Biotech ETFs offer diversified, low-cost exposure.
If anyone didn’t already understand the dynamic potential of the health care sector, the pandemic has proven in real time how innovative the next generation of pharmaceutical companies are – and how vital they are to public health. So-called “biotechnology” companies look beyond chemical compounds or surgical tools to harness the power of biological systems including stem cells or RNA to create innovative vaccines, cancer therapies or cures for immune system disorders. Of course, sometimes you need a doctorate in chemistry to understand just how these biotech stocks operate. But thankfully, there are a few well-established biotech exchange-traded funds that allow small investors to play this dynamic sector in a diversified, low-cost way without having to do any medical research.
This article originally appeared at U.S. News & World Report.