Biotech ETF Overview

No one U.S. biotech ETFs provides comprehensive, unbiased access to the space. Instead, each captures a piece of it—and of related industries like pharmaceuticals and medical. Tread carefully here, as each fund defines biotech differently, and the differences have material impacts on performance: In some years, the difference between the best-performing and the worst-performing biotech ETF exceeds 15%. The good news is that most of these biotech ETFs are relatively efficient and liquid.

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