Pioneer's Acheson: How we protected €1.4bn US fund from biotech sell-off

Focus on high quality companies

Daniel Flynn
clock • 2 min read

Andrew Acheson, co-manager of the €1.4bn Pioneer SICAV - US Fundamental Growth fund, said he defended himself against August's biotech sell-off by holding established stocks with room for growth rather than "paying for the hope of the future".

The manager said the fund outperformed its Russell 1000 Growth benchmark over the last three months, despite being overweight the wider healthcare sector during a period when the NASDAQ Biotechnology index fell 20%, as a result of his focus on "high quality companies with lots of cash to reinvest". "If you are looking at biotech stocks, there are plenty of companies which generate large amounts of cash and have very secure balance sheets, and that gives them options for the future," Acheson said. "Many smaller biotechs do not currently have any products on the market and still might n...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Specialist

Deep Dive: Thematics offer diversification but investors must consider bond sensitivity

Deep Dive: Thematics offer diversification but investors must consider bond sensitivity

‘Dedicated specialists’

James Baxter-Derrington
clock 06 April 2023 • 4 min read
European private equity yet to spend €270bn worth of capital

European private equity yet to spend €270bn worth of capital

Deployment of capital expected

Kathleen Gallagher
clock 04 January 2023 • 1 min read
Early-stage biopharma: An opportunity for strategic investment

Early-stage biopharma: An opportunity for strategic investment

Disproportionately smaller investment

Ali H. Munawar
clock 10 August 2022 • 4 min read
Trustpilot