Designed to provide broad exposure to the Healthcare - Broad segment of the equity market, the ALPS Medical Breakthroughs ETF (SBIO) is a passively managed exchange traded fund launched on December 31, 2014.
ALPS Medical Breakthroughs ETF targets late-stage clinical trial biotechs primed for outsized performance and M&A. SBIO's selective criteria focus on U.S.-listed firms with strong cash positions, Phase 2/3 assets, and near-term catalysts, creating a portfolio of high-volatility, high-alpha 'lottery tickets.' SBIO has delivered 111% returns over the past year, outperforming the S&P 500; its holdings have seen notable buyouts and clinical milestones.
After a sweeping semi-annual rebalance, the biotech index underlying the ALPS Medical Breakthroughs ETF (SBIO) gained over 10% in just six trading days beginning June 18. Key Takeaways: SBIO's underlying index gained 10.01% in six trading days following its June 18 semi-annual rebalance.
The leading articles for last week ran the gamut in terms of topics, but suggest investors are still worried about inflation and remain interested in biotech, nuclear energy, and derivatives strategies. Todd Shriber's article highlighting the recent outsized performance of ALPS's SBIO claimed the top spot.
ALPS Medical Breakthroughs ETF (SBIO) targets late-stage clinical biotech firms poised for FDA approval or acquisition, offering high-risk, high-reward exposure. SBIO surged 91% over the past year, outperforming the S&P 500, driven by sector reflation and successful late-stage catalysts among holdings. The ETF's disciplined screen ensures holdings have sufficient cash, focus on Phase II/III assets, and diversification across oncology and rare diseases.
Broader healthcare ETFs aren't doing much to appease investors this year, but biotech funds are warding off that weakness. Just look at the ALPS Medical Breakthroughs ETF (SBIO).
Biotechnology stocks and the related ETFs bounced back in significant fashion last year. There's been some cooling of that trend to start 2026, but that could be just the opportunity some investors have been waiting for to get involved with ETFs such as the ALPS Medical Breakthroughs ETF (SBIO).
The biotech M&A market is heating up as pharmaceutical companies confront a looming patent cliff that will strip $200 billion to $250 billion in branded medicine sales by 2032, according to an ING report published in January.
The ALPS Medical Breakthroughs ETF (SBIO) is trading close to its 52-week high of $51.87 after surging 10.51% in November, powered by a wave of positive clinical trial data and renewed merger activity in small- and midcap biotech companies, according to research from SS&C ALPS Advisors. The biotech ETF outpaced the Nasdaq Biotechnology Index's 8.
Regarding the healthcare sector again disappointing investors in 2025 — the largest ETF addressing the group is up just 11.39% — there are pockets of strength. Those include biotech stocks and the related ETFs.
The tech ETF space offers plenty of important questions for investors.
Biotech stocks and related ETFs are in the midst of a lengthy period of underperformance. For the three years ending July 9, the largest ETF in the category returned just 11%.