Investors seeking big-time growth potential, thematic exposure, and active management themes may want to give the ARK Genomic Revolution Multi-Sector Fund (CBOE: ARKG) serious consideration.
ARKG includes companies that merge healthcare with technology to capitalize on the revolution in genomic sequencing. These companies try to better understand how biological information is collected, processed, and applied by reducing guesswork and enhancing precision; restructuring health care, agriculture, and pharmaceuticals; and enhancing our quality of life.
“Right now in the world of genetic stocks, it’s hard to get a read on where the sector is moving. Several players are jockeying for position, each with their eye on being first to offer a breakthrough in the earliest detection in many types of cancers, a crucial step to improving treatments,” reports Michael Krey for Investor’s Businesses Daily (IBD).
ARKG’s primary focus is to seek long-term growth of capital via active management. The fund invests primarily in domestic and foreign equity securities of companies across multiple sectors, including healthcare, information technology, materials, energy, and consumer discretionary, that are relevant to the fund’s investment theme of the genomics revolution.
Early Detection Saves Lives
Early detection is another area of significant opportunity for some ARKG components.
“Early cancer detection, after all, is a matter of life or death. Medical research finds 90% success in treating people diagnosed with early stage cancer. Success means a patient is still living five years after diagnosis. But success rates tumble to 5% to 20% for those diagnosed in late stages,” according to IBD.
Genomic funds are some of the shining stars in the collection of stellar health care ETF performers. At the start of the year, the genomics industry was already on a rapid trajectory with lower gene sequencing costs aiding the long-term benefits for related investments.
Genomics companies spend a plethora of time and massive amounts of money to fund breakthrough biological treatments and diagnostic tools. Blossoming developments can literally change their fortunes, and the fortunes of shareholders overnight. Genomics is likely to be an integral part of the biotechnology growth story in the years ahead.
For more on disruptive technologies, visit our Disruptive Technology Channel.
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.