Polar Capital Global Healthcare Trust plc (the "Company"): The Company is an investment company with investment trust status and its shares are excluded from the Financial Conduct Authority’s (“FCA”) restrictions on the promotion of non-mainstream investment products. The Company conducts its affairs, and intends to continue to conduct its affairs, so that the exemption will apply.
The Company is an Alternative Investment Fund under the EU's Alternative Investment Fund Managers Directive 2011/61/EU as it forms part of UK law by virtue of the European Union (Withdrawal) Act 2018.
The Investment Manager: Polar Capital LLP is the investment manager of the Company (the "Investment Manager"). The Investment Manager is authorised and regulated by the FCA and is a registered investment adviser with the United States' Securities and Exchange Commission.
Key Risks
- Investors' capital is at risk and there is no guarantee the Company will achieve its objective.
- Past performance is not a reliable guide to future performance.
- The value of investments may go down as well as up.
- Investors might get back less than they originally invested.
- The value of an investment’s assets may be affected by a variety of uncertainties such as (but not limited to): (i) international political developments; (ii) market sentiment; and (iii) economic conditions.
- The shares of the Company may trade at a discount or a premium to Net Asset Value.
- The Company may use derivatives which carry the risk of reduced liquidity, substantial loss and increased volatility in adverse market conditions.
- The Company invests in assets denominated in currencies other than the Company's base currency and changes in exchange rates may have a negative impact on the value of the Company's investments.
- The Company invests in a concentrated number of companies based in one sector. This focused strategy can lead to significant losses. The Company may be less diversified than other investment companies.
- The Company may invest in emerging markets where there is a greater risk of volatility than developed economies, for example due to political and economic uncertainties and restrictions on foreign investment. Emerging markets are typically less liquid than developed economies which may result in large price movements to the Company.
Important Information
Not an offer to buy or sell: This document is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, and under no circumstances is it to be construed as a prospectus or an advertisement. This document does not constitute, and may not be used for the purposes of, an offer of the securities of, or any interests in, the Company by any person in any jurisdiction in which such offer or invitation is not authorised.
Information subject to change: Any opinions expressed in this document may change.
Not Investment Advice: This document does not contain information material to the investment objectives or financial needs of the recipient. This document is not advice on legal, taxation or investment matters. Prospective investors must rely on their own examination of the consequences of an investment in the Company. Investors are advised to consult their own professional advisors concerning the investment.
No reliance: No reliance should be placed upon the contents of this document by any person for any purposes whatsoever. None of the Company, the Investment Manager or any of their respective affiliates accepts any responsibility for providing any investor with access to additional information, for revising or for correcting any inaccuracy in this document.
Performance and Holdings: All data is as at the document date unless indicated otherwise. Company holdings and performance are likely to have changed since the report date. Company information is provided by the Investment Manager.
Benchmark: The Company is actively managed and uses the MSCI All Country World Index/Healthcare as a performance target. The benchmark is considered to be representative of the investment universe in which the Company invests. The performance of the Company is likely to differ from the performance of the benchmark as the holdings, weightings and asset allocation will be different. Investors should carefully consider these differences when making comparisons. Further information about the benchmark can be found at: www.mscibarra.com.
Third-party Data: Some information contained in this document has been obtained from third party sources and has not been independently verified. Neither the Company nor any other party involved in compiling, computing or creating the data makes any warranties or representations with respect to such data, and all such parties expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any data contained within this document.
Country Specific Disclaimers
United States: The information contained within this document does not constitute or form a part of any offer to sell or issue, or the solicitation of any offer to purchase, subscribe for or otherwise acquire, any securities in the United States or in any jurisdiction in which such an offer or solicitation would be unlawful. The Company has not been and will not be registered under the United States Investment Company Act of 1940, as amended (the “Investment Company Act”) and, as such, the holders of its shares will not be entitled to the benefits of the Investment Company Act. In addition, the offer and sale of the Securities have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”). No Securities may be offered or sold or otherwise transacted within the United States or to, or for the account or benefit of U.S. Persons (as defined in Regulation S of the Securities Act). In connection with the transaction referred to in this document the shares of the Company will be offered and sold only outside the United States to, and for the account or benefit of non-U.S. Persons in “offshore- transactions” within the meaning of, and in reliance on the exemption from registration provided by Regulation S under the Securities Act. No money, securities or other consideration is being solicited and, if sent in response to the information contained in this document, will not be accepted. Any failure to comply with the above restrictions may constitute a violation of such securities laws.
