Index Provider: ROBO Global
Launch Date: June 25, 2019
Total AUM: $8,882,374 as of Jan. 15, 2020
What makes your ETF different?
HTEC provides exposure to the fastest-growing industries within the healthcare sector. The key difference between traditional healthcare exposure and our ETF is the inclusion and focus on diversified, cutting-edge technology companies that are disrupting traditional business models.
ROBO Global performs fundamental and industry research to establish a classification of disruptive healthcare technologies including medical instruments, diagnostics, robotics, genomics, precision medicine, lab automation, data analytics, regenerative medicine, and telehealth. Companies involved in the various sectors of the classification are then evaluated for technology and market leadership, as well as revenue and investment exposure
HTEC is diversified across multiple healthcare subsectors as well as small, mid and large-cap companies. The diversification is a key differentiator as it relates to other healthcare products. For example, most healthcare indices have a ~45% exposure to pharma whereas the HTEC’s exposure is less than 4%.
Why should investors consider using your ETF?
Healthcare is undergoing a dramatic, technology-driven revolution. The convergence of robotics, machine intelligence, and life sciences has enabled breakthrough advances from AI-powered diagnostic to minimally invasive robotic surgery, from molecular analysis to DNA sequencing and genetic cancer therapies, from 3D, printed implants to virtual care visits.
Most importantly for investors and society, it’s early days for these advancements, and the greatest gains from healthcare technology and innovation lie ahead. We anticipate a long runway for global adoption and penetration. This technology revolution should profoundly transform the healthcare industry, offering a potential opportunity to investors over the next decade. It is about shifting the model from caring for the sick to one of prediction, prevention, and eradication of diseases. It is about enhancing physicians’ accuracy and therapies’ efficacy. Finally, it is about lowering costs. The expected result: longer, healthier lifespans.
Where in an investor’s portfolio does your ETF fit?
Depending on how a particular investor allocates assets, we see two obvious fits for HTEC in a portfolio. Firstly, HTEC would make a great addition or replacement to investors' existing healthcare exposure.