ETFS S&P Biotech ETF
ASX Code: CURE
ETFS S&P Biotech ETF (ASX Code: CURE) offers investors exposure to U.S. healthcare biotechnology companies. These companies are engaged in the research, development and manufacturing of products based on genetic analysis and genetic engineering. Examples include the development of immunotherapy treatments and vaccines to treat human diseases.
About CURE
CURE aims to provide investors with a return that, before fees and expenses, tracks the performance of the S&P Biotechnology Select Industry Index. CURE uses a full-replication strategy to track the index, meaning that it holds all of the shares that make up the index. It is equal weighted, meaning each holding makes up the same portion of the portfolio and therefore contributes equally to overall performance.
To be eligible for inclusion in the index, companies must be part of the biotechnology sub-industry of the U.S. healthcare sector and meet minimum market capitalisation and liquidity requirements.
Why consider CURE
1
Simple, low cost exposure to the biotechnology sub-industry.
2
Access to the U.S. biotechnology market benefitting from the FDA drug approval and U.S. patent system.
3
Exposure to medical advances and potential mergers & acquisitions.
FAQs
Biotechnology includes companies primarily engaged in the research, development, manufacturing and/or marketing of products based on genetic analysis and genetic engineering. It includes companies specialising in protein-based therapeutics to treat human diseases. It excludes companies manufacturing products using biotechnology but without a healthcare application. Biotechnology is a sub-industry of the healthcare sector.
Biotechnology is a sub-industry within the Healthcare sector.
The Healthcare sector refers to all those industries involved in providing goods and services to manage the health needs of individuals and populations. There are two main groupings within the healthcare sector according to the Global Industry Classification Standards (GICS) including:
Healthcare equipment and services
Pharmaceuticals, biotechnology, and Life Sciences.
Companies in CURE are equally weighted (subject to liquidity constraints), meaning each holding makes up the same portion of the portfolio at each quarterly rebalance and therefore contributes equally to overall performance.
The choice of an equal weighting scheme provides investors exposure to the overall sector and allows all stocks to contribute equally to returns. Large-cap stocks do not dominate as they do where holdings are weighted by market capitalisation.
While biotechnology can be a lucrative space, it can also be high risk. The drug development process is very lengthy with high failure rates and it is an area that is sensitive to government policy. Using an ETF like CURE not only spreads the risk over many biotechnology companies but reduces the single stock risk further by using an equal weight method.
CURE enables investors to access the growth in the U.S. biotechnology sector, without having to pick individual winners.
CURE may be used as a tool for expressing long-term strategic or short-term tactical views on the biotechnology sub-industry.
CURE can also aid portfolio diversification via investment in a sector that is underrepresented in the Australian market.
Product Information
| NAV/Unit (A$) | 61.6202 |
| Date (NAV) | 07 May 2021 |
| Currency (NAV) | AUD |
| Shares outstanding | 741,947 |
| AUM (A$) | 45,718,915.09 |
| Fund inception date | 08 Nov 2018 |
| Management Costs (% p.a.) | 0.45 |
| Distribution Frequency | Annually |
| Currency Hedged | No |
| Domicile | Australia |
| Legal Form | Managed Investment Scheme |
| SMSF Eligible | Yes |
Trading Information
| ASX Code | CURE |
| Bloomberg Code | CURE AU Equity |
| ISIN | AU0000028110 |
| SEDOL | BGYB2K4 |
| IRESS | CURE.AXW |
| Trading hours | 10:00AM – 4:00PM |
Management & Administration
| Issuer | ETFS Management (AUS) Limited |
| Custodian | JPMorgan Chase Bank N.A. (Sydney Branch) |
| Registrar | Computershare Investor Services (Jersey) Ltd |
Benchmark Information
| Benchmark | S&P Biotechnology Select Industry Index |
| Provider | S&P Indices |
| Ticker | SPSIBIN |
Allocation
Performance
Distributions
| Announcement date | 24 Jun 2020 |
| Ex-date | 30 Jun 2020 |
| Record date | 1 Jul 2020 |
| Payment date | 15 Jul 2020 |
| Distribution per unit (A$ cents) | 675.621567 |
| 12-month yield | 10.96% |
| 12-month franking level | 0.00% |
Announcements
Resources
| Documents | Date |
|---|---|
| Portfolio composition file - ETFS S&P Biotech ETF | 10 May 2021 |
| Factsheet CURE | 06 May 2021 |
| Condensed Financial Report - For the half-year ended 31 December 2020 | 11 Mar 2021 |
| ETFS Product Disclosure Statement | 14 Feb 2021 |
| Annual Financial Report - 30 June 2020 | 23 Sep 2020 |
