The pandemic has accelerated the speed at which the healthcare sector has developed; with rapid rollouts in vaccines, therapeutics, diagnostics and patient care.
Traditionally, healthcare has long been considered a defensive sector.
However, today’s healthcare sector is a combination of the defensive and the opportunistic, even though the defensive still accounts for the lion's share.
The large cap pharmaceutical names, tend to be less volatile and impacted less by recessions than the broader market.
Towards the opposite end of the market cap scale, where the business model is much more nascent, are companies unlikely to be classified as defensive.
Here you can expect much more volatility with trial readouts, regulatory change or moves in interest rates having a much bigger impact on share prices.
So as this sector evolves, where do the opportunities lie for investors looking for a diversified portfolio and what business and investment principles do they need to take heed of?
This report, which explores these themes, is worth 30 minutes of CPD.