Bellevue Biotech (CH)
Biotech sector with sustainable, strong sales and earnings growth thanks to high innovation level
Expiring patents of pharma companies lead to high M&A activity (patent cliff)
Valuations very attractive on historical average over the last 10 years
Please find a more detailed description of share classes here.
Investment Focus
ISIN-No. CH0113817065
The Bellevue Biotech fund focuses on the most promising companies in the biotechnology sector. The fund invests in 30 to 50 stocks that have met all of the stringent selection criteria applied by us.
Indexed performance (as at: 03.05.2024)
NAV: CHF 3'231.13 (02.05.2024)
Rolling performance (02.05.2024)
AA-CHF | Benchmark | |
02.05.2023 - 02.05.2024 | -0.03% | 5.47% |
02.05.2022 - 02.05.2023 | -4.28% | -0.21% |
30.04.2021 - 02.05.2022 | -10.18% | -16.03% |
30.04.2020 - 30.04.2021 | 19.29% | 17.85% |
Annualized performance (02.05.2024)
AA-CHF | Benchmark | |
1 year | -0.03% | 5.47% |
3 years | -4.91% | -4.02% |
5 years | 1.96% | 2.93% |
10 years | 3.98% | 6.44% |
Since Inception p.a. | 9.07% | 11.62% |
Cumulative performance (02.05.2024)
AA-CHF | Benchmark | |
1M | -0.96% | 0.36% |
YTD | 4.48% | 7.02% |
1 year | -0.03% | 5.47% |
3 years | -14.04% | -11.62% |
5 years | 10.21% | 15.58% |
10 years | 47.75% | 86.72% |
Since Inception | 224.57% | 344.03% |
Annual performance
AA-CHF | Benchmark | |
2023 | -9.12% | -5.57% |
2022 | -10.36% | -9.88% |
2021 | 4.39% | 2.31% |
2020 | 13.36% | 15.12% |
Facts & Key figures
Investment Focus
The Bellevue Biotech fund focuses on the most promising companies in the biotechnology sector. The fund actively invests in 30 to 50 stocks that have met all of the stringent selection criteria applied by us. These are biotech companies that have specialized in areas such as immunology, virology, neurology, oncology, Show moreShow less
Investment suitability & Risk
Low risk
High risk
General Information
Investment Manager | Bellevue Asset Management AG |
Custodian | Zürcher Kantonalbank |
Fund Administrator | Swisscanto Fondsleitung AG |
Auditor | Ernst & Young AG |
Launch date | 15.10.2010 |
Year end closing | 30. Sep |
NAV Calculation | Daily "Forward Pricing" |
Cut of time | 15:00 CET |
Management Fee | 1.80% |
Subscription Fee (max.) | 2.50% |
Performance Fee | 10.00% (with High Water Mark) |
ISIN number | CH0113817065 |
Valor number | 11381706 |
Bloomberg | ADGLBIA SW |
WKN | A1H7EV |
Legal Information
Legal form | Investment funds under Swiss law |
SFDR category | Article 8 |
Redemption period | Daily |
Key data (30.04.2024, base currency CHF)
Beta | 0.88 |
Volatility | 21.10 |
Tracking error | 6.60 |
Active share | 39.68 |
Correlation | 0.96 |
Sharpe ratio | -0.20 |
Information ratio | -0.32 |
Jensen's alpha | -2.33 |
No. of positions | 66 |
Portfolio
Top 10 positions
Market capitalization
Geographic breakdown
Breakdown by sector
Benefits & Risks
Benefits
- New innovative drugs are powering sustainable momentum in the biotech sector.
- Attractively valued large cap biotechs.
- Expiring pharmaceutical patents trigger a rise in M&A activity.
- Focus on US biotech companies with strong growth potential.
- Bellevue Healthcare team – top-performing pioneer in the management of healthcare portfolios.
Risks
- The fund actively invests in equities. Equities are subject to strong price fluctuations and so are also exposed to the risk of price losses.
- Biotech equities can be subject to sudden substantial price movements owing to market, sector or company factors.
- The fund invests in foreign currencies, which means a corresponding degree of currency risk against the reference currency.
- Investing in emerging markets entails the additional risk of political and social instability.
- The fund may invest a proportion of its assets in financial instruments that might under certain circumstances have a relatively low level of liquidity, which can in turn affect the fund’s liquidity.
Review / Outlook
Solid economic data put investors in a good mood. Although central banks reiterated their intention to lower their key interest rates at some point in the current year, the biotech sector was overshadowed by news of higher commodity prices and higher labor costs. In the healthcare sector, news flow was mostly positive and more acquisitions were announced. AstraZeneca acquired Amolyt, a French company, for USD 800 mn, and Novo Nordisk will pay up to USD 1.1 bn to buy Cardior Pharma in Germany. Novo Nordisk also published more positive clinical data for semaglutide. The company stopped its FLOW trial in diabetes patients (T2D) with kidney problems (CKD) early due to efficacy. Treatment with semaglutide reduced the risk of kidney-disease progression and the risk of death from heart or kidney failure by 24%. Novo also announced that the FDA approved a label expansion for the drug for the indication of reducing risks of major adverse cardiovascular events (MACE). According to some forecasts, GLP-1 drugs will be the best-selling class of drugs in 2024, overtaking the class of PD-L1 checkpoint antibodies in cancer immunotherapy.
The following stocks were the portfolio's top performers in March: Viking Pharma presented data from its Phase I trial of the oral tablet formulation of its dual GLP-1/GIP receptor agonist VK2735. 28 days of treatment with oral VK2735 resulted in a reduction in body weight relative to placebo of up to 3.3% and up to 5.3% from baseline. Scholar Rock rose on news of its pipeline progress. It is testing an anti-promyostatin monoclonal antibody called apitegromab in spinal muscular atrophy (SMA) as well as in combination with GLP-1 drugs in obesity. In the latter indication, the company was granted regulatory clearance to initiate a Phase II trial in obesity. At its Capital Markets Day 2024, Novo Nordisk drew attention to the tremendous growth potential of its GLP-1 franchise in the areas of diabetes and obesity. Particular emphasis was placed on the promising profile of its amycretin pill, which led to a 13% reduction in body weight after 12 weeks of treatment. If efficacy is confirmed, amycretin could become a leading oral product in the obesity market.
The following stocks detracted from portfolio performance: C4 Therapeutics was marked down although it announced another collaboration with Merck to develop targeted degrader-antibody conjugates (DACs), building on its novel approach for treating cancer patients with unmet medical needs. The deal could generate milestone payments of up to USD 740 mn. Recursion and Verve Therapeutics were weak for no apparent reason.
We reduced shareholdings of Chugai, Viking and other stocks and invested the proceeds in companies such as 4D Molecular Therapeutics and RegenxBio.
Our stance towards the biotech sector remains positive in view of its strong fundamentals and enticing valuations (average 2024 P/E of 14x and PEG of 1.2 for large caps). These are very attractive multiples compared to historical valuations, and especially when compared to current valuations for the pharma sector (P/E 24x, PEG 2.8) or the S&P Index (P/E 22x, PEG 2.6).
Documents
Past performance is not a reliable indicator of future results and can be misleading. As the sub-fund is denominated in a currency that may differ than an investor’s base currency, changes in the rate of exchange may have an adverse effect on prices and incomes. Performance is shown net of fees and expenses for the relevant share class over the reference period. Show moreShow less