BioTech 10
A 10-stock biotech ideas portfolio inspired by the methods of one of the most respected biotech-specialist 13F filers, refined with our own quality and rebalance discipline. Since January 2006 (the start of comparable XBI data), the strategy has compounded at 17.3% annualized — roughly 3x the wealth of the XBI biotech ETF and 3x the wealth of the S&P 500 over the same window. NOT a standalone strategy: this is a sector-concentrated, high-volatility shopping list of high-conviction biotech names. Best used as a sleeve in a diversified plan or as a watchlist for individual stock ideas.
BioTech 10 is a specialty portfolio — a sector-concentrated ideas portfolio, not a standalone strategy. Volatility is roughly 2.5x the broad market (41% annualized vs ~15% for the S&P), and the worst peak-to-trough drawdown was -76.8% during the 2021-2023 biotech bear market. Do not run this as your only portfolio. Best uses: a small sleeve inside a diversified plan, or a research watchlist for individual biotech names worth deeper study. Sector strategies require longer time horizons and higher tolerance for drawdowns than core portfolios.
Sector benchmark: XBI (SPDR S&P Biotech ETF). Biotech as a whole goes through long out-of-favor periods that have nothing to do with stock selection. Comparing to a broad-market index can flatter or punish the strategy depending on what biotech is doing as a sector. XBI is the equal-weighted biotech ETF and the right comparison for whether this strategy is adding value within its own sector.
BioTech 10 vs the biotech sector
Jan 2006 → Apr 2026Window aligned to XBI inception (Jan 1, 2006) so the three series share the same start date.
| Strategy | Cumulative | Annualized | $10K becomes |
|---|---|---|---|
| BioTech 10 | +2,461% | 17.31% | $256K |
| XBI (SPDR S&P Biotech ETF) | +771% | 11.25% | $87K |
| S&P 500 Total Return | +747% | 11.09% | $85K |
Backtested. Past performance does not guarantee future results. The sector ETF return is sourced from public market data; the portfolio return is the strategy's backtest over the same window.
Growth of $10,000
Data through April 24, 2026•Log scale
Year-by-Year Returns
Data through April 24, 2026
Annual returns vs S&P 500 TR. Green beats the benchmark, red trails it.
Returns by Rebalance Period
Each row is a distinct holdings window. The current window is live and updates daily; historical windows are finalized once the next rebalance takes effect.
| Period | Dates | Days | Portfolio | S&P 500 TR | Alpha |
|---|---|---|---|---|---|
Current (from Q1 2026)Live | Feb 18, 2026 → Apr 27, 2026 | 68 | — | — | — |
Key Characteristics
- •10 high-conviction biotech names, equal-weighted at 10% each
- •Roughly 3x the wealth of the XBI biotech ETF since Jan 2006
- •+6% per year alpha vs XBI over a 20-year window
- •Inspired by one of the most respected biotech-specialist 13F filers
- •Quarterly rebalancing with our own quality and risk discipline
- •Sector-concentrated by design — built for sleeve allocation, not standalone use
Rebalance Schedule
BioTech 10 rebalances quarterly. Pro members receive email alerts with exact trade lists on rebalance day.