bn Liontrust Special Situations fund, hold both GlaxoSmithKline and AstraZeneca in their portfolio and are sceptical of the market consensus on the stocks. Pharmaceuticals have performed well in a rising market so far in 2013, but ongoing concerns over patent cliffs and drug pipelines have dampened investor enthusiasm in recent years. But Fosh said investors are overlooking the residual strengths of major pharmaceutical companies, and pointed in particular to the resilience of cashflows. "The market is always more impressed wi...