A 20-year investing horizon gives compounding the freedom to work its magic, smoothing out the bumps and capturing the long-run performance of global markets.

The good news for Australian investors is that the ASX offers world-class ETFs that provide instant diversification across many of the most innovative stocks and strongest economies on the planet.

If you're looking to set up a portfolio you won't need to tinker with for a very long time, the following three ASX ETFs are hard to beat.

iShares S&P 500 ETF (ASX: IVV)

When it comes to long-term wealth creation, it is hard to look beyond the US market.

The iShares S&P 500 ETF tracks the S&P 500 index, giving investors a slice of America's 500 largest stocks. These are the businesses driving innovation in technology, healthcare, consumer spending, and industrials.

This includes giants such as Microsoft (NASDAQ: MSFT), Nvidia (NASDAQ: NVDA), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOGL), Tesla (NASDAQ: TSLA), and Walmart (NYSE: WMT). These companies have shaped global consumer behaviour, created new industries, and consistently reinvested into product development and growth. For a 20-year investment horizon, it is arguably a must-have building block.

Betashares India Quality ETF (ASX: IIND)

India is increasingly being viewed as one of the world's most exciting long-term economic growth stories. With a young population, a rapidly expanding middle class, modernising infrastructure, and booming digital adoption, the country is expected to be one of the fastest-growing major economies for decades.

The Betashares India Quality ETF focuses specifically on high-quality Indian companies with strong fundamentals. Its portfolio includes leading names such as Infosys (NYSE: INFY), Tata Consultancy Services (NSEI: TCS), and HDFC Bank (NSEI: HDFCBANK). These are businesses benefitting from both domestic expansion and the global outsourcing boom.

India is still early in its economic development cycle compared to Western markets, meaning its long-term runway could be significantly larger. For Australian investors wanting emerging-market growth without taking on excessive risk, this fund offers a blend of quality, diversification, and future upside. It was recently named as one to consider buying by analysts at Betashares.

Betashares Global Shares Ex-US ETF (ASX: EXUS)

If you have your US exposure sorted, then it could be worth looking at the new Betashares Global Shares Ex-US ETF.

This ASX ETF gives investors exposure to more than 900 large and mid-cap stocks across 22 developed markets outside the US and Australia.

Its top holdings include ASML (NASDAQ: ASML), Roche (SWX: ROG), AstraZeneca (LSE: AZN), Nestlé (SWX: NESN), and SAP (ETR: SAP). These are global leaders in semiconductors, pharmaceuticals, consumer goods, and enterprise software.

This fund balances a long-term portfolio by reducing concentration in American technology stocks and increasing exposure to financials, industrials, healthcare, and consumer defensives. It was also recently named as one to consider buying by the fund manager.

The post The best ASX ETFs to buy and hold for 20 years appeared first on The Motley Fool Australia.

But Aussies also like to look at other indexes around the world as well. There's the S&P 500 Index (INDEXSP: .INX), and the NASDAQ-100 (INDEXNASDAQ: NDX) indexes for American shares.

And there's also the FTSE 100 Index (INDEXFTSE: UKX). The FTSE 100 measures the performance of the largest 100 companies over in the United Kingdom. It's this latter index that we'll be taking a closer look at today.

The FTSE 100 is an interesting case. Because, unlike the ASX 200, or the S&P 500 and Nasdaq, the FTSE 100 has not yet surpassed its pre-COVID highs.

How has the FTSE 100 performed in 2021 compared to the ASX 200?

So just to recap, the ASX 200 is currently up 10.53% year to date in 2021, including today's movements so far. What of the FTSE 100? Well, the FTSE is currently up 6.03% in 2021 as of today. It's also up 12.18% over the past 12 months, again not quite matching the ASX 200's 21.23% over the same period.

So why this underperformance compared to the ASX 200?

Well, to answer that question, let's check out the shares that make up the majority of the FTA 100's weightings right now. This data comes from BetaShares, the provider of the ASX's only FTSE 100 exchange-traded fund (ETF), the BetaShares FTSE 100 ETF (ASX: F100):

How have FTSE 100 shares performed lately?

