- Advertisement -
- Advertisement -

Related

February brought more bitter pills for Rhenman Healthcare

Latest Report

- Advertisement -

Vienna (HedgeNordic) – Rhenman Healthcare Equity L/S Fund, the global long-biased equity fund with an exclusive focus on health care, reported that the Fund’s main share class, IC1 (EUR) was down by 5.4% in February after a volatile month for global stock markets.  The global equity index was down down by 1%, while healthcare was  down by 1.5% and biotechnology down by 5%. Februarys slip followed a drawdown of 18.5% in January for the fund.

The Fund, which ‘soft closed’ at the end of 2015, reported that investors and the sector have been challenged due to uncertainties related to the US presidential primaries and the possible impact of a new president of either party on the healthcare market. Strong market reactions in February were also a sign of investors’ risk aversion and fears of deflation, amid additional concerns related to the banking system and other international developments. Consequently, relatively few shares rose on company results, with many falling, even when their reported profits were in line with expectations. February’s best contributors were pharma company Meda and biotech companies Biomarin and Gilead, with the worst being specialty pharma companies Endo and Perrigo and biotech company Regeneron.

Rhenman Healthcare, which has an annualized return of 19% (net) since its inception in June 2009, nevertheless believes that despite market volatility, a recovery has begun for the sector, among other things due to attractive valuations, the lack of market excesses and a slowdown in emerging markets. The Fund continues to prioritize companies less affected by political developments in the US to reduce its net exposure. It also remains convinced that the commercial structure of the American healthcare and pharmaceutical industry will not change significantly, as the P/E ration for the sector is about 16, in line with the global index – a valuation that remains attractive to the long-term investor.

 

Picture: (c) SUWIT-NGAOKAEW—shutterstock.com

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Glenn Leaper, PhD
Glenn Leaper, PhD
Glenn W. Leaper, Associate Editor and Political Risk Analyst with Nordic Business Media AB, completed his Ph.D. in Politics and Critical Theory from Royal Holloway, University of London in 2015. He is involved with a number of initiatives, including political research, communications consulting (speechwriting), journalism and writing his post-doctoral book. Glenn has an international background spanning the UK, France, Austria, Spain, Belgium and his native Denmark. He holds an MA in English and a BA in International Relations.

Latest Articles

Mapping the Finnish Hedge Fund Landscape

Beyond operating as a media platform, HedgeNordic maintains an extensive database of Nordic hedge funds and related data. Although the data is not without...

Quirky Questions for Serge Houles (Tidan Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Quirky Questions for Mette Østerbye Vejen (Caba Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Solid First-Half Finish for Nordic Hedge Funds

Nordic hedge funds wrapped up the first half of the year on a solid note, delivering an average gain of 1.4 percent in June....

Brevan Howard Winds Down Volatility Fund Managed by Ville Helske

Brevan Howard Asset Management is winding down a volatility-focused hedge fund run by high-profile Finnish portfolio manager Ville Helske. Helske, formerly Head of Allocation...

Ymer to Launch Fourth CLO Fund with Proven Strategy and Structure

Building on the track record of three previous credit funds, Swedish alternative credit specialist Ymer SC AB is preparing to roll out its fourth...

Allocator Interviews

In-Depth: High Yield

Voices

Request for Proposal

- Advertisement -
HedgeNordic
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.