RT Journal Article SR Electronic T1 Biotechnology ETFs: Performance Analysis
and Demystifying the Correlation Matrix JF The Journal of Wealth Management FD Institutional Investor Journals SP 88 OP 93 DO 10.3905/jwm.2013.15.4.088 VO 15 IS 4 A1 Manu Sharma A1 Rajnish Aggarwal A1 Esha Prashar YR 2013 UL https://pm-research.com/content/15/4/88.abstract AB The authors investigate the performance of biotechnology ETFs relative to the S&P 500 and NASDAQ Biotechnology indexes during the past five years. They show that the biotechnology ETFs and NASDAQ Biotechnology Index had higher five-year average returns than that of the market index. The five annual Sharpe and Treynor ratios also indicate that the ETFs and NASDAQ Biotechnology Index outperformed the market. The results also imply that the ETFs were highly correlated with each other and the NASDAQ Biotechnology Index but were least correlated with the market. These findings indicate that during the economic slowdown, the biotechnology sector generated lucrative returns for investors and outperformed the market.TOPICS: Exchange-traded funds and applications, performance measurement