Templeton investment management is jumping on the biotechnology bandwagon with the Franklin Biotechnology Fund (OEIC) registered in Luxembourg.
The fund is aimed at long-term investors who are looking for long-term capital growth. It invests in medical, pharmaceutical and biotech companies all over the world that are involved in research and development.
Despite recent publicity about developments in the biotechnology market such as research into human DNA, the biotechnology market remains a highly volatile area, as companies are often unable to find the funding or opportunities to take full advantage of initial discoveries. The Franklin biotechnology fund should therefore appeal to the more sophisticated investor who is willing to accept a greater degree of risk.
According to Standard & Poor's Micropal, the Templeton growth fund is ranked 120 out of 124 funds, based on £1,000 invested on a bid-to-bid basis with net income reinvested over three years to July 3, 2000.