Exchange traded funds (ETFs) are the better choice for an investment in biotech. There is a lot of scientific jargon that biotech companies write in the annual reports, not to mention the financial statements and annual reports to figure out. H.S. Ayoub notes in Seeking Alpha that SPDR Biotech (XBI) holds over 30 stocks and carries the best performing companies. Investors that would like to invest in biotech but don’t have all day to decipher the industry may want to look at the following ETFs:
- SPDR Biotech (XBI)
- PowerShares Dynamic Biotech & Genome(PBE)
- iShares Nasdaq Biotechnology(IBB)
- First Trust AMEX Biotechnology(FBT)
- Biotech HLDRs(BBH)
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.