Global X Genomics & Biotechnology ETF

GNOM

Market cap $53.5M

After a 50%+ run from lows last April through highs in mid-January, the Biotech group has been trending sideways over the last few months. Biotech hasn't garnered much attention lately, with all the coverage of the Iran War and the AI Doom trade that's been taking down software stocks even as AI infrastructure stocks continue to surge.

IBB and other biotech ETFs are gaining traction as AI reshapes drug discovery, genomics, and clinical trials, giving investors diversified exposure to biotech innovation.

The healthcare sector has experienced one of its most significant de-ratings in 35 years, with valuations now at a 30% discount to the broader market. Healthcare trades at historical valuation discounts across multiple metrics.

Outlook for pharma sector as Trump pushes for regulatory changes. The impact of tariffs on drugmakers.

Investors cooled to the healthcare sector in 2024, which dramatically trailed global and US equity markets for the year. any investors are now asking: how will the policy changes under a new US administration affect healthcare companies?

Wall Street was upbeat last week with the Dow Jones and the S&P 500 hitting all-time highs last week.

Gene editing is revolutionizing medicine, creating substantial opportunities for some of the best gene editing stocks. With the technology, we can fix faulty genes, or replace them with healthier genes in an attempt to cure diseases or help the body fight disease.

Genomics is the future of medicine. With it, companies are racing to shed light on human health and disease.

Pay close attention to gene editing stocks. By 2028, according to MarketsandMarkets, the market could be worth about $10.6 billion from $5.3 billion in 2023.

GNMO invests across companies benefiting from advancements in the field of genomics within biotechnology. The fund's historical performance has been poor amid volatile stock prices for underlying holdings. Genomics may be the future, but still missing a blockbuster application to drive a wave of bullish momentum into the segment.