Healthcare megatrends: 3 key observations

Here are three healthcare megatrends that are shaping the future of healthcare and investors should examine, according to a report by The Motley Fool.

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1. Adaptation to healthcare reform. The healthcare industry as a whole is still in the process of adapting to changes brought on by the Patient Protection and Affordable Care Act. Insurers, in particular, have had to adapt rapidly due to the implementation of the marketplace exchanges, which have made comparisons of health insurance pricing easier.

2. The evolution of personalized medicine/treatment. The push toward medicine that is customized to an individual’s genetic make-up is gaining strength. Hence, personalized diagnostic equipment and specialized medications are coming to the fore.

3. Consolidation. Recently, healthcare consolidation has been popular for a number of reasons. One reason for the increase in consolidation could be to mask a lack of organic growth, while another may be corporate tax evasion, according to the report.

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