The accompanying table includes statistics and the top five rated companies in the ETF Innovators Global Hospital & Outpatient Care Index. Both the Top 35 Rated and all 54 companies in the index outpaced the overall market as measured by S&P 500 SPDR ETF (SPY) and benchmark ETFs, including iShares U.S. Healthcare Providers (IHF) and PowerShares Healthcare Services (PTJ).
The index includes companies with market caps of at least $150M which derive the majority of their revenue from any of the following activities: inpatient hospital services, emergency medical transport + care services, hospice services, skilled nursing services, rehabilitation care, physical therapy, eye care, dental care, hospitalist products + services, mental healthcare services, dialysis care, home healthcare services, and outpatient medical care facilities. All activities related to retirement communities and assisted living facilities are excluded from this index.
The equally-weighted index is based on a rating system which factors in each company's market cap weight, revenue weight, historical stock price return, and other factors to choose the Top 35 rated components on a semi-active basis each quarter as a new ETF idea. The Companies in the index represent the continuum of healthcare, ranging from inpatient hospital care to home healthcare services to outpatient medical care centers.
The top five rated companies in the index include Almost Family (AFAM), Ensign Group (ENSG), Hanger Orthopedic (HGR), LHC Group (LHCG), and Gentiva Health Services (GTIV). The companies in the index should benefit from proposed healthcare reform by the incoming administration to increase the number of insured Americans; thereby increasing demand for healthcare services and reducing the number of patients who cannot pay their medical bills.
$40.1 (01/09/09)
