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Hong Kong healthcare stocks buck trend, innovation drug index up over 1%
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On Wednesday morning, Hong Kong stocks faced pressure, but the pharmaceutical sector bucked the trend, with the Hang Seng Stock Connect Innovative Drug and Healthcare Index rising 1.16% by 10:01 AM. The National Medical Products Administration recently stated that during the '15th Five-Year Plan' period, it will advance systems such as drug trial data protection and market exclusivity periods for pediatric and rare disease drugs, while supporting innovative drug companies in going overseas. Huayuan Securities' latest research report indicates that the innovative drug industry is improving in multiple dimensions, with CRO demand gradually recovering. The report notes that China's innovative drug approval and payment policies are improving, clinical CRO demand is continuing to recover, and the market is expected to expand. The Hangzhou Stock Connect Innovative Drug and Healthcare ETF, managed by Fullgoal, tracks this index closely, excluding stocks with the lowest R&D/revenue ratios to emphasize innovation. Investors without on-exchange accounts can also consider the Fullgoal Hang Seng Stock Connect Innovative Drug and Healthcare ETF-linked fund.
Source report
On Wednesday morning, the Hong Kong stock market faced downward pressure, while the pharmaceutical sector showed resilience and gained strength. The Hang Seng Stock Connect Innovative Drug and Healthcare Index surged in volatile trading, rising 1.16% as of 10:01 AM.
Policy Support for Innovative Drugs
The National Medical Products Administration recently stated that during the "15th Five-Year Plan" period, it will advance policies such as drug trial data protection and market exclusivity periods for pediatric and rare disease drugs. The administration also expressed support for innovative drug companies to expand overseas.
Industry Outlook
According to the latest research report from Huayuan Securities, the innovative drug industry is showing improvement across multiple dimensions, with CRO demand gradually recovering. The policy environment for innovative drug approval and reimbursement in China is improving, and clinical CRO demand continues to recover, suggesting further market expansion.
Investment Opportunities
The Hang Seng Stock Connect Innovative Drug and Healthcare ETF (managed by Fullgoal) closely tracks the Hang Seng Stock Connect Innovative Drug and Healthcare Index. According to the index methodology, companies ranked in the bottom 20% in terms of average R&D/revenue ratio over the past two years are excluded from the index. The index features a high proportion of R&D spending and innovative drug business, highlighting its innovation attributes and helping investors precisely capture investment opportunities in the Hong Kong stock pharmaceutical sector.
Investors without on-exchange accounts may also consider the Fullgoal Hang Seng Stock Connect Innovative Drug and Healthcare ETF Linked Fund (Class A: 020110, Class C: 020111).
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Source
每日经济新闻Eastern
Part of this Story
China's 15th Five-Year Plan and Clinical Wins Fuel Surge in Innovative Drug Stocks