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
3
3 Year Sharpe
1.07
3 Year Alpha
9.27
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 6.98 %
Incyte Corp 6.25 %
Vertex Pharmaceuticals Inc 5.85 %
argenx SE 5.59 %
Regeneron Pharmaceuticals Inc 4.86 %
Sage Therapeutics Inc 4.32 %
NanoString Technologies Inc 4.29 %
Evotec SE 3.88 %
MyoKardia Inc 3.75 %
Stemline Therapeutics Inc 3.30 %
Region %
United States 65.02 %
Eurozone 17.83 %
Europe - ex Euro 6.22 %
Sector %
Healthcare 99.89 %
Name
Polar Capital LLP
Address
SW1E 5JD, London, United Kingdom
UCITS
Yes
Legal Structure
Open Ended Investment Company

Managers

David Pinniger
Joined 10/31/2013

David joined Polar Capital in August 2013 as a Fund Manager within the healthcare team. He has over 14 years’ investment experience in the healthcare sector. Prior to joining Polar Capital, for five years David was Portfolio Manager of the International Biotechnology Trust at SV Life Sciences

Data provided by Morningstar.

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