Place Your Bets On Health Care Reform With These ETF’s (XBI, IBB)

biotechHealth Care Reform provides an opportunity with ETF’s as the Obama administration pushes to change the way the healthcare industry does business.  It’s not a matter of “IF” but a matter of “When” Health Care Reform takes place.  You can use ETF’s to profit from the agenda.

“Investors in health care should think outside the realm of traditional pharmaceutical companies and health insurers. Those sectors are each facing headwinds that make stock picking difficult.  The best way to play the government-sponsored health care boom is through biotech ETFs.  Today, we focus on the two that should be on everyone’s watch list,” TheStockAdvisors.com reports.

The Stock Advisors mentioned two ETF’s, the first one “As a trading vehicle, we like the iShares Nasdaq Biotechnology Trust (NYSE: IBB), the most popular and liquid of the biotech ETFs with an average trading volume of nearly one million shares per day.” and the second “For longer-term investors, we like the S&P SPDR Biotech ETF (ASE: XBI), which holds 25 equally weighted stocks and tracks the S&P Biotechnology Select Index.”

“They offer exciting profit potential on Washington’s next boondoggle, and their defensive characteristics may insulate investors if the market turns down again. To play health care reform defensively, go with IBB or XBI,” TheStockAdvisors Reports.

We have included the top holdings in (XBI) listed below:

SPDR S&P Biotech (XBI)

TOP 10 HOLDINGS ( 46.50% OF TOTAL ASSETS)  
 
Company Symbol % Assets
Amgen Inc. AMGN 4.45
BioMarin Pharmaceutical Inc. BMRN 4.71
Celera Corporation CRA 4.48
Cephalon, Inc. CEPH 4.41
Cubist Pharmaceuticals, Inc. CBST 4.63
Gilead Sciences, Inc. GILD 4.61
Isis Pharmaceuticals, Inc. ISIS 5.18
Martek Biosciences Corporation MATK 4.74
United Therapeutics Corporation UTHR 4.52
Vertex Pharmaceuticals Incorpor VRTX 4.77

Full Story:  HERE

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