Betting on Biotech
Active investors can navigate the boom or bust biotech sector with the help of strategies like C-suite buying, cash to value and cash flow
Sick people need medicine no matter how the economy is faring, which keeps pharmaceutical stocks defensive and makes them likely to outperform in this year’s shaky financial scene.
Besides, the sector is loaded with large-cap stocks capable of paying big dividends and passing inflationary price increases through to consumers via insurance companies.
Passive investors seeking a defensive position might just purchase the VanEck Pharmaceutical ETF (PPH) and call it a year.
But trading will be more complex for active investors looking to beat the market by a wide margin while adjusting to...