Investing in the biotech industry can be a long road to gains given the sector’s volatility.
Even with a good understanding of the system, no one can predict which treatment, device or therapy will give the biggest return, making biotech exchange-traded funds (ETFs) a more secure option than individual biotech stocks.
Total AUM: US$7.82 billion
Total AUM: US$7.33 billion
Total AUM: US$1.31 billion
The ARK Genomic Revolution Multi-Sector ETF came into existence on October 31, 2014, and tracks 38 holdings. This ETF follows companies that develop products such as CRISPR technology, bioinformatics, molecular diagnostics and stem cells.
Total AUM: US$1.21 billion
Total AUM: US$956.65 billion
Founded on May 28, 2015, the Direxion Daily S&P Biotech Bull 3x Shares ETF does not mirror an index. Instead, its goal is to obtain daily investment results of at least 300 percent of the S&P Biotechnology Select Industry Index.
The Direxion Daily S&P Biotech Bull 3x Shares ETF has 142 holdings. The top stocks in this ETF by weight are Incyte with a 2.96 percent weight, United Therapeutics with a weight of 2.71 percent and Gilead Sciences at a weight of 2.7 percent.
This is an updated version of an article first published by the Investing News Network in 2016.
Securities Disclosure: I, Lauren Kelly, hold no direct investment interest in any company mentioned in this article.
Leave a Reply