Pharma Funds : Investment Potential

Investors often assume that investing in the pharmaceutical sector is a safe bet given that its products and services are always in demand.

Investors often assume that investing in the pharmaceutical sector is a safe bet given that its products and services are always in demand. However, investing in pharmaceutical funds requires a constant study of the market and the sector. Moreover, as they are more focused on a single sector, they offer no diversification benefit. Hence, even though they offer potentially higher risk, their underlying return is also on the higher end. Therefore, before you head towards investing in them, understand your risk profile, investment objectives and time horizon