Healthcare Innovation Index (XTHC)
Defensive growth: the GLP-1 franchise, surgical robotics and large-cap pharma innovation.
Index thesis
Why this theme
The defensive growth diversifier of the series. Core exposure to the GLP-1 and obesity franchise (Eli Lilly, Novo Nordisk), one of the largest drug markets ever created, alongside robotic surgery (Intuitive Surgical), large-cap pharma cash flows (Johnson & Johnson, AbbVie, Merck, Pfizer, AstraZeneca) and biotech innovation (Vertex, Regeneron), with telehealth distribution via Hims & Hers. Low correlation to the tech-heavy rest of the line-up, the lowest turnover by design, and the sleeve that lets a thematic allocation survive a risk-off year.
Backtest
Simulated index performance
Month-end levels of the target basket, rebased to 100. Simulated, not live performance.
Simulated basket level (base 100)
240.55
+130.3% · 31/01/2021 — 31/08/2026
Simulated month-end backtest of the target basket, rebased to 100 at the history start date. Hypothetical, gross of fees, and supplied by the index committee for illustration only. It is not live index performance and not an indication of future results.
Composition
Target composition
Sort by any column. Filter by tier or by availability. Compositions are indicative until confirmed.
| Tokenised availability | |||||
|---|---|---|---|---|---|
| LLY | Eli Lilly | 15.0% | +7.4% | Core | Verified — LLYon / LLYx |
| JNJ | Johnson & Johnson | 13.0% | +32.7% | Core | Verified — JNJon / JNJx |
| ABBV | AbbVie | 12.0% | +14.1% | Core | Verified — ABBVon / ABBVx |
| ISRG | Intuitive Surgical | 10.0% | -33.8% | Core | Verified — ISRGon (Ondo) |
| NVO | Novo Nordisk | 10.0% | -10.7% | Core | Verified — NVOon (Ondo) |
| REGN | Regeneron | 4.0% | +9.8% | Satellite | Verified — REGNon (Ondo) |
| VRTX | Vertex Pharmaceuticals | 4.0% | +23.1% | Satellite | Verified — VRTXon (Ondo) |
| HIMS | Hims & Hers | 4.0% | -14.2% | Satellite | Verified — HIMSon (Ondo) |
| UNH | UnitedHealth | 4.0% | +18.8% | Satellite | Verified — UNHon / UNHx |
| MDT | Medtronic | 4.0% | -4.0% | Satellite | Verified — MDTon / MDTx |
| ABT | Abbott | 4.0% | -11.1% | Satellite | Verified — ABTon / ABTx |
| AZN | AstraZeneca | 4.0% | -11.5% | Satellite | Verified — AZNon / AZNx |
| PFE | Pfizer | 4.0% | +15.3% | Satellite | Verified — PFEon / PFEx / dSPFE |
| TMO | Thermo Fisher | 4.0% | +2.7% | Satellite | Verified — TMOon / TMOx |
| MRK | Merck | 4.0% | +42.4% | Satellite | Verified — MRKon / MRKx |
| 15 lines shown | 100.0% | ||||
Weights are indicative launch targets. Every line is an identified ticker, verified as available in tokenised form from an approved issuer.
Weighting
Weighting methodology
5 Core holdings = 60% of the index, ranked 15/13/12/10/10 with a 15% single-name cap; 10 Satellites share the remaining 40% equally at each reset. Full reset to target weights only at reconstitution; between reviews weights float inside drift bands and breaches are corrected to the band edge, not to target. Per-theme parameters (P7): semi-annual reconstitution and semi-annual band check, Core ±5% absolute, Satellite 25% relative — the lowest-turnover theme of the series. All fifteen constituents are verified as tokenised shares, so the index is fully invested with no cash buffer.
Download the full methodology (PDF)
The full build and rebalancing document for Healthcare Innovation Index (XTHC).