Global Life Sciences: long-term tailwinds in focus

05/06/2018

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In this video update, scrutiny over drug costs has led to recent volatility in healthcare stocks, says Ethan Lovell, Co-Portfolio Manager for the Janus Henderson Global Life Sciences Strategy. The longer-term picture, however, is very encouraging with the sector making dramatic leaps in advanced medicines such as immunotherapy, which provides potentially significant market opportunities.
 
Ethan answers:
  • What has been driving volatility in the healthcare sector recently?
  • What long-term tailwinds do you see benefiting the healthcare sector?
  • What innovations are you most excited about this year in healthcare?

 

Glossary:
 
Biosimilar – a biopharmaceutical drug designed with properties that are almost identical to a previously licensed drug manufactured by a different company. These products function in a similar way to the original drug.
 
CMS – Centers for Medicare & Medicaid Services.
EBITDA – earnings before interest, taxes, depreciation, and amortisation. This is an accounting measure used as a proxy for a company's current operating profitability.
 
EMEA – European Medicines Evaluation Agency.
 
Immuno-oncology – an approach to cancer treatment whereby an individual’s immune system is harnessed and used to attack cancer cells in the body.
 
Pharmacy benefit manager (PBM) - a third-party administrator of prescription drug programmes.
 
 
 

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Janus Henderson Global Life Sciences Fund

Key investment risks to be considered before investing.

  • The Fund may invest in any one or a combination of the following instruments:
    • futures, options and swaps and other financial derivative instruments (“FDI”) for investment purposes, up to 10% of the net asset value ("NAV") of the Fund. Given the leverage effect of FDI, such investments may result in substantial loss (as much as 100% of the NAV of the relevant Fund);
    • debt securities rated below investment grade; and
    • mortgage and asset-backed securities and/or in index/structured securities. These financial instruments may be rated below investment grade.
  • Investing in any one of the above instruments may involve substantial credit/counterparty, market, liquidity, currency, leverage, index, interest and swap risks. If the issuers default, or such securities or their underlying assets, cannot be realised or perform badly, investors’ entire investments may be lost.
  • The Fund's investments involve developing markets. Owing to its potentially higher volatility and risk levels, as well as lower political and economic stability than developed markets, asset values could be affected in various levels.
  • The Fund’s investments may be more concentrated in terms of industry risk than others that diversify across industries and may therefore be subject to higher industry risk than funds with more diversified holdings.
  • The investment decision is yours. If you are in any doubt about the contents of this document, you should seek independent professional financial advice.
  • Investors should not only base on this document alone to make investment decisions and should read the Prospectus including the risk factors for further details.

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