Building on the Growth of Healthcare Innovation with BTEC
If the ongoing pandemic has learned anything, it is the need for innovation in healthcare. This is exactly what the Leading Healthcare Innovators (BTEC) ETFs is all about.
Growth opportunities were plentiful for healthcare innovation in 2021. Startups were able to raise capital with seemingly relative ease last year.
Investment in healthcare in New York hit an all-time high in 2021 as 182 healthcare and life sciences startups raised a total of $9 billion, according to the 2022 Healthcare Innovation Report New York health care executive released Tuesday by New York City health care business leaders,” MedCityNews said in the article.
As mentioned, the pandemic has had a profound influence on the way health care is delivered. Social distancing measures have forced healthcare providers to deliver medical information digitally and take full advantage of the internet.
The year 2021 in particular has seen digital startups secure a considerable amount of investment funding. As more companies seek to innovate in the way they administer care, it will open the eyes of investors looking for growth opportunities.
“For 2021, 87% of funds raised went to digital health startups,” the article adds. “And a lot of that investment has gone to companies focused on virtual care, patient engagement, and mental health.”
The long-term horizon for the health sector shows strength, especially looking back over the past five years. The Morningstar Health Sector Index is up nearly 90% during this period.Looking at a different index, the Nasdaq Healthcare Index might be closer to showing a growth component in healthcare. While not as high as the aforementioned Morningstar Index, it is still up 50%.
High growth potential
BTEC seeks to provide investment results that closely correspond, before expenses, to the performance of the Nasdaq Healthcare Innovators Index, which uses a quantitative model designed to identify equity securities in the U.S. benchmark Nasdaq Index that are US small- and mid-cap healthcare companies. .
- High Growth Potential: Seeks to capitalize on growing demand for healthcare solutions as demographic trends have more than doubled healthcare spending over the past 20 years.
- Specialized Healthcare Solution: Brings an efficient and systematic approach to identifying and selecting small healthcare companies that many investors overlook.
- Early Access: Invests in companies that lead the charge toward innovative solutions, rather than spending money on marketing and distribution.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.