Whether medical ETFs will rise or not depends on the epidemic.
Due to the impact of the COVID-19 epidemic, the A-share market experienced sharp corrections in early February and March. Although there were twists and turns, the overall A-share market was strong. The CSI 300 Index rose by 27.21% annually. In 2020, Active stock-focused funds also achieved high returns of over 40% on average.
Since the impact of the epidemic has been very small, and many targets have even benefited from the epidemic, the returns of pharmaceutical and medical themed funds are much higher than the market average. Among them, the returns of medical and medical ETFs that are close to full positions are even more outstanding.
Reviewing relevant sectors, ETFs have indeed become an important tool for finding opportunities in industries and themes, especially in high-prosperity sub-sectors. For example, the medical ETF (512170), known as the "first base to fight the epidemic", surged 86.75% in 2020.
Became the most profitable "pharmaceutical and medical" ETF that year, ranking first among all biomedical ETFs in Shanghai and Shenzhen stock exchanges during the same period, and surpassing the second-largest biomedical ETF by more than The income gap of 17 percentage points can be described as outstanding.
Medical ETFs have instead benefited from the epidemic:
Under the influence of the epidemic, the strong performance of the medical sector has lasted almost throughout 2020, and the anti-epidemic bull stock Yingke Medical has increased in 2020 More than 14 times, it became the champion of A-share gains throughout the year. It is currently the sixth-largest weighted stock in the CSI Medical Index tracked by the medical ETF (512170), with a weight of 3.77%.
The second largest weighted stock is Mindray Medical, the absolute leader in the field of medical devices. As of January 8, 2021, the latest market value has increased significantly, with an increase of more than 135% in 2020. The largest heavyweight stock is WuXi AppTec, the leader in the global pharmaceutical R&D and production outsourcing services (CXO) industry, with an increase of more than 105% in 2020.