Edison Releases Report on Healthcare-Focused Trusts: A Promising Outlook

Edison Investment Research Limited has published a thematic report titled "Healthcare-focused trusts – A sector on the mend." The report highlights robust business models within the healthcare sector, driven by megatrends and innovation, offering diverse opportunities for investors. The sector recently experienced turbulence due to the COVID-19 pandemic, followed by market adjustments. However, Edison anticipates a recovery phase, influenced by changing interest rates and the aftermath of the US election.

The report particularly emphasizes the potential of small- and mid-cap biotech companies to spur future growth. Key themes explored include challenges like patent cliffs in big pharma and promising areas for therapeutics and mergers and acquisitions (M&A). The report also examines the positioning of investment companies as tools for navigating sector complexities while mitigating risks.