Polar Capital Funds PLC - Biotechnology Fund I Inc GBP

Specialist

Rated Fund 2018-19. Backs biotech companies of all sizes

Polar Capital Biotechnology joined our Rated Funds in 2018 and continues to beat the Nasdaq Biotechnology index over all time periods. Its strong performance and growing following has seen its assets grow from £200 million to £375 million over the past year.

It aims to preserve capital and achieve long-term capital growth by investing in companies across the biotechnology ecosystem. Lead fund manager David Pinniger has run the fund since its launch in 2013. He is supported by a team of six healthcare sector specialists who have more than 115 years of industry experience between them.

The team believes that a concentrated and actively managed portfolio is the best way for investors to exploit the investment opportunities found in the biotech sector. They use fundamentally driven analysis to select a portfolio of typically 40 to 60 stocks (46 at the end of 2018). Their strategy is to use an unconstrained approach to portfolio construction and stock selection, in particular to invest beyond the mainstream larger biotechnology companies that dominate the index.

At the end of 2018, the fund had 53% in large companies, 25% in medium companies and 12% in small companies, with the 10% balance in cash. The managers are able to seek investments world-wide, but given the nature of the industry have almost 60% in the US. They also have exposure across Europe and to China.

The fund levies a 10% outperformance fee and ongoing charges of 1.21%, but we deem this to be acceptable for a specialist fund investing in this area.

Narrative and ratings content all as of 01 January 2019.

See all Money Observer rated funds
Name
Polar Capital Funds PLC - Biotechnology Fund I Inc GBP
Manager
Polar Capital LLP
Type
Open Ended Investment Company
ISIN
IE00B42P0H75
Sector
Specialist
Launched
31/10/2013
OCF
1.16 %
Risk Rating
2
3 Year Sharpe
0.60
3 Year Alpha
6.35
Yield
0 %
Benchmark
NASDAQ Biotechnology TR USD
The investment objective of the Fund is to preserve capital and achieve long term capital appreciation.
Holding %
Alexion Pharmaceuticals Inc 6.76 %
Incyte Corp 6.33 %
argenx SE 6.05 %
Regeneron Pharmaceuticals Inc 5.99 %
Amgen Inc 5.38 %
Vertex Pharmaceuticals Inc 4.64 %
Evotec SE 4.57 %
NanoString Technologies Inc 4.47 %
Novo Nordisk A/S B 4.30 %
Genmab A/S 4.22 %
Region %
United States 66.69 %
Eurozone 18.47 %
Europe - ex Euro 9.93 %
Sector %
Healthcare 100.00 %
Name
Polar Capital LLP
Address
SW1E 5JD, London, United Kingdom
UCITS
Yes
Legal Structure
Open Ended Investment Company

Managers

Daniel Mahony
Joined 10/31/2013

Daniel Mahony Ph.D. joined Polar Capital to establish the healthcare investment team in 2007. He is joint manager of the Healthcare Opportunities Fund and lead manager of the Healthcare Blue Chip Fund. Prior to joining Polar Capital, he was head of the European healthcare research team at Morgan Stanley, covering the European biotechnology, medical technology and healthcare services sectors. He also previously worked in New York for ING Barings Furman Selz following the US biotechnology sector. Before working in the investment field, Daniel worked as a research scientist for seven years with the majority of his time at Schering Plough Corporation in California. Daniel received his PhD from Cambridge University in 1995 and a first class honours degree in biochemistry from Oxford University in 1991.

David Pinniger
Joined 10/31/2013

David Pinniger joined Polar Capital in August 2013 as lead manager of the Biotechnology Fund within the healthcare team. Prior to joining Polar Capital, for five years David was portfolio manager of the International Biotechnology Trust at SV Life Sciences. He also previously spent three years working at venture capital firm Abingworth as an analyst managing biotechnology investments held across the firm’s venture and specialist funds, and four years at Morgan Stanley as an analyst covering the European pharmaceuticals and biotechnology sector. David received a first class honours degree in human sciences from Oxford University in 1999 and is a CFA charterholder.

Gareth Powell
Joined 10/31/2013

Gareth Powell joined Polar Capital in 2007 to establish the healthcare investment team. He is joint manager of the Healthcare Opportunities Fund. He joined Framlington in 1999, later becoming a portfolio manager on the Framlington Health Fund. In 2002, Gareth helped launch the Framlington Biotech Fund, which he managed until his departure. Gareth studied biochemistry at Oxford, during which time he worked at Yamanouchi, a leading Japanese pharmaceutical company (later to become Astellas), as well as various academic laboratories including the Sir William Dunn School of Pathology, the Wolfson Institute for Biomedical Research and Oxford Business School. He is a CFA charterholder.

Data provided by Morningstar.

The Content is only for your general information and use and is not intended to address your particular requirements. The Content does not constitute any form of advice, recommendation or arrangement by Money Observer and is not intended to be relied upon by you in making (or refraining from making) any specific investment or other decisions. Appropriate independent advice should be obtained before making any such decision.

This information is sourced from our partner Morningstar. We believe the data to be correct however you should take care in using any information.

You should be aware that prices may fall as well as rise and that the income derived can go down as well as up. When buying or selling any investment that fluctuates in price or value you may get back less than you invested. Past performance is not necessarily a guide to future performance.