Edison Investment Research - Biotech Growth Trust (BIOG) The Biotech Growth Trust - Historic low sector valuations

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Edison Investment Research

Pedro Fonseca

The Biotech Growth Trust - Historic low sector valuations

The Biotech Growth Trust (BIOG) now has two co-managers, Geoff Hsu and Josh Golomb, at global healthcare specialist OrbiMed Capital. The trust has experienced a difficult period of relative performance due to the managers’ approach of focusing on emerging (smaller-cap) biotech stocks rather than large-cap biotech businesses, because of their higher growth prospects. This strategy has been out of favour in an uncertain macroeconomic environment. Hsu and Golomb highlight attractive valuations in the biotech sector, which are not reflecting favourable industry fundamentals, including high levels of innovation across a range of therapeutic areas and an acceleration in mergers and acquisitions (M&A) ahead of an upcoming patent cliff.

04/10/2023 1 EN

Underlying

Biotech Growth Trust

Biotech Growth Trust is an investment trust company. Co. invests in a range portfolio of shares and related securities in biotechnology companies on a worldwide basis. Co.'s alternative investment fund manager is Frostrow Capital LLP and its portfolio manager is OrbiMed Capital LLC. As of Mar 31 2017, Co. had total investment of £461.4 million.

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GB0000385517 London Stock Exchange United Kingdom

Provider

Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Analysts

Pedro Fonseca

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The Biotech Growth Trust - Historic low sector valuations

Edison issues update on The Biotech Growth Trust (BIOG): Onwards and upwards for performance recovery

The Biotech Growth Trust - Onwards and upwards for performance recovery

Biotech Growth Trust: 1 director

Record - AUME momentum and a sharper focus

Actinogen Medical - Funding in place through key catalysts

Henderson Opportunities Trust - A differentiated exposure to smaller companies

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