• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
ETF Portfolio Management

Toll Free: (866) 409-5844

ETF Portfolio Management

ETF Portfolio Management

  • Home
    • ETF Portfolio Management, LLC
  • About Us
    • Philosophy
    • Management
    • Trend Following
    • Pledge to Give Back
  • ETF Portfolios
    • Investable Benchmarks
    • Absolute Return Strategies
  • Performance
  • Presentations
  • News
    • All News
    • Absolute Return Strategies
    • Blog
    • Investable Benchmarks
    • Letters
    • Media
    • Press Releases
  • Resources
    • FAQs
    • Custodians
    • Definitions
    • Disclosures
    • Why Use Index ETFs?
  • Contact Us

Hedging Biotech Risk (1/16)

January 27, 2016 By dkreinces

Over the past five years, the biotech ETF (IBB) delivered a total return of roughly 200%, three times the S&P 500’s total return of 60%. However, over the past six months, these indexes suffered reversals of 30% and 15%, respectively.

A few months ago, the article below noted the trend change in biotech. ETF PM currently has short-term trading positions in the UltraShort Biotech ETF (BIS).

Yes, the Biotech Crash Could Actually Get Worse

The S&P 500’s biotech ETF has lost a third of its value in just 10 weeks — and this could be just the beginning.

Sean Williams, 10/4/15

Since the stock market hit its trough in March 2009, few industries have performed as well as biotech. Over just the trailing five years the broad-based S&P 500, arguably the most all-encompassing indicator of market health, is up 62% through Sept. 29, 2015 — compared to the near-tripling in the SPDR S&P Biotech ETF.

Why have biotech stocks been such outperformers? It’s not uncommon for investors to flock to industries with higher growth potential and more risk when a bull market is romping higher. With the bull market about six years old now, investors’ appetite for biotech has been mostly insatiable… until recently.

Click here for the full article.

 

Share Button

Category iconAbsolute Return,  All News,  Blog Tag iconBiotech,  BIS,  ETF,  exchange-traded fund,  IBB

Primary Sidebar

Recent News

  • Top Growth Trends (1/23)
  • Annual Letter 2022
  • Investable Benchmark Update (12/22)

Recent Video

Join Our Market Update List

Footer

2945 Townsgate Road, Suite 200
Westlake Village, CA 91361
Phone: (866) 409-5844 Toll-Free
Fax: (805) 480-1111

Privacy Policy
Terms of Use
Sitemap

© 2023 ETF Portfolio Management, LLC

  • LinkedIn
  • RSS
  • Twitter