UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549

SCHEDULE 13G

Under the Securities Exchange Act of 1934

(Amendment No. 2)

FIRST ISRAEL FUND INC.
(Name of Issuer)
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Common Stock
(Title of Class of Securities)
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32063L100
(CUSIP Number)
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December 31, 1999
(Date of Event Which Requires Filing of this Statement)
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Check the appropriate box to designate the rule pursuant to
which this Schedule is filed:

/x/ Rule 13d-1(b)
/ / Rule 13d-1(c)
/ / Rule 13d-1(d)

* The remainder of this cover page shall be filled out for a
reporting person's initial filing on this form with respect
to the subject class of securities, and for any subsequent
amendment containing information which would alter the
disclosures provided in a prior cover page.

The information required in the remainder of this cover page
shall not be deemed to be "filed" for the purpose of Section
18 of the Securities Exchange Act of 1934 ("Act") or
otherwise subject to the liabilities of that section of the
Act but shall be subject to all other provisions of the Act
(however, see the Notes).

Potential persons who are to respond to the collection of
information contained in this form are not required to
respond unless the form displays a currently valid OMB
control number.

Page 1 of 5 pages



Cusip 32063L100
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1
Names of Reporting Persons
I.R.S. Identification Nos. of above persons (entities only).

UBS AG
98-0186363
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2
Check the Appropriate Box if a Member of a Group (See
Instructions)
a   / /
b   /x/ See Item 8 of attached schedule.
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3
SEC USE ONLY
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4
Citizenship or Place of Organization - Switzerland
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Number of       5.  Sole Voting Power           _______
Shares Bene-    6.  Shared Voting Power               0
ficially        7.  Sole Dispositive Power      __________
Owned by Each   8.  Shared Dispositive Power          0
Reporting
Person With:
- -----------------------------------------------------------
9
Aggregate Amount Beneficially Owned by Each Reporting Person
0 Shares
- -----------------------------------------------------------
10
Check if the Aggregate Amount in Row (9) Excludes Certain
Shares (See Instructions)
- -----------------------------------------------------------
11
Percent of Class Represented by Amount in Row (9)
0%
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12
Type of Reporting Person (See Instructions)
BK See Item 3 of attached schedule.
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Page 2 of 5 pages



Cusip 32063L100
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Item 1(a).  Name of Issuer:
FIRST ISRAEL FUND INC.

Item 1(b).  Address of Issuer's Principal Executive Offices:
Bear Stearns
245 Park Avenue
New York, NY  10167
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Item 2(a) Name of Persons Filing:
UBS AG ("UBSAG").
Item 2(b) Address of Principal Business Office or, if none,
Residence:
UBSAG's principal business office is located at:
Bahnhofstrasse 45
8021, Zurich, Switzerland

Item 2(c) Citizenship:
Switzerland

Item 2(d) Title of Class of Securities:
Common Stock (the "Common Stock")

Item 2(e) CUSIP Number:
32063L100
- -----------------------------------------------------------

Item 3.  Type of Person Filing:
UBS AG is classified as a Bank as defined in Section 3(a)(6)
of the Act pursuant to no action relief granted by the staff
of the Securities and Exchange Commission.
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Item 4 (a)-(c)(iv).  Ownership:
Incorporated by reference to Items 5-11 of the cover pages.
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Item 5.  Ownership of Five Percent or Less of a Class:
If this statement is being filed to report the fact that as
of the date hereof the reporting person has ceased to be the
beneficial owner of more than five percent of the class of
securities, check the following /x/.
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Page 3 of 5 pages



Cusip 32063L100
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Item 6.  Ownership of More than Five Percent on Behalf of
Another Person:
Not Applicable
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Item 7.  Identification and Classification of the Subsidiary
Which Acquired the Security Being Reported on By the Parent
Holding Company:
Not Applicable
- -----------------------------------------------------------

Item 8 Identification and Classification of Members of the
Group:
Not Applicable
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Item 9 Notice of Dissolution of Group:
Not Applicable
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Item 10 Certification:
By signing below I certify that, to the best of my knowledge
and belief, the securities referred to above were acquired
and are held in the ordinary course of business and were not
acquired and are not held for the purpose of or with the
effect of changing or influencing the control of the issuer
of the securities and were not acquired and are not held in
connection with or as a participant in any transaction having
that purpose or effect.
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SIGNATURE
After reasonable inquiry and to the best of my knowledge and
belief, I certify that the information set forth in this
statement is true, complete and correct.

Date:  February 14, 2000

UBS AG

By:  /s/ Robert C. Dinerstein      By:/s/Robert B. Mills
         Robert C. Dinerstein            Robert B. Mills
         Managing Director               Managing Director

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Page 4 of 4 pages