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Biotechnology is a big opportunity. And China is a big market.
Combine the two and you have a biotech market – and big potential for investment profits.
Today I'm talking with Money Map Press Executive Editor William Patalon III about a big profit play in the Chinese biotech market.
It's a brand-new recommendation…
The Best Chinese Biotech Play
Bill Patalon: Michael, you and I both like the long-term potential of the "right" China-focused investments. And we're both big believers in the long-term upside for the biotech sector. You've told me about a stock that offers a "double-barreled" return by focusing on both of these opportunity/catalyst areas – China Biologic Products Inc. (Nasdaq: CBPO).
Let's start by telling folks what is it about biotech, and about China, that you like?
Michael Robinson: Well, Bill, I know that you – like me – have been following biotech for a long time. In fact, I believe you had the biotech beat at The Baltimore Sun.
BP: (laughing) You have a good memory, Michael.
MR: Well, I've been following biotech since the early 1980s, and I can tell you this emphatically: We've now reached the point where many of the innovations and breakthroughs that were on the drawing boards for years are finally coming to fruition.
That's why you see both small-cap and mega-cap biotech and Big Pharma companies coming out with so many new products over the past five years. And it's why there are hundreds more in their pipelines.
More to the point, the United States has an aging population, meaning folks need those drugs to improve their health and extend their lifespans, which continue to rise.
BP: Then there's China.
MR: That's right, Bill. Then there's China.
In China, we have a massive population of 1.3 billion people.
I mean, think about that.
BP: That's more than four times the 2014 U.S. population of 318.9 million. And for some additional context, China's middle class is bigger than the entire U.S. population.
MR: That's right, Bill.
BP: In fact, by 2022, according to McKinsey Greater China, that Asian giant could have a middle class of 630 million people. And it's all because of economic growth. That would represent 78% of all urban households, up from 68% in 2012 and 4% in 2000.
About the Author
Michael A. Robinson is one of the top financial analysts working today. His book "Overdrawn: The Bailout of American Savings" was a prescient look at the anatomy of the nation's S&L crisis, long before the word "bailout" became part of our daily lexicon. He's a Pulitzer Prize-nominated writer and reporter, lauded by the Columbia Journalism Review for his aggressive style. His 30-year track record as a leading tech analyst has garnered him rave reviews, too. Today he is the editor of the monthly tech investing newsletter Nova-X Report as well as Radical Technology Profits, where he covers truly radical technologies – ones that have the power to sweep across the globe and change the very fabric of our lives – and profit opportunities they give rise to. He also explores "what's next" in the tech investing world at Strategic Tech Investor.