Investing in Technology & Healthcare with RLST
The RBC Life Science and Technology Fund (RLST) bridges both sectors, giving investors access to growth across biotech, pharma, and tech leaders.
The saying ‘Health is Wealth’ expresses the notion that good health is invaluable. Yet, this phrase also holds a dual meaning when considered from an investment perspective, as the health sector has been a major contributor to wealth generation. The healthcare industry provides one of the widest varieties of investment options, such as biotechnology, medical devices, pharmaceuticals, medical equipment and supplies, and healthcare services. Moreover, the sector remains a steady source of innovation due to extensive research and development conducted by companies and organizations within the healthcare field.
Recently, the RBC Life Science and Technology Fund – ETF Series (Ticker: RLST), which invests in a broad range of U.S. companies across the life sciences and technology sectors, achieved a one-year performance record. This article will look at the underlying investment strategy for the fund and its value proposition for interested investors.
Looking below the surface
RSLT focuses on companies in the life sciences and technology sectors that are leading innovation in healthcare, biotechnology, and information technology, enabling investors to benefit from advances such as personalized medicine, AI-driven drug discovery, and transformative healthcare technologies. The fund is actively managed, allowing managers to adjust the portfolio to both capture emerging opportunities and established firms that have a proven history.
Since its inception to date (i.e., November 7th, 2025), the fund's investment approach has rewarded unitholders. Given that the fund’s focus lies at the intersection of technology and healthcare, notable firms such as Nvidia, Microsoft, and Apple are among the top holdings, while healthcare giants like Johnson & Johnson, UnitedHealth Group, Inc., and Eli Lilly & Co. are also part of the fund.
RSLT’s Value Proposition
For Canadian investors looking for an actively managed, growth-oriented solution, RSLT is worth consideration. The fund’s allocation to leading technology companies has benefited its performance thus far, with many of these firms positioned to maintain their leadership in the coming years and benefit from changes in the broader macroeconomic environment (i.e., lower interest rates).
Regarding healthcare, as reported by Bloomberg, merger and acquisition activity this year has risen significantly compared to the previous year, with over 400 biotech and pharma transactions amounting to approximately $111 billion announced industry-wide since the start of the year, exceeding the $71 billion recorded last year. Leading pharmaceutical companies worldwide are seeking new blockbuster drugs to offset revenue losses as exclusivity on key medicines expires. With healthcare firms actively pursuing growth opportunities, larger companies can identify and acquire smaller firms to expand their portfolios. In turn, solutions such as RSLT, which have exposure to larger healthcare firms, benefit from said corporate acquisition activity.
Takeaway
RLST provides a diverse selection of companies spanning multiple sub-sectors, from biotechnology firms to major technology corporations, helping reduce risk while benefiting from growth across several industries.
Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.
