From a genetic standpoint, plant endophytic fungi are able to synthesize bioactive compounds that are equal or similar to those synthesized by their hosts, possibly as a result of horizontal gene transfer between endophytic fungi and their corresponding hosts. Furthermore, C. globosum is able to degrade lignin,which is beneficial to horizontal gene transfer. Other work has shown that a recombinant plasmid containing the TUB2-resistance gene conferred 300 times higher resistance to carbendazim when transformed into a Chaetomium sp. protoplast using the PEG method.However, H. cordata shows potent antifungal activities as a TCM over a long period. Therefore, strain 28 might display effective antifungal properties as a result of horizontal gene transfer with its host.