Over time, Loncar said he can imagine the index laying the foundation for an exchange-traded fund (ETF) dedicated to cancer immunotherapy. That could provide individual investors with a way to invest in the immunotherapy movement without shouldering all the risk that comes with picking individual stocks, which can fail (like Dendreon).
Some people clearly are not too concerned about the technical risks in these complex enterprises, and are buying individual stocks based on the excitement they hear in the media. If nothing else, some of the new investors will be able to see who’s who in the field and do a little more homework before randomly buying some stock after seeing the latest headline
“I want to repackage biotech in a way that ordinary people can understand it,” he said.
The timing couldn’t be better for such a thing, as investor interest has surged in cancer immunotherapy, or immuno-oncology, as it is sometimes called. Science magazine called immunotherapy its “breakthrough of the year” in 2013. Ken Burns just produced a PBS documentary on the subject. Major newspapers and magazines are churning out articles almost daily about the new wave in cancer therapy that builds on the long history in chemotherapy, radiation, surgery, and targeted molecular therapy.
Investors who have paid attention to the news coming out of labs have been rewarded in the past few months. If the index had started on Jan. 1, it would be up about 28 percent year-to-date, Loncar said. That compares with about a 12 percent gain in the NASDAQ Biotechnology Index, a more broadly diversified set of stocks that includes cancer immunotherapy. Although Loncar isn’t an investment advisor and has no business relationships with the companies in the index, he does personally invest in some of them.
Loncar, a well-known commentator among biotech investors, executives and journalists on Twitter, got his first exposure to immunotherapy through an investment in Dendreon, a trailblazer in cancer immunotherapy. In 2011, he outlined a series of problems he saw at the company, and he led an Internet-based rebellion among shareholders to call for change. The company, three years later, went bankrupt.
Immunotherapy still has many challenges, particularly with the high prices of some of the new therapies. But at scientifically, skepticism has turned into enthusiasm now that big companies like Bristol-Myers Squibb and Merck have won FDA approval of new drugs that are simpler to administer to patients, and which have shown ability to produce long-lasting remissions for certain types of cancer patients. The positive effects are beginning to appear in multiple forms of cancer.
From Forbes by Luke TimmermanLuke Timmerman Contributor
One of the hottest ideas in science is that you can stimulate the immune system to fight cancer. There has been such a surge in pharmaceutical R&D in this field that someone has come up with a single place for investors interested in cancer immunotherapy stocks.
Brad Loncar, an independent investor in Lenexa, Kansas with a history of investing in cancer immunotherapy, is rolling out a new index that is the first to round up all the players in this emerging sector within biotech. He’s calling it the Loncar Cancer Immunotherapy Index. It contains 25 companies worth at least $100 million or more, including big, diversified companies like Bristol-Myers Squibb BMY +0.78% and Merck, as well as smaller companies focused entirely on immunotherapy, like Juno Therapeutics and Kite Pharma.
Like any other index, this one tracks the performance of the whole group, rebalances its components every so often (in this case every six months), and generally serves as a benchmark for how a certain sector performs when compared with other indices like the Standard & Poor’s or NASDAQ. The new immunotherapy index is now available on that workhorse terminal for sophisticated investors—the Bloomberg Professional service.
There are already specialized baskets of stocks focused on biotechnology, but Loncar said he saw a need for something new because biotech is so broad, and not well-defined in the public mind. Essentially, biotech is an umbrella term that includes a wide array of drug developers, diagnostics companies, biomedical toolmakers, and even agricultural applications and biofuels. It’s a field generally dominated by specialized investors with PhDs and MDs, and intimidating to many lay people.
Loncar is hoping to make the field more inviting to general investors by focusing on this one promising subsector that is focused on cancer–something everyone can relate to on some level.
the unbelievably undervalued stock price due to concerted efforts by some corrupt media attacks and excessive and senseless shorting, the huge benefits and potentials of company's treatment which may change the way of how we treat cancer patients in the future, and the still unfairly low positive media coverage we have so far received, along with strong financial backing from Woodford, etc.
May, do you have shares? Do you have enough shares? Have you covered your short positions yet! You need to take action now!
Low the expectation since it is just data from p 1 but look forward to more detailed positive information! Maybe FDA is so impressed that it will grant breakthrough designation to D!
There are sleepless nights and aimless days for shorts for sure!
It is AMGEN in making now and will be AMGEN in future at least in terms of market cap!
Simply put my friend, if nwbo stock price were not at $70, you might be right. We are sitting at $8, and how can anyone think there are too much enthusiasms. I think we are still lack of enthusiasms, let alone the media coverage which seems to just begin!
Thanks. It was beautifully aired with questions answered in a concise way! The end part is interesting that the host specifically asked what is the stock ticker! Great, not expect better than that!
It is indeed beautiful. Nobody can deny it!
and compare then you will realize we are on a gold mine while others rush to some iron ore pits!
Linda had a few minutes in Fox today, Great! Let major media outlets participate in our effort to beat cancers!