pStrand

Coming together is a beginning. Keeping together is progress. Working together is success. — Henry Ford Founded in January 2013 by a group of PKU alumni and friends, Positive Strand Investment Club (PSIC) rank No. 1 in Google for independent equity research on healthcare, biotechnology, and pharmaceuticals. Unlike in-house analysts on Wall Street who sit far away from research and development, our partners hold current positions across academia, industry and healthcare-related professional fields. Unlike other amateur investment clubs, our partners not only possess diverse technical expertise, but also are committed to conduct sophisticated research as a group. We develop an evolving research framework: First, we go through clinical stage companies that have major catalyst events coming (NDA filing; PDUFA pending; or CRL received) to select one for detailed study. Second, we survey the indicated disease for market potential and unmet medical needs. Third, we evaluate the candidate drug for its risk and benefit profile, probability of approval and competitive landscape. Finally, we do financial analysis to make investment decision. After 37 online meetings, we have accomplished 7 analysis projects, identified innovative companies that focus on satisfying unmet medical needs and improving people’s quality of life. Of 7 small companies we studied, 4 were already acquired by big pharma, proving their value. We learned a lot, including FDA regulatory pathway, drug development success rates, and factors that imply approval probabilities. With our unique platform and efficient framework, PSIC embraces the financial industry trend that shifts equity research towards independent firms. In the future, we will build on our knowledge and experience, and start an investment fund for healthcare sector.