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SLIDE 2 Bionics Certificate
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Investment Case
➢ Innovations in the fields of medicine, artificial intelligence, robotics and sensors are finally giving a new life to medical technologies and are making human enhancement a reality ➢ Bionics, which is taking on human body dysfunctions and disabilities and, more globally, helping improve the wellness and lifespan of the world population, benefits from long-term drivers:
✓ an ageing world population and a shortage of donated organs ✓ major technology breakthroughs leading to an impressive product pipeline ✓ an improving outlook for the reimbursement of bionic devices by insurers or health agencies
➢ Bionics is not only about next-gen prosthetics, it also covers artificial organs, wearable devices, surgical and medical robots, synthetic biology, biotechnology and artificial intelligence
Bionics Certificate details
✓ Issuing bank: Natixis, Calculation agent: Natixis SA ✓ ISIN: XS1317063912 ✓ Currency: USD ✓ Fees: 1.65% management fee + 15% performance fee, high water mark ✓ Bloomberg ticker: NXSRBION
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Bionics Certificate
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Bionics Is The Merger Between Biology And Electronics
Leveraging on Life mechanisms Fixing our body dysfunctions
➢ Replacing limbs and organs ➢ Using them for specific purposes ➢ In particular for surgery ➢ Monitoring metabolism
Seconding humans Improving health
Bionics Certificate
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➢ According to the UN, the population aged 60 years or over will grow from 962M in 2017 to 2.1Bn in 2050, while the population >80 years old will grow from 137M to 425M ➢ The bulk of the growth comes from Asia: 66% growth of people >60 years old
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Elderly Population Increasing Exponentially
Bionics Certificate
SLIDE 6 We Are Living Longer But Not Necessarily Better
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About 15% of the global population has a disability 1.3 billion people are visually impaired 466 million people have disabling hearing loss >120k people in the US are waiting for lifesaving
transplants
Source: AtonRa Partners, WHO
Bionics Certificate
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➢ Medical technology innovations are made possible thanks to advances in: ➢ Research is performed on extending Moore’s Law by optimizing chip technology ➢ Quantum computing will further extend Moore’s law exponentially
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Chips Artificial intelligence Genetic Modification Precision Sugery 4D Printing Crowdsourcing Genomics Virtual Reality When Moore’s Law Comes To The Labs Nanotechnology
Bionics Certificate
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➢ The price of bionic devices has been unsurprisingly high until now (between $50,000 and $150,000 for an eye or limb device and surgery) ➢ Encouragingly, coverage by Medicare in the US seems to be heading in the right direction
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…But Likely To Gradually Expand As Benefits Outweigh Declining Costs
➢ Declining costs and social welfare: a major catalyst for expanded health coverage ✓ some of the technologies used will mature over the years and become less costly ✓ a bionic device can allow people to keep working and return to work more quickly
Health Coverage Of Bionic Devices Has Been An issue…
Bionics Certificate
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Bionics Expected To Grow At A Fast pace
CAGR 17-23
Artificial Organs & Bionics ($38.7B) Medical Robots ($17.6B) Exoskeletons ($2.8B) Wearable Medical Devices ($14.4B) Synthetic Biology ($37.2B) Healthcare 3D printing ($2.5B)
45.2% 27.7% 18.3% 7.5% 9% 22%
MedTech ($522B)
5.6%
AtonRâ Bionics
Source: Grand View Research, Marketsandmarkets, Mordor Intelligence, Chief Observer, Infoholic
A $113B MARKET BY 2023
Bionics Certificate
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Bionic Limbs Bionic Hearts Exoskeletons Bionic Ears Bionic Brains Bionic Eyes
The Bionic Man Is Now A Reality
Bionics Certificate
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➢ Synthetic biology is the engineering of biology: the synthesis of complex, biologically based systems which display functions that do not exist in nature ➢ While products that utilize synthetic biology are yet to be commercialized, this market is set to literally explode in the next few years driven by demand for improved drugs and vaccines ➢ Key constraints are mostly ethics and bio-security/safety, as synthetic biology can be misused
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Synthetic Biology: Making The Impossible Possible
Bionics Certificate
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➢ Surgical robots: console, surgical arms, monitoring systems ➢ Telemedicine Robots ➢ Artificial Intelligence applications for diagnosis, monitoring or learning new surgical procedures ➢ Rehabilitation robots, exoskeletons ➢ Robots working in sterile IV (intravenous) preparation rooms.
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Medical Robots – New Means For Better Medicine
Bionics Certificate
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➢ The first artificial organ was designed in 1943 to replace a deficient kidney: a dialyzer
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Artificial Organs Turning Into Everyday Wearable Devices
BIONIC BODY PARTS ➢ Today, 60-70% of human body functionalities can be artificially performed as demonstrated by Frank, the bionic man Bertolt Meyer designed in 2013
Bionics Certificate
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The Bionic Pancreas: a fully autonomous, dual-hormone system
Diagnostic Diagnostics Therapeutics Home Healthcare Telehealth
MiniMed 670G: closed loop system that self-adjusts to maintain the sugar level in range The Zephyr BioPatch: a FDA- cleared small device monitoring the vital signs
Bionics Certificate
Medical Wearable Devices: An Important Link In The Chain
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➢ Prosthetics are now on their way to offering real limb replacement… ➢ A cochlear implant does the work of damaged parts of the inner ear… ➢ A bionic eye complements impaired retinas… ➢ Sensors deliver electrical signals to the nervous system, enabling the brain to feel / hear / see
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The Advent Of Brain-Connected Prosthetics
Bionics Certificate
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16 Increased accuracy Safety checks
Benefits vs. Risks
Bionics Certificate
SLIDE 17 This report has been produced by the organizational unit responsible for investment research (Research unit) of AtonRâ Partners and sent to you by the company sales representatives. As an internationally active company, AtonRâ Partners SA may be subject to a number of provisions in drawing up and distributing its investment research documents. These regulations include the Directives
- n the Independence of Financial Research issued by the Swiss Bankers Association.
Although AtonRâ Partners SA believes that the information provided in this document is based on reliable sources, it cannot assume responsibility for the quality, correctness, timeliness or completeness
- f the information contained in this report.
The information contained in these publications is exclusively intended for a client base consisting of professionals or qualified investors. It is sent to you by way of information and cannot be divulged to a third party without the prior consent of AtonRâ Partners. While all reasonable effort has been made to ensure that the information contained is not untrue or misleading at the time of publication, no representation is made as to its accuracy or completeness and it should not be relied upon as such. Past performance is not indicative or a guarantee of future results. Investment losses may occur, and investors could lose some or all of their investment. Any indices cited herein are provided only as examples of general market performance and no index is directly comparable to the past or future performance of the Certificate. It should not be assumed that the Certificate will invest in any specific securities that comprise any index, nor should it be understood to mean that there is a correlation between the Certificate’s returns and any index returns. Any material provided to you is intended only for discussion purposes and is not intended as an offer or solicitation with respect to the purchase or sale of any security and should not be relied upon by you in evaluating the merits of investing in any securities.
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