Biotech Bull Market 2017 Performance as of 9/5/17
Rayno Biopharmaceutical Portfolio outperforms the market.
XBI was the Best Play up 41.88% YTD.
Biotech stocks broke through the July sector highs as tracked by major ETFs. However we are still about 25% off the July 2015 bubble highs but supported by good earnings fundamentals, strong technicals and potentially a seasonal strong Q4. This leg of the new biotech bull market began in January 2017 after a vicious Q4 2015 sell-off.
- Once again our portfolio model shows that for the average biotech investor one or two ETFs are a good choice.
- The XBI continues to be the leader up over 41% YTD despite greater volatility. We recommended XBI in January at a price of $64.
- Most of our large caps picks did well but the IBB did better up 25.5% YTD.
- Our more speculative small cap picks did extremely well with bluebird bio (BLUE), a CAR-T play, up 103.3% and Foundation Medicine (FMI) an emerging leader in personalized cancer treatment, up 127.4%.
- M&A proved to be a strong driver with the acquisition of Kite Pharma (KITE) by Gilead Sciences (GILD).