Emerging Nations May Represent the Future of
Health Care, Says Turner Investment Partners
Commentary
Emerging Nations Like China and India “Appear Poised to Shake up the Established Order in the World’s
Health-Care Markets”
September 01, 2010 12:16 PM Eastern Daylight Time
BERWYN, Pa.--(EON: Enhanced Online News)--In this decade, most of the growth in sales of health-care
products and services should come from the world’s emerging nations, according to the latest Sector Focus
commentary by Turner Investment Partners. In fact, emerging nations like China and India are expected to buy those
products and services at a rate at least twice that of developed nations like the United States and Japan.
Turner, an investment firm based in Berwyn, Pennsylvania, publishes Sector Focus commentaries monthly as part of
the continuing efforts of its five analyst teams to monitor the market sectors for its growth-stock portfolios.
Entitled In health care, the future may belong to emerging nations, the piece was written by Turner’s health-care
sector team: Theresa Hoang, security analyst; Heather Flick McMeekin, portfolio manager/security analyst; Vijay
Shankaran, portfolio manager/security analyst; and Frank Sustersic, senior portfolio manager/security analyst. They
cite research that predicts the E7 emerging nations -- China, India, Brazil, Russia, South Korea, Mexico, and Turkey
-- will experience growth in drug sales at an annual rate of 10.7% in the 2010s. In contrast, drug sales in the U.S.,
Western Europe, and Japan are each likely to grow at a compound annual growth rate of less than 3% during that
time.
The authors give three reasons for the growing health-care markets in emerging nations: rising gross domestic
product, expanding health-care coverage, and aging populations. Specifically, expanding per-capita GDP and
increases in health-care spending typically go hand-in-hand in emerging nations. And, as governments grow, they
tend to increase health-insurance coverage as part of a “bigger s