−7.3%
since Oct 7
The idea
I believe the real money in this AI era goes to whoever supplies the tools of discovery, not whoever happens to find the next breakthrough first. So instead of picking a winning lab or biotech, this basket owns the instrument makers, simulation and AI-for-science software firms, DNA reading and writing companies, and lab automation players that get paid regardless of which discovery succeeds. It spreads risk across dozens of names rather than betting on any single one, keeps a small cash buffer for pullbacks, and is meant to be held for years as this shift plays out.
What it owns
- These companies sell the foundational instruments, consumables and services that labs worldwide depend on for research and diagnostics, collecting revenue across nearly every discovery attempt. · Thermo Fisher ScientificIt is the largest seller of instruments, consumables and services to research and biopharma labs globally, collecting revenue on nearly every discovery attempt regardless of outcome., DanaherIt owns a diversified portfolio of life-science and diagnostics businesses that generate revenue as biology research and drug production scale, and it regularly acquires and improves tool companies that discovery work depends on., Agilent TechnologiesIt supplies chromatography, spectroscopy and analytical instruments that chemistry and biology labs use daily, plus the recurring consumables and services those instruments require., Waters CorporationIt dominates liquid chromatography and mass spectrometry tools with high-margin recurring revenue from consumables and installed-base maintenance in pharma and materials labs., BrukerIt sells advanced scientific instruments including NMR, mass spectrometry and microscopy systems that frontier research laboratories require for their most demanding work., RevvityIt sells reagents, instruments and software that life-science labs and diagnostics providers consume continuously as they conduct research and clinical work., Mettler-ToledoIt makes precision balances and measurement instruments found in virtually every laboratory and quality-control operation globally, essential tools for accurate experimental work.34%
- These companies sell software that lets researchers test designs and molecules computationally before building them, replacing some experimental trial and error with simulation. · SchrodingerIt sells physics-based simulation software that lets drug researchers test molecular candidates on a computer before synthesis, embodying computational drug design as an alternative to wet-lab work., Cadence Design SystemsIt is one half of the chip-design software duopoly and is extending its simulation-first approach into drug discovery and systems design across industries., SynopsysIt sells the design software that modern chip development cannot proceed without, and semiconductor design is now central to many discovery attempts., CertaraIt sells biosimulation software that models drug behavior in the body, allowing regulators and developers to replace some animal testing and human trials with computational predictions.19%
- These companies provide the tools and platforms that researchers use to generate, synthesize and analyze biological data at high speed and resolution. · IlluminaIt makes the machines that decode DNA sequences and collects revenue per sequencing run across a large installed base in research and clinical labs., Twist BioscienceIt synthesizes DNA to order on silicon chips, enabling biology researchers to begin experiments with inexpensive custom genes rather than natural sources., 10x GenomicsIt sells tools that enable researchers to analyze biology at the single-cell level, a resolution increasingly demanded across discovery work., Ginkgo BioworksIt operates a platform for engineering organisms and gets paid when companies outsource their biology research to its facilities rather than building internal labs., Pacific BiosciencesIt reads long DNA sequences accurately, capturing genetic information that short-read sequencers miss, and generates revenue as research budgets increasingly fund long-read methods.16%
- These companies make the sensors, cameras and test equipment that let engineers and scientists measure and observe phenomena across electronics, materials, and physical systems. · Keysight TechnologiesIt makes the test and measurement instruments that engineers use to develop new electronics, wireless systems and quantum hardware, getting paid on every attempt to advance physical technology., Teledyne TechnologiesIt makes sensors, cameras and measurement instruments that enable scientists and engineers to observe and quantify phenomena from subsurface to space., FortiveIt sells precision instruments and workflow software that industrial and healthcare operations depend on, capturing value from the growing need for measurement and data connectivity.13%
- These companies automate the handling, storage and testing of samples and products, scaling the throughput of discovery and manufacturing work. · AzentaIt stores, moves and manages the biological samples that discovery work generates through automated systems, scaling with the volume of experimental work., TeradyneIt tests semiconductor chips before shipment and sells collaborative robots that automate factory and lab processes, generating revenue as production and automation adoption grow.9%
- Cash9%