Healthcare, Biotech, Medical Device Investment Options

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Ditchwitch
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Healthcare, Biotech, Medical Device Investment Options

Post by Ditchwitch »

I would like to invest a bit into healthcare, so am looking for some interesting picks people might have researched already and would suggest. These are some of the ETFs and funds I have researched so far that looked fairly solid in the recent past..

IBB ISHARES NASDAQ BIOTECHNOLOGY
Fidelity® MSCI Health Care ETF FHLC
Vanguard Health Care ETF VHT
Health Care Select Sector SPDR® ETF XLV

Fidelity® Select Medical Equip & Systems FSMEX

Also, looking at individual stocks, ie. pharmaceuticals, diagnostics, medical device, health insurance, systems, software, patient monitoring apps or other suggestions would be great to talk about.
“Anyone who has never made a mistake has never tried anything new.” | ― Albert Einstein
GronkSpike
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Re: Healthcare, Biotech, Medical Device Investment Options

Post by GronkSpike »

Vanguard Health Care ETF (VHT) if you are already with Vanguard - mind as well benefit from no commission

As far as individual stocks, I'm currently looking at Veeva Systems Inc. (VEEV) - great growth potential long-term, but in the short-term still looks a little expensive (depends on your investing timeframe). I did purchase Pfizer (PFE) near the beginning of the year at $31.50, as a play on tax repatriation. It's done pretty well since then (currently at $37.2) and has paid a great divvy. They also have plenty of options (share buybacks/M&A) after they bring that horde of cash back to the US. But please, do your due diligence.
SrGrumpy
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Re: Healthcare, Biotech, Medical Device Investment Options

Post by SrGrumpy »

I did well with T. Rowe Price's health fund PRHSX, kind of a cross between VHT and the more speculative (?) XBI.
NYCwriter
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Re: Healthcare, Biotech, Medical Device Investment Options

Post by NYCwriter »

I've held the Vanguard Health Care mutual fund for a few years. I chose it because at the time the emphasis was not on biotech/pharma and it was well-balanced. Lately, holdings have changed. I recently reduced when the price went up to rebalance into bonds as the bull market has skewed my allocation a bit. It's okay. I'm not sure performance has been better than an etf. If you want a health care fund and have a Vanguard portfolio I think VHT works for less money.

The only reason I had it was because in addition to my core fund I have individual equities that are still heavy on tech, financials, and consumer but without medical/pharma holdings except for JNJ. I expect I'll probably close the fund as I simplify toward retirement.
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Ditchwitch
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Re: Healthcare, Biotech, Medical Device Investment Options

Post by Ditchwitch »

First Trust NYSE Arca Biotechnology FBT and SPDRs XBI Biotech ETFs are 2 other healthcare/biotech ETFs that post nice long term returns better than iShares IBB and the other general healthcare ETFs like VHT, FLHC and XLV but also have higher ERs ~0.5% and obviously will be more volatile with the underlying stocks small and medium size biotech companies besides a few larger ones like CELG, J&J, GILD etc..

Curious whether others have incorporated some of these funds as sector holdings into their "fringe portfolio"... :wink:
“Anyone who has never made a mistake has never tried anything new.” | ― Albert Einstein
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ResearchMed
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Re: Healthcare, Biotech, Medical Device Investment Options

Post by ResearchMed »

Ditchwitch wrote: Thu Dec 28, 2017 9:30 pm First Trust NYSE Arca Biotechnology FBT and SPDRs XBI Biotech ETFs are 2 other healthcare/biotech ETFs that post nice long term returns better than iShares IBB and the other general healthcare ETFs like VHT, FLHC and XLV but also have higher ERs ~0.5% and obviously will be more volatile with the underlying stocks small and medium size biotech companies besides a few larger ones like CELG, J&J, GILD etc..

Curious whether others have incorporated some of these funds as sector holdings into their "fringe portfolio"... :wink:
Fidelity has several "flavors" of healthcare mutual funds. We own relatively small positions in a few specialized funds.

RM
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