Ok, so some interesting observations here. Firstly, you might see some familiar names here with BHP and Rio Tinto. These actually reflect these Australian companies' London listings (they are also both listed over in the United States). So yes, these two companies contribute to the ASX 200, as well as the FTSE 100.

You might also notice the FTSE 100's largest holding is none other than AstraZeneca, a company that most of us would probably be familiar with these days for obvious reasons. AstraZeneca shares have had a rather successful 2021 so far, gaining close to 14% year to date. However, the shares are also still down 3.34% over the past 12 months.

GlaxoSmithKline is also a pharmaceutical company (it's the face behind brands like Panadol). GSK is up slightly year to date, but down 12.3% over the past year.

Other than that, we see the consumer staples giant Unilever here (the company behind Lynx deodorant, Dove soap, Omo washing powder, and Lipton tea). Unilever shares are down more than 9% in 2021 so far, and down more than 13% over the past year.

We also see the oil giants BP and Royal Dutch Shell. Like ASX energy shares, these companies have been struggling over the past year or so. Both are up in 2021 so far but BP remains down over the past 12 months.

We also have a bank in HSBC (which stands for Hong Kong and Shanghai Banking Corporation). HSBC shares are up moderately in both 2021 and over the past year.

Rounding it out we have a couple of 'sin stocks' in Diageo and British American Tobacco. Diageo is the giant alcohol company behind famous brands like Johnny Walker, Guinness and Tanqueray. While British American Tobacco makes cigarettes and tobacco products (including the Winfield brand).

Diageo has been a top FTSE 100 performer, putting on gains of almost 18% in 2021 so far, and 21.7% over the past 12 months. British American Tobacco is in the red over both periods.

Foolish takeaway

So it's pretty easy to see where some of the FTSE 100's lacklustre performance has come from in 2021 so far. Unlike the ASX 200, the FTSE 100 is not concentrated heavily on banks and mining companies, although they are present.

Shares like Commonwealth Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP) have done most of the heavy lifting when it comes to the ASX 200's performance this year so far. In contrast, top FTSE shares like AstraZeneca and Unilever have performed far more poorly. As such, we can see what has made both indexes tick in recent times.

Still, every index tends to have its day in the sun, so who knows what the future might hold for both the FTSE 100 and the ASX 200.

The post How is the ASX 200 performing against the FTSE 100 in 2021? appeared first on The Motley Fool Australia.

At the time of writing, the CSL share price is $289.62 – 0.42% higher than yesterday's close.

The AstraZeneca vaccine has been a crown jewel for the biotech company since September, when it announced it was to manufacture the vaccine in Melbourne. The CSL share price has often reacted to news of the vaccine's use in Australia.

Despite numerous changes to Australia's use of the AstraZeneca vaccine, CSL is determined to keep manufacturing it in Australia.

Late last night, Prime Minister Scott Morrison announced adults of any age can now request the AstraZeneca vaccine from their general practitioner.

This follows last week's news that the Federal Government plans to phase out the AstraZeneca vaccine in coming months.

Let's take a look at the latest news from CSL and of AstraZeneca's position in the vaccine rollout.

AstraZeneca and the vaccine rollout

In the latest news of the use of the AstraZeneca vaccine in Australia, the Federal Government is implementing a new no fault indemnity scheme for doctors giving COVID-19 vaccines.

This means all Australians able to be vaccinated can request to get the AstraZeneca jab through their general practitioner.

Previously, Australians aged over 60 were the only cohort able to receive the AstraZeneca shot due to its side effects, which include a one-in-200,000 chance of potentially deadly blood clots.

Word from the Prime Minister of flexibility in the age restrictions comes only days after the Federal Government released its vaccine distribution projections. Originally given to states and territories, the projections outlined the government's plans to phase out the AstraZeneca vaccine.

That document stated that from October, states and physicians wanting additional AstraZeneca vaccines will have to specifically request their availability.

In comments published by The Australian, CSL declared it won't stop manufacturing the embattled vaccine. It stated it may instead ship those produced in Melbourne overseas, as demand from other countries is thriving.

