NextGen BioTech:

    Health is our only wealth.

     

    At Lombard Odier Investment Managers, we think that investing is always linked to a view of the future.

    NextGen BioTech is about investing in small and mid companies which develop disruptive technologies in the healtcare industry.

    Indeed, our strategy and investment philosophy have targeted several technology successes in gene therapeutics, cancer, rare diseases, hybrid artificial pancreas and neurology.

    As an illustration, we had identified the mRNA1 technology in its early days, as we had invested in Moderna; it now proved to help the world fighting against Covid-19.

    Lastly, the strategy is about having a positive impact on patients’ lives, making healthcare expenses less expensive to our economies, hence a positive impact for the whole society. Because scientific innovation is more than ever to take care of our most valuable asset, our health.

    Source: 1mRNA stands for messanger RNA. It plays a central role in the production of the proteins in the body. The mRNA vaccines contain the construction plan for a specific part of a virus. When a protein covers the surface of a virus it is therefore recognisable by the immune system.

    NextGen BioTech: Positive impact  for patients through disruptive  technologies.

     

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    Expensive healthcare bills
    Healthcare expenses are outpacing economic growth, reaching levels that are both unaffordable and unsustainable.
    Innovation
    is the only sustainable answer to:

    • address unmet medical needs,
    • lower the financial burden,
    • increase healthcare access.

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    Small/mid cap healthcare companies offer a sweet spot
    We believe that healthcare innovation primarily relies on small-mid cap companies. This has been further validated by the Covid-19 pandemic, with the development in record times of safe and effective vaccines, or the adoption of remote monitoring solutions, helping healthcare practitioners to take care of their patients.

     

    Why invest?

    Innovation in healthcare leads to a virtuous circle.

    NextGen BioTech invests in early-stage disruptive technologies, with the potential to better understand the biology of the conditions, improve diagnostic tools, help new drugs development, ultimately address incurable diseases, and by doing so helping patients and solve societal issues.
    ~ Jerome Berton, Lead Portfolio Manager

    Connected solutions for a more personalised treatment.
    Digital solutions transform the delivery of care:
    • Improved access: Virtual GP visits, improving access to specialists, enhancing prescriptions fulfillment and delivery.
    • Improved quality: Monitoring devices continuously capture data for actionable therapeutic insights, digital platforms offer personalized recommendations.
    • Improved efficiency: Lowering medical errors and reducing costs.

     

    A sweet spot in healthcare.
    Small and Mid cap companies in healthcare offer a sweet spot for investing and we believe therapeutic innovation primarily relies on those companies, as shown by Covid-19 that has acted as an enabler, validating some emerging technologies (such as the mRNA platform).
    We believe in the performance potential in many NextGen BioTech stocks as:
    • Scientific innovation is the cornerstone for value creation.
    • Companies could have outsized growth potential.
    • An expanding portfolio of technologies can enable to capture value.
    • Small and Mid cap market is an attractive pool of Merger & Acquisition targets.

     

    Three themes for disruptive innovation

     


    I-Cure diseases with novel therapeutics 
     


    II-Screening solutions across the whole disease cycle
     


    III-Big Data for better patient care
     

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    • Novel therapeutics come with the promise to cure diseases.

    • Critical role to support treatment decisions; expected to be granted more value in the future.

    • Digital embedded solutions transform the delivery of care, and offer improved access, quality and efficiency.

    • Access to more effective treatments with an improved benefit/risk ratio.

    • New methods for early diagnostics bring efficiency: better health outcomes, reduced global costs.

    • Digitalisation provides insightful data for personalised treatments.

     

    Investment team.

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    Jerome Berton
    Lead Portfolio Manager

     

    Henk Grootveld Henk Grootveld
    Investment Team
    LOcom-AuthorsAM-Rabattu.png Didier Rabattu
    Head of Equities, Limited Partner
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    Pascal Menges
    Head of Research & Investment Process

     

    Investment philosophy and process.

    At Lombard Odier Investment Managers, we believe disruptive healthcare technologies will drive positive impact for patients’ life.

    From a universe of opportunities to a high conviction portfolio: 
     

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    Source: LOIM. 1 Key focus sectors: healthcare, IT, communication services and industrials. Minimum USD 1 million average daily liquidity. Allocations are subject to change. It illustrates the investment process undertaken by the manager in respect of a certain type of investment but may not be representative of the Fund’s past or future portfolio of investments.For illustrative purposes only.

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    Sustainability-accredited

    The strategy was accredited by the ‘Towards Sustainability’ quality standard in July 2022.

    read more

     

    Source: www.towardssustainability.be. The quality standard is developed on the initiative of Febelfin. Awards and ratings subject to change without notice. The Central Labelling Agency (CLA) assumes no responsibility and shall not be liable for the noncompliance with applicable rules and regulations regarding, among others but not limited to, the marketing of financial instruments by a product provider, a financial institution or any other market participant or party who uses the ‘Towards Sustainability’ label.

    Sub-fund information.

    Click here to access the sub-fund information.

     

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