The large investment fund Baillie Gifford US Growth Trust (USA) listed on the London Stock Exchange, has devoted much of its semi-annual report to talking about the biotechnology prospects of Moderna and the SpaceX project, two of its investments that have helped increase its net asset value over time.
The hypothesis of Moderna growth on the stock exchange
The fund (USA), a component of the FTSE 250 (MCX), reported that its net asset value in the last six months to 30 November has increased by 54%, bringing its total assets to £ 810,3 million excluding loans he has made.
The report argues that 2021 seemed "the light at the end of the tunnel" for the fund, given its investment in Moderna, which it has held since its 2018 initial public offering. Moderna's COVID-19 (MRNA) vaccine is the its first commercial product.
“Success with one drug says nothing about the likelihood of success for the next. But we could enter a new era of drug development. One of the real platforms where success breeds success. A cohort of biotech companies is emerging that rely on core technologies that can be reusable for multiple diseases and disease categories. We think Moderna could be one of these companies, ”is written in the fund's report on Moderna, which produces drugs based on mRNA, the intermediate molecule between DNA and proteins.
SpaceX and Tesla are also among the companies supported by the fund
The fund has 12% invested in unlisted companies such as SpaceX, the rocket and spacecraft company founded by Tesla CEO Elon Musk. “SpaceX innovated at a breathtaking pace. 2020 was the year America sent astronauts back to the space station. SpaceX's manned mission was a first for a private company. Starlink, SpaceX's satellite-based high-speed broadband service is up and running in beta, with more than 900 satellites orbiting the earth providing Internet to users. And in Texas, SpaceX has rapidly developed its Starship rocket, the vehicle it hopes will take people back to the moon and then to Mars, ”the report noted.
Tesla too (Tesla shares - ticker TSLA), Musk's publicly traded electric car company and the fund's first holding, which represents 9,5% of it, was praised. “On the recent battery day, Tesla charted a path to further halving the cost of the car battery.
The way we produce, store and consume energy is changing rapidly. For the better. The end of carbon is approaching ”, is written in the report. The broader FTSE 100 (UKX) closed 0,2% lower, with limited trading as the US exchanges closed on January 18 for Martin Luther King Jr. day.
