Wall Street’s next bet: Cures for rare diseases — Andrew Lo

MIT Sloan Professor Andrew Lo

MIT Sloan Prof. Andrew Lo

From Fortune

What if I told you about an investment fund that diversifies your portfolio, shields you from fluctuations in the stock market, and earns double-digit returns? Sounds interesting, right?

Did I mention that this investment also creates potentially life-saving treatments for deadly rare diseases?

This fund doesn’t exist — at least not yet. I’m cautiously optimistic, however, that in the near future we’ll see the launch of an orphan disease “mega-fund” that finances early-stage biomedical research and drug development and is also a tidy investment. Read More »

Jose-Maria Fernandez: Financial engineering for good: A New Approach to Funding Large-Scale Biomedical Innovation

MIT Sloan Researcher Jose-Maria Fernandez

There is a growing consensus that the “bench-to-bedside” process of translating biomedical research into effective therapeutics is broken. A confluence of factors explains such pessimism but among the most widespread is the sense that the current the drug development business model is flawed. The development of new therapeutics is an expensive, lengthy, and risky process that challenges traditional funding vehicles, which are limited in size, Read More »