Our mission at The Daily Cut is to make sure you never miss a big idea from the team of analysts here at Legacy Research.
And one of the most profitable we’ve put on your radar this year is the boom in biotech stocks.
That’s why, in our August 6 dispatch, I (Chris Lowe) suggested biotech exchange-traded fund (ETF) the ARK Genomic Revolution ETF (ARKG) as a “second-best” alternative to the best-in-breed biotech stocks colleague and tech expert Jeff Brown recommends.
ARKG was up double digits for the year already. But I made clear that there was still plenty of upside. As I wrote…
It’s up 55% already this year. But if Jeff Brown’s investment case is right… it still has a long way to climb.
ARKG is up 42% since then. That makes it the fifth-best-performing stock market ETF so far this year.
And as Jeff has been showing his readers, the boom in biotech has only just started. If Jeff is right, it’s destined to be one of the biggest wealth-creation events of the next decade and beyond. Take it from Jeff…
Fortunes will be made on the world’s best biotech companies in the years ahead. We’ll see regular investors make life-changing gains in this space. We’ll see new biotech-focused venture-capital funds and hedge funds spring up like wildflowers to capitalize on this trend. And my readers and I are going to be there every step of the way.
That’s why, today, we’re diving back into this profit theme. I’ll show you some of the incredible breakthroughs driving this boom… and how the smart money is piling in.
Plus, at the end of today’s dispatch, you’ll have a chance to register for Jeff’s big biotech event next week…
Like pharmaceutical companies, biotech companies make medicines that help us live healthy, disease-free lives.
But instead of being based on chemicals… biotech medicines are based on biological material such as our cells and our DNA.
One example is known as CAR (chimeric antigen receptor) T-cell therapy.
T cells are central players in our immune systems. With CAR T-cell therapy, a biotech company collects a patient’s T cells from their blood. Then it modifies these cells in a lab. This makes the cells latch onto a tumor and attack it directly.
Chemotherapy attacks cancerous and healthy cells. That’s why it’s so hard on the body. This biotech alternative targets the patient’s tumor alone… and not the healthy parts of their body.
This is a revolutionary way to treat certain cancers. And it’s saving lives.
But the biotech breakthrough Jeff is most excited about right now from an investment standpoint is a gene-editing technology called CRISPR-Cas9.
As regular readers will know, CRISPR technology can edit our DNA as if it were software code.
It’s a way to reprogram our genome (our complete set of DNA) and eliminate the “typos” – or mutations.
It’s more complicated than this… But think of it like the cut and paste functions on a word processor such as Microsoft Word.
Researchers identify a segment of faulty genetic code. They cut it out. Then they paste in healthy code.
Jeff calls CRISPR the God Key because it has the power to cure all of the roughly 6,000 known genetic diseases. Jeff…
In February 2019, genetic-editing companies CRISPR Therapeutics (CRSP) and Vertex Pharmaceuticals (VRTX) began trials for a gene-editing therapy called CTX001. It’s designed to treat two inherited blood diseases – beta thalassemia and sickle cell disease.
The results were outstanding. The companies treated two patients – one with sickle cell disease and the other with beta thalassemia. Both patients have been free from disease symptoms since the treatment, without needing blood transfusions. That has never happened before with regular attempts at treatment.
And as crazy as it may seem… curing thousands of genetic diseases is just a small part of the God Key’s potential.
Imagine hiking the Grand Canyon on your 100th birthday. Or playing a round of golf at 110.
Most folks think that’s impossible… or the result of an extremely lucky set of genes. But this is the future Jeff sees for everyone thanks to this breakthrough in biotech.
You see, CRISPR is leading to the rise of what Jeff calls personalized medicine.
Today, if you get sick, your doctor will typically use a one-size-fits-all treatment. Many of these address merely your symptoms… not the underlying cause of what ails you.
But that model is dying. And a new model is emerging. Jeff again…
Thanks to genetic sequencing, we can now spot diseases years – even decades – before symptoms present themselves. CRISPR then allows us to edit the faulty code that’s causing these diseases. We’re talking about a permanent cure from a one-off therapy.
In the near future, our healthcare will be personalized. It will be based on our genomic code. This will allow us to cure diseases that would otherwise have killed us… even before their symptoms show up. [Jeff shared his own experience with this in yesterday’s dispatch.]
This will allow us to live healthy lives well beyond 100. It will also allow us to be healthier and more active in our golden years. CRISPR will allow us to tackle diseases, such as Alzheimer’s, that can destroy our quality of life as we age.
That’s what the latest research points to…
In 2016, researchers identified a woman in Colombia who was genetically predisposed to developing Alzheimer’s in her 40s.
But she went more than three decades beyond that without any symptoms. No dementia. No confusion. No memory loss. Nothing.
That’s thanks to a rare genetic mutation that appears to be keeping her symptoms at bay.
This genetic quirk could be the key to a CRISPR-based cure for this awful disease.
That’s huge. Alzheimer’s afflicts at least 50 million people worldwide.
Some industries have had a hard time raising money because of the ongoing pandemic.
Biotech has not been one of them. In fact, the industry is closing in on its best year ever.
In the first half of 2020, venture capital funding within the sector totaled over $12 billion. That’s the largest amount the biotech industry has raised in any half year on record.
51 biotech stocks went public this year, almost as many as the sector’s annual record of 55 in 2014.
Those 51 stocks raised $9.3 billion in funding for their IPOs (initial public offerings). That’s almost double the sector’s previous record of $4.8 billion in 2018.
Last December, he gave paid-up subscribers of his Early Stage Trader advisory the chance to close out a gain of 432% in just over a month on cancer-fighting biotech Synthorx (THOR).
He also gave readers of his Exponential Tech Investor advisory the chance to close out a gain of 332% over three years on CRISPR Therapeutics (CRSP). (That’s one of the companies already curing sickle cell disease and beta thalassemia, as Jeff mentioned up top.)
And next Wednesday, December 9, at 8 p.m. ET, Jeff is hosting a special event to share a biotech opportunity he believes could soar as much as 1,000%… in a single day.
It’s a company on the verge of curing one of the world’s most debilitating genetic diseases. So this is your last chance to take part before the company releases clinical trial results.
To make sure you don’t miss out, reserve your free spot here.
Regards,
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Chris Lowe
December 2, 2020
Bray, Ireland