Healthcare is a diverse sector that can provide investors with portfolio diversification.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Within healthcare there are pharmaceutical companies that make medications; medical device firms that develop products ranging from artificial hearts and pacemakers to hearing aids; and biotechnology concerns that are involved in new technologies such as genomics.
Healthcare exchange-traded funds (ETFs) that focus on specific sectors of the healthcare industry are a great way to boost an investment portfolio, especially funds that are geared towards new treatments and medicines.
Top Specialty ETFs
Some great specialty ETFs for investors to consider include the iShares U.S. Medical Devices ETF (IHI), which holds stocks of leading medical device companies such as Boston Scientific (BSX), Intuitive Surgical (ISRG) and Medtronic (MDT).
There’s also the iShares U.S. Pharmaceuticals ETF (IHE) that owns stocks of leading pharma concerns such as Eli Lilly & Co. (LLY) and Merck & Co. (MRK). The ARK Genomic Revolution ETF (ARKG) invests in companies developing new therapies, such as CRISPR Therapeutics (CRSP) and Natera (NTRA). Below is a chart comparing these three ETFs.
