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Mike Philbrick iShares S&P Global Healthcare XHC-T BUY Aug 29, 2025

How about HHL for income plus XHC for growth?

An interesting way to play the sector. You're not chasing performance, and you're doing it in a balanced way. Good sector for this strategy, as it's not as economically sensitive as others.

Have some that's written and some that's not, so you don't give up all the upside. Healthcare hasn't participated in the market rally, but things should normalize with clarity in the US. Demographic trend is pretty good.

$63.920

Stock price when the opinion was issued

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TOP PICK

They like the Canadian hedging. He can play healthcare this way and not take on the product risk. It broke out earlier in the year and now is breaking out again.

TOP PICK

Pullback due to concerns the democratic left will win the election is actually an opportunity to come back into healthcare. Healthcare is always a long-term play. Yield is 1.6%.

PAST TOP PICK

(A Top Pick May 29/19, Up 4%) He prefers owning a basket of diversified, global healthcare stocks, not just Canada. XHC is hedged, so there's no currency risk. He owns it for these two reasons.

WEAK BUY
US Health ETF. We are in a state where we have aging demographics. The healthcare industry is one of the more recession-proof industries. He would suggest unhedged, however.
PAST TOP PICK
(A Top Pick May 29/19, Up 18%) He got back into healthcare late last year because of speculation about a Bernie Sanders victory. He continues to like it long term. The current price is a bit elevated so if buying it, wait a bit. The US election could changes things for healthcare.
COMMENT
These are some of the best ETFs for playing healthcare depending on what strategy you like. These cover global, covered call, yield focused, or actively managed ETFs in the market. The sector is a little overvalued right now so you might want to wait for a pullback. Longterm outlook is favourable.
BUY

HHL-T & XHC-T. HHL-T has a high yield because they do covered calls. He prefers the XHC-T ETF for slightly more yield. HHL-T is a viable option but you are capping the upside.

BUY

Market-cap weighted. MER is 0.66%.

BUY
Looking for a healthcare ETF, diversified by company and sector.

Tracks the S&P 1200 Global Health Care Sector Index. Large and diversified pharma, biotech, medical devices, health services. Giant scope. Names such as JNJ, UNH, PFE. Healthcare is often defensive, tailwind of aging population. 

This sector's been a laggard, some of the names have really been hurt, so maybe there's a catchup trade. When we're in an environment of high beta and high growth, money rotates out of the defensive sectors.