By Shachi Service provider, Vice President, Index Specialist, ROBO World
Healthcare is likely one of the few sectors of the financial system that has struggled to maintain tempo with at present’s applied sciences. Previous to the pandemic, we had hit an inflection level the place modernization was now not a alternative, however a requirement. Now the necessity to digitize and innovate throughout the trade has grow to be dire. First, we should perceive the present panorama driving this demand—then we are able to observe the investments and corporations paving the trail to higher affected person care by way of prevention and elevated entry.
Understanding the present healthcare panorama and the necessity for innovation
Healthcare prices, each on a worldwide and nationwide degree, are rising at unsustainable ranges. This is because of a confluence of things, together with the rising growing old inhabitants, improve in power illness, scarcity of physicians and nurses, lack of entry to care, and improve in digital demand by hospitals and sufferers.
The growing old inhabitants is anticipated to double within the subsequent 20 years.
The prevalence of power illness is rising, accounting for 81 p.c of U.S. hospital admissions, 91 p.c of all prescriptions crammed, and 76 p.c of all doctor visits.
A examine performed by consulting agency Mercer confirmed that the U.S. will face a scarcity of 400,000 residence well being aides and 29,400 nurse practitioners by 2025.
Digital medical file and digital well being file adoption is rising — 93 p.c of American hospitals now use EHRs, which represents an increase of 20 p.c within the final ten years. Laws slated to take impact in 2022 is evolving to fulfill elevated digital demand, permitting sufferers to obtain their EHRs onto digital units.
Along with all these elements, the COVID-19 pandemic shattered beforehand established limitations to innovation and catalyzed digital well being. Innovation in healthcare is creating new avenues by way of which to deal with sufferers remotely, enhance affected person movement by way of digital appointments, and cut back emergency care companies by way of predictive modeling, synthetic intelligence, and expertise.
A shift from sick care to preventative care
A highlight is on preventative medication in an effort to fight power sickness administration, enhance well being outcomes, and cut back rising prices. As annual checkups and pressing care visits had been rescheduled and reshuffled by the pandemic, a number of firms emerged with revolutionary approaches to tackling the continuing healthcare disaster. Two attention-grabbing examples of those expertise developments could be seen by way of the usage of telemedicine and genetic testing within the major care setting.
The rise of the “digital physician” permits sufferers to entry physicians and clinicians through videoconferencing apps, often on their smartphones and tablets, but additionally through conventional PCs. Telemedicine is extremely instrumental for these sufferers who’re unable to simply go away the house for a conventional supplier go to and for individuals who stay in distant or rural areas.
The HTEC index has a 1.41 p.c weight in Teledoc Well being, Inc. (TDOC), one firm that’s on the forefront of the telemedicine trade. TDOC expanded its distant well being choices in 2020 by merging with Livongo, a digital well being firm and former HTEC member that builds out distant healthcare options for sufferers affected by diabetes and hypertension.
Genetic testing is a vital medical instrument used to evaluate varied inheritable ailments, situations, and cancers sooner than ever earlier than attainable. Early prognosis, typically even earlier than signs floor, helps to reduce the severity of signs in the long run and promote a greater high quality of life for sufferers.
The HTEC index holds a 1.30 p.c weight in Fulgent Genetics, Inc. (FLGT). Fulgent, along with its subsidiaries, offers COVID-19 testing and genetic testing companies to physicians with clinically actionable diagnostic data. Its expertise platform integrates information comparability and suppression algorithms, adaptive studying software program, and genetic diagnostics instruments and built-in laboratory processes. The corporate primarily serves insurance coverage firms, hospitals, and medical establishments. Fulgent Genetics collaborates with PWNHealth to offer at-home COVID-19 check capabilities and has a strategic partnership with Helio Well being, Inc. to commercialize blood-based early most cancers detection assessments.
Projected funding developments throughout healthcare expertise
Judging from supporting laws, the elevated want, and the present scarcity of healthcare professionals, healthcare innovation is right here to remain. This evolving trade is creating an inflow of funding alternatives. The ROBO World Healthcare Expertise and Innovation Index (ticker: HTEC) offers traders with publicity to world well being tech firms which are harnessing highly effective applied sciences to create services that profit each sufferers and suppliers.
Listed here are two of the foremost offers and funding particulars that show that we’re within the midst of a healthcare revolution:
This yr, there have already been 73 offers (accomplished and pending) price $50.1B made by HTEC members as of August 30, 2021.
In case you observe the cash, all indicators level to development and continued growth on this planet of healthcare expertise. HTEC is a dynamic, world portfolio of firms working to vary the way forward for healthcare. Investing in innovation will affect us for generations—healthcare’s second is now.