Chris Larkins, senior vice president of operations for CSL's vaccine producer Seqirus, was quoted by the publication as saying:

[The previous decision to restrict who can receive the AstraZeneca vaccine] is very much an Australian decision, based on what's happening in Australia and the lack of any sort of real transmission of Covid, we've had governments calling us up from around the world saying 'we'll take it'.

Today may be an interesting day for the CSL share price. Major news of Australia's use of the AstraZeneca vaccine often inspires excitement from the market.

CSL share price snapshot

The CSL share price needs all the good news it can get after battling a tough 2021 on the ASX.

Currently, shares in CSL have gained just 1.5% year to date. However, the CSL share price has fallen 0.1% since this time last year.

The company has a market capitalisation of around $131 billion, with approximately 455 million shares outstanding.

The post CSL (ASX:CSL) share price up after new AstraZeneca advice appeared first on The Motley Fool Australia.

Shares in CSL Limited (ASX: CSL), Australia's only manufacturer of COVID-19 vaccines, may be in for an interesting year due to 2 key government initiatives.

This year's Budget has granted an additional $1.9 billion of funding to vaccinate Australians. Though, most of the announced changes regard the Pfister-BioNTech and Modena vaccines instead of the AstraZeneca plc (LSE: AZN) vaccine which CSL produces.

Further, the government has incorporated a patent box into this year's Budget.

Let's take a look at what the 2021/22 Federal Budget might mean for CSL shares.

CSL could rejoice from Australia's patent box

The Australian Government is the latest to introduce a patent box to encourage investment in the country's biotech companies.

The patent box will see biotech and medical company incomes from products made with Australian patents taxed at a rate of 17%. That's a decrease from the current tax rate of 25% to 30%.

The Government believes the patent box will encourage companies to conduct their research and development in Australia, as well as keeping their patents here afterwards.

CSL chief scientific officer Dr Andrew Nash had this to say this morning in the Sydney Morning Herald:

[The patent box is] an important reform and will help to ensure that the Australia of the future can more easily turn good science into products, professions, and local, advanced medical manufacturing capacity. It is an especially significant boost to the policy environment as the country navigates its way out of the pandemic.

Boosting vaccine rollout

The Federal Budget also includes another $1.9 billion of funding for the vaccine rollout.

The $1.9 billion includes $777.8 million to be spent over the next 2 years for the administration of COVID-19 vaccinations. Another $510.8 million will go towards the National Partnership on the COVID-19 Response, which will see states and territories also administering vaccines.

The remaining funding will go towards implementing, monitoring, and reporting the vaccine rollout; vaccine distribution, logistics, and storage; and a campaign to advertise the vaccination program.

In challenging news for CSL shares, the Government appears to be more focused on using mRNA vaccines like Pfister-BioNTech and Moderna. Prime Minister Scott Morrison said the Government was "better utilising the available stock of AstraZeneca doses" while announcing it had entered agreements to purchase 30 million doses of the Pfizer BioNTech vaccine. 

While this sounds like the Government might be starting to step away from AstraZeneca, the company is likely not to be banking heavily on AstraZeneca, no matter which vaccine the majority of Australians receive.

As The Motley Fool Australia has previously reported, CSL's exposure to vaccines isn't substantial, and its potential earnings from the AstraZeneca vaccine are small compared to its other business initiatives.

The Federal Budget also includes funding for the Department of Industry, Science, Energy and Resources, which will work with the Department of Health to set Australia up to manufacture mRNA vaccines.

It didn't state how much funding will go towards mRNA manufacturing due to commercial sensitivities.

The post What the Federal Budget could mean for CSL (ASX:CSL) shares appeared first on The Motley Fool Australia.

With CSL being the main manufacturer and distributor of the AstraZeneca vaccine in Australia, it would be interesting to know what the company makes of the latest figures.

Let's take a closer look at the data.

1 in 5 Australian women refuse to get vaccinated

Since Essential's previous poll, which was taken before news surrounding possible blood clotting side-effects in those under 50 surfaced, the number of people saying they would refuse to get vaccinated increased from 12% to 16%. This includes 20% of all women and 23% of all 18 to 34-year-olds. The 16% figure is still within tolerable levels to achieve herd immunity, it should be noted.

