New Trade for May 28th, 2021

Wall Street was cautiously optimistic this morning in anticipation of the release of more key economic data.  Personal Income and consumer spending numbers are out today.  As well as the PCE Core Price Index, which is a measure closely watched by the Federal Reserve for signs of inflation.  According to economists polled by Dow Jones, the expected increase for the PCE is 2.9% in April year-over-year.  Investors will be watching closely to see how the actual number compares.

One area of the market that can offer hefty returns is biotech.  It’s not unheard of for a winning biotech stock to produce 10x or 20x returns in a very short period of time.  But biotech companies are difficult to evaluate due to the speculative nature of their technologies, and due to the breadth of knowledge, experience, and education required to understand them.  Although this is true for all industries, it is particularly true for biotech. 

Specifically, genomics is one niche within the biotech group that could offer unimaginable returns, but the technology is so new and so advanced, many investors shy away from companies that are making astounding advancements.  

One solution is to delegate individual stock picking to the professionals.  In today’s trade we’ll focus on an exchange-traded fund (ETF) that provides an opportunity for investors who are looking to gain access to companies at the forefront of genomics innovation. 

iShares Genomics Immunology and Healthcare ETF (IDNA)

IDNA holds a concentrated portfolio of global companies in the biopharmaceutical and healthcare equipment and services industries that could benefit from the long-term growth and innovation in genomics, immunology and bioengineering. The fund is passively managed and holdings are weighted by market-cap and are constrained such that no individual security exceeds 4% weight of the portfolio. The index rebalances semi-annually.

It’s worth noting that IDNA beat Cathie Woods’ ARK Genomic Revolution ETF (ARKG) in the first ten weeks of 2020, when global markets were rocked by the coronavirus outbreak and investors were eagerly hunting for potential profit in companies researching treatment and vaccines.  

  • Weighted Average Market Cap  $22.53B
  • Price / Earnings Ratio   -39.69
  • Price / Book Ratio  4.76
  • YTD Daily Total Return  -0.30%
  • YTD Return  -0.20%
  • Yield  0.25%
  • Expense Ratio  0.47%
  • Net Assets   297.12M
  • Number of Holdings  50
  • Top Holdings:  BioNtech SE BNTX, BeiGene Ltd BGNE, Fate Therapeutics FATE

Where to invest $1,000 right now...

Before you consider buying IDNA, you'll want to see this.

Investing legend, Keith Kohl just revealed his #1 stock for 2022...

And it's not IDNA.

Jeff Bezos, Peter Thiel, and the Rockefellers are betting a colossal nine figures on this tiny company that trades publicly for $5.

Keith say’s he thinks investors will be able to turn a small $50 stake into $150,000.

Find that to be extraordinary?

Click here to watch his presentation, and decide for yourself...

But you have to act now, because a catalyst coming in a few weeks is set to take this company mainstream... And by then, it could be too late.

Click here to find out the name and ticker of Keith's #1 pick...


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