Looking Ahead on Healthcare Reform
A recent Wall Street Journal article has confirmed what we have been saying here at Election Stocks for weeks. They astutely note that the Senate Finance Committee bill will likely “form the backbone of any final legislation.”
This lends itself easily to our shared conclusion, as seen in this below excerpt from our post on September 9.
As a whole, we at Election Stocks feel that the landscape for playing the healthcare market has not changed dramatically. Health insurance companies like Humana, Cigna, Aetna, and UnitedHealth would take a hit if any sort of plan passes. On the other hand, drug manufacturers like Pfizer, Merck, and Johnson and Johnson are in a good position – so long as they are capable of producing generic drugs. The outlook is also good for biotech companies like Amgen, Biogen Idec, and Genzyme.
We have been fine tuning our position since then, developing an easy to use infographic to keep track of what healthcare reform will do to the market – which will be available soon. In the mean time we would like to point you to a particularly useful chart from The Wall Street Journal, demonstrating the ongoing market effects of drafting healthcare legislation.

Posted: October 19th, 2009 under Healthcare, The First Year.
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Pingback from » Our Healthcare Portfolio
Time: November 2, 2009, 6:03 pm
[...] we updated the portfolio to accommodate a pessimistic attitude towards the health insurance industry. We also added a couple solid biotech companies. Expect us to [...]









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