Category: Healthcare

Healthcare

For the first time in history, the number of Canadians aged 65 and over has exceeded the number of children. For example, Canada’s total population has grown at an annualized 1.06% for the past five years. Canadian people aged 65 years and older have increased at an annualized rate of 3.81% while Canadian people under 65 years-old have increased at an annualized rate of 0.58% over the same time period. Within the next two decades, it is estimated that the number of people over the age of 65 in Canada, as well as in Saskatchewan, will rise growing to almost 25% of the population.1

Canadians on average have been getting older for decades. As the baby boomers aged over the past 60 to 70 years, their demands have fueled the growth of many new industries and created a number of opportunities for investors and entrepreneurs in everything from electronics, retailers, music, movies and information technology. Now that the baby boomers are moving into their senior years the attention has switched to their demands for healthcare.

While much of the healthcare industry is government owned and operated, there are a number of profitable ways to privately invest in healthcare. First, there are opportunities to invest in healthcare infrastructure, medical manufacturers and suppliers, and some private medical services. Second, there are opportunities to invest in healthcare-related new ideas. These include new drugs and therapies, chemical and mechanical diagnostics, and mechanical improvements for services. The aging population represents a significant increase in the demand for healthcare and a need for increased capacity.

1Statistics Canada, 2016

Provided below is an example of a Healthcare investment within Westcap’s portfolio: