Bellevue Healthcare Trust
This months Fund in Focus is the Bellevue Healthcare Trust. The investment objective of the company is to provide Shareholders with capital growth and income over the long term, through investments in listed or quoted global healthcare companies. The fund believes the healthcare systems of the developed world are fundamentally broken and without radical reform our healthcare systems will either collapse under the weight of demand or become unaffordable for society. Fortunately, for society as a whole and for investors too, they believe the tools needed to enable these changes already exist and they can be accessed through a public equity strategy. They have identified 21 areas that can improve patient care, lower care costs, and improve decision making by care givers. The Trust invests in a concentrated portfolio of listed or quoted equities in the global healthcare industry, including companies within industries such as pharmaceuticals, biotechnology, medical devices and equipment, healthcare insurers and facility operators, information technology (where the product or service supports, supplies or services the delivery of healthcare), drug retail, consumer healthcare and distribution.
Bellevue Healthcare Trust Points to Note:
- Sam Benstead of Interactive Investors stated that biotech is one a of few areas that has performed well since the start of November and that over 70 ETFs and investment trusts are up by more than 20% from 1 November to 4 January 2024. This includes biotechnology and healthcare which are up 13.5%.
- Organic dividend yield is not a consideration in portfolio decisions and the focus is on maximisation of total shareholder return, however, the current dividend yield is 4.15%
- The investment process consists of 4 broad strategies, thematic assessment, idea generation, stock weighting considerations and independent oversight
- Portfolio Manager Paul Major believes the healthcare sector offers attractive growth at lower valuations compared to other markets, driven by consistent demand due to the inevitability of health issues. He believes healthcare offers long-term growth regardless of economic conditions.
As always, you should only consider the investment views contained in this Bellevue Healthcare Trust Fund update in the context of your own attitude to risk and how such choices might impact your Asset Allocation model. Should you wish to discuss your investment portfolio, please contact Harvest Financial Services on 01 2375500 or email justask@harvestfinancial.ie.