Tuesday, November 3, 2015

TheStreet: Why Now May Be the Time for a Dose of Pharmaceutical Stock

By SIMON CONSTABLE

Maybe it's time to give your portfolio a dose of pharmaceutical stocks.

The sector has taken a beating lately with the NYSE Arca Pharmaceutical Indexdown around 10% in the three months through Friday, while the  Market Vectors Pharmaceutical exchange-traded fund  (PPH) , which tracks the sector, was off 13% in the same period. The S&P 500 Index was down 1% over that time span.

At least part of the selloff was a media circus that erupted when one company raised the price of an HIV drug by 5,000% and Democratic presidential candidate Hillary Clinton weighed in on the topic. What it means is that the sector is getting a lot of unwanted (and perhaps in some cases, unwarranted) attention, which adds to concerns about government interference in the industry. That, in turn, is making the stockholders nervousRead more here.

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