42% of respondents said they want to get vaccinated as soon as possible, while another 42% said they would prefer to wait for a time before receiving their vaccination.

The number who said they would be willing to have any vaccination is 37%. A further 3% said they would have the AstraZeneca vaccine but not the Pfizer Inc (NYSE: PFE) vaccine. Perhaps most concerning is the number of those people aged over 50 who said they would rather have the Pfizer vaccine than the AstraZeneca one.

As mentioned, those under 50 are not recommended to have the AstraZeneca vaccine. The government is also mandating that those over 50 should not be given the Pfizer vaccine if the AstraZeneca one is available. Nearly a third of respondents aged between 50 and 69 said they want the Pfizer injection, as well as 16% of those aged 70+. Men are much more likely than women to accept either vaccine (48% to 27% respectively).

What could this mean for CSL?

As no Australian consumers can buy vaccines directly (they are purchased by the Commonwealth to then be distributed to states, GPs, and other providers) it's possible CSL may not be greatly impacted by any hesitancy among Australians over the AstraZeneca vaccine. Furthermore, according to JP Morgan healthcare analyst David Low, as reported by The Sydney Morning Herald earlier this year:

CSL's exposure to vaccines is quite small especially after the University of Queensland vaccine program was terminated. It's about the relative financial contribution – the potential earnings from COVID vaccines is modest compared with the group's other business lines.

On the other hand, the government has already responded to public sentiment and changing health advice by recommending against those under 50 having the AstraZeneca vaccine. Motley Fool Australia has contacted CSL for comment.

CSL share price snapshot

Over the last 12 months, the CSL share price has decreased by around 12%. Shares in the company fell from $285.00 each at the beginning of the year to a 52-week low of $242.00 in early March. Since then, the CSL share price has partially recovered to its current level of $273.49. However, the company's shares are still trading almost 15% lower than their 52-week high of $320.42 reached in November.

CSL has a market capitalisation of $124.5 billion.

The post Only 40% of Australians want the AstraZeneca vaccine. What could this mean for CSL (ASX:CSL)? appeared first on The Motley Fool Australia.

In part 1 of our interview, Platinum Asset Management portfolio manager Dr Bianca Ogden took us through her journey from working in healthcare to finance. Now in part 2, she uses that insider knowledge to pick 2 underrated stocks plus 2 others that will continue to bathe in sunshine.

Overrated and underrated shares

The Motley Fool: What's your most underrated healthcare share at the moment?

Dr Bianca Ogden: I've got several of them. So, there's always some. 

There is a company in the US called Coherus Biosciences Inc. 

It's a company that works in the biosimilar space. It has an approved product for a biosimilar that basically is taking share from one of the branded products that has come off patent. 

And it's got sales, it's got profits – it's doing quite well. But people get a bit bored and just say, 'Well, there's price competition. And they will kind of lose out in the end'. But what this company has done is build a pipeline. 

It's got a very interesting deal with a Chinese company called Junshi Bio. Essentially Coherus is the US arm now for Junshi. And I think over time, this company will have nice growth ahead of it.

But at the moment, the market doesn't find that very interesting. It's not a genomics company, it's not a gene therapy company or proteomics company. It's just a normal company that has built great commercial infrastructure. And it's going to plug in different products now to utilise that commercial infrastructure.

I've got another one in China. There's a company called CStone Pharmaceuticals. While other biotechs in China have done quite well, this one is kind of lagging – but it has a lot of interesting products to launch. Pfizer has a stake in it. So I kind of like it as it's off people's radar screen.

MF: What do you think is the most overrated stock at the moment?

BO: I tend not to have overrated stocks.

MF: Not even all the companies that are involved in COVID-19 vaccines – you wouldn't say they're overrated now?

BO: I own several of them. And to be honest, I think with mRNA, I think there is a different story to it as well. Yeah, I think there is a bit of excitement in that, but in the end, it's long term… Although we have sold out of Moderna Inc (NASDAQ: MRNA), we still have BioNTech SE (NASDAQ: BNTX) and others in there.

So, no, I wouldn't totally characterise that they're [too] hot because in the end, we will all have to have at some stage in our life, mRNA vaccines.

MF: Is it fair to say that the COVID-19 vaccines really