Did you know that heart and circulatory issues are the world’s biggest killers? More than 20 million people lose their lives to cardiovascular disease (CVD) every year*. Yet the World Heart Federation (WHF) says up to 80% of these deaths could be prevented with affordable care, early screening, and healthier lifestyle choices*. That’s the message behind World Heart Day, celebrating its 25th anniversary on 29 September.
This year’s campaign, Don’t Miss a Beat, raises awareness that heart disease is preventable. By sharing powerful stories, the WHF hopes to show the impact on families and communities, while encouraging people to adopt healthy habits. It also calls on governments to prioritise treatment and improve access to life-saving care. The urgency is real, every week, 12 people under 35 die suddenly from heart conditions in the UK.
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Why funding matters
The British Heart Foundation warns of a £250 million shortfall in CVD funding between 2025 and 2035. Once inflation is considered, the UK will need an extra £259 million just to match 2022 research levels**. With one death every three minutes, the charity says more investment could transform progress and save lives.
The World Health Organization reports $9.8 trillion was spent on health in 2022—almost 10% of global GDP**. But prevention is key, with smoking, alcohol misuse, inactivity, and obesity driving many avoidable deaths.
Investment opportunities in healthcare
Healthcare is one of the world’s largest and most essential industries, with demand that shows no signs of slowing. Rising life expectancy, ageing populations, and the growing burden of chronic conditions all continue to fuel the need for better treatments, services, and technologies. This creates a wide range of opportunities for investors.
Traditional players such as pharmaceutical companies and hospital operators remain at the heart of the sector, developing medicines, delivering care, and providing insurance. Alongside them, medical device makers are driving innovation in everything from surgical equipment to diagnostic tools. In recent years, a new wave of digital health companies has also emerged. These businesses are building wearable devices, remote monitoring systems, and apps that empower patients to track and manage their health more effectively. Many of these companies are listed on global stock exchanges, giving investors the chance to buy shares and benefit if these firms grow in value over time.
Issues to consider
Despite the long-term growth story, healthcare stocks have faced challenges. In 2025, the sector underperformed the broader market due to policy uncertainty and company-specific setbacks, according to Morgan Stanley***. One of the biggest headwinds has been concerns over the Trump administration’s stance on drug pricing and tariffs, which has created uncertainty for pharmaceutical and biotech firms.
Even so, analysts stress that healthcare should not be overlooked. The sector is often considered resilient and defensive because demand for healthcare remains steady, even during economic downturns. Morgan Stanley highlights that the industry’s strong historical performance and powerful long-term trends, such as ageing populations and advances in medical technology, continue to provide compelling opportunities for investors who take a patient, long-term approach.
Investment funds
The big question is: where do you start? How do you know which companies will flourish? After all, very few of us have the time to constantly monitor this fast-developing area.
The best solution is to consider an investment fund whose manager will be tasked with identifying the most promising opportunities in the sector. Hundreds of funds will have healthcare exposure, although the size of this allocation will depend on the portfolio’s aims and objectives.
Here, we identify four funds that we believe could be worth considering:
Polar Capital Healthcare Opportunities
The first option is a specialist vehicle. This fund is run by experienced manager Gareth Powell, who has also worked in the healthcare industry and academic laboratories. He invests in healthcare companies of all sizes, with a slight bias towards smaller ones. He looks for themes in the market and identifies firms that are reasonably priced and with good growth prospects. The fund will generally hold less in the pharmaceutical sector than many of its rivals and is currently 11% underweight the sector relative to its index^.
Guinness Global Equity Income
Biotech giant Roche, which focuses on discovering new medicines and diagnostics, is among the largest holdings in the Guinness Global Equity Income fund^. The portfolio, which holds 14.5% of its assets in healthcare, also includes shares in AbbVie, which concentrates on areas such as immunology, oncology, and neuroscience^. This fund is highly concentrated and typically consists of 35 equally-weighted stocks that the managers, Matthew Page and Dr Ian Mortimer, hold for three to five years. We like their focus on how well companies use their money to generate returns and see this portfolio as a core global income holding.
IFSL Evenlode Global Equity
One of the most significant positions in this fund is Medtronic^, a global leader in healthcare technology that provides solutions for treating more than 70 conditions. Chris Elliot and James Knoedler, co-managers of the IFSL Evenlode Global Equity fund, focus exclusively on quality companies with an ability to achieve sustainable growth over time. They’re also helped by Eddie, the in-house software system that helps them find high-quality, cash-generative businesses that have provided outperformance. According to the latest factsheet, the healthcare sector accounts for a 6.8% share of assets under management^.
Liontrust European Dynamic
Novartis, the Swiss pharmaceutical company that develops medicines for cardiovascular, immunology and other areas, is a holding in this portfolio^. In the most recent update, the fund’s managers noted that the stock was boosted by positive results from the Phase III trials evaluating the use of ianalumab in adults with active Sjögren’s disease. This is another concentrated fund that has between 30 and 40 holdings. Strong cash flow characteristics are favoured in potential holdings. We are very impressed not just by the management team of the Liontrust European Dynamic fund, but also by its rigorous process and collaborative approach.
