Buying Biotech Stocks? Be Cautious.
Biotech stocks are hot again this year as investors hope for spectacular gains like last year. In 2014, biotech stocks returned more than 34%. While the NASDAQ is up by 7.5% year-to-date (YTD) the NYSE Arca Biotech Index has shot up by 19.2% YTD. The following chart shows the 10-year price return of the largest biotech ETF – iShares …