Digital Assets Report

Newsletter

Like this article?

Sign up to our free newsletter

Emerging markets key driver for healthcare sector growth

Related Topics

Polar Capital’s healthcare investment team believes AstraZeneca’s results are evidence of the growing importance of emerging markets in the healthcare sector.

AstraZeneca reported year-on-year growth of 19 per cent in emerging markets, and Polar Capital says this growth opportunity will be an important contributor going forward. 

Over the next ten years it is estimated that emerging markets will add USD400bn to USD500bn to global pharmaceutical sales.

Currently, emerging markets’ spend on healthcare is much lower than developed markets but this is changing as economic wealth in these countries is growing at a much faster rate and emerging markets pharmaceutical sales are also due to grow at a rapid rate.

IMS Health estimates the value of the emerging markets’ pharmaceutical market in 2020 will match that of the current markets in the US and Western Europe.

Currently, pharmaceutical companies have low exposure to emerging markets but they are all investing in the opportunity. The sales from these regions will soon be a positive driver for financial results from pharmaceutical companies, says Polar Capital.

Polar Capital recently announced its intention to launch the Polar Capital Global Healthcare Growth and Income Trust. It is intended that the investment portfolio of the trust will include some exposure to the higher growth sectors of healthcare and to opportunities in emerging markets which could significantly increase growth rates in the sector.

Like this article? Sign up to our free newsletter

Most Popular

Further Reading

Featured