Further Information about the Company: Investment in the Company is an investment in the shares of the Company and not in the underlying investments of the Company. Further information about the Company and any risks can be found in the Company’s Key Information Document, the Annual Report and Financial Statements and the Investor Disclosure Document which are available on the Company's website, found at: https://www.polarcapitalglobalhealthcaretrust.co.uk
Fund Manager Commentary As at 30 April 2025
Market and sector review
Global equity markets ended April slightly up on the previous month, although this modest performance masks significant volatility. Despite the heightened market uncertainty, investors rotated away from defensive stocks into more cyclical parts of the market (especially information technology and communication services), which had been heavily sold off in the preceding months.
The healthcare sector underperformed the broader equity market in April. Within healthcare, managed care, life sciences tools and services and biotechnology faced a difficult month, while healthcare distributors, services, facilities, equipment and pharmaceuticals emerged as the best performing sectors. During April, several companies within our sector reported their Q1 results. A clear trend emerged: companies that were able to quantify the impact of the tariffs and integrate this challenge into their outlook for the year were rewarded by investors. Conversely, companies that failed to address the tariffs directly were punished by the market. We remain confident that our sector is well-positioned to navigate the challenges posed by the tariffs as they stand. Additionally, despite concerns surrounding the appointment of Robert F Kennedy Jr. as head of the Department of Health and Human Services (HHS), the pace of innovation and activity in healthcare remains steady, with the FDA appearing to function as normal.
Fund performance
The Company’s NAV decreased by 1.0% in April, ahead of its benchmark, the MSCI All Country World Daily Net Total Return Health Care Index, which was down 5.1% for the month (both figures in sterling terms).
Positive contributors relative to the benchmark in April were Fresenius SE, Lonza Group and Medley.
There was no news flow during the month for either Fresenius SE or Lonza Group but there is commonality in the strong performance of both as they are each considered defensive and relatively immune from the impact of current and potential future tariffs.
Medley performed well in the month despite there being no news concerning the company, perhaps also helped by a lack of policy and tariffs uncertainty.
Negative relative contributors in the period under review were Vertex Pharmaceuticals, Chugai Pharmaceutical (neither held) and Lundbeck.
Vertex Pharmaceuticals’ performance was likely driven by ongoing enthusiasm for the company’s recently launched pain product Journavx.
Chugai Pharmaceutical reacted positively to data from Eli Lilly’s oral obesity drug orforglipron as the Japanese company will receive royalties in future sales.
Lundbeck had a challenging month as it is perceived to be heavily exposed to possible tariffs on pharmaceuticals plus there was some follow-through from mixed data from a migraine pipeline asset in late March.
We added a position in Encompass Health in April, a leading provider of inpatient rehabilitation in the US. With inelastic, non-discretionary demand and a defensive payer mix, the management team continues to deliver positive revisions at a relatively attractive valuation. The investment was funded, in part, by an exit from French pharmaceutical company Sanofi.
Outlook
Navigating the new US administration’s early days has been challenging, but the Q1 earnings season has given comfort that those companies with good management teams and value-added products and services can generate positive returns. Uncertainty remains, especially on the tariff front, but there is confidence that the strong fundamentals of the healthcare industry will ultimately prevail.
James Douglas
James studied medicinal chemistry and has worked in healthcare, in sales, research and fund management, throughout his career
Gareth Powell
Gareth worked at a pharmaceutical company and in academic laboratories before setting up the healthcare team in 2007
Historical Fact Sheets