The Schroder medical discovery fund is a unit trust that aims to tap into some of the growth potential in the world of medical research.
The fund invests in global companies that are involved in the pharmaceutical, medical technology and healthcare sectors, and are therefore at the cutting edge of medical research. It is targetted at the sophisticated investor who is comfortable with taking a medium-to high-risk.
Schroder believes that, with an aging population in the majority of the developed world, demand for medical services will escalate, and with it increased investment in the sector.
Although the fund does have a high-risk profile, the healthcare sector tends to be less affected by market conditions and more driven by internal developments. As long as investors understand the nature of these risks the medical discovery fund should appeal.
According to Standard & Poor's Micropal the Schroder global emerging markets fund is ranked 16 out of 30 funds, based on £1,000 invested on a bid-to-bid basis with net income reinvested over three years to June 2, 2000.