U.S. healthcare stocks shielded from political pressures prove profitable

U.S. healthcare investors have found success this year buying stocks of companies whose products improve eyesight, treat pets and fix crooked teeth, all viewed as unlikely to fall victim to political and regulatory issues pressuring a wide swath of the sector.
The S&P 500 healthcare sector overall has underperformed the broader stock market this year. But a number of companies have posted standout returns even as healthcare reform and prescription drug pricing loom as hot topics with the 2020 presidential election campaign heating up.
The reason that people have been gravitating toward names like these is they feel more comfortable that they are less susceptible, said Teresa McRoberts, a portfolio manager who focuses on healthcare at Fred Alger Management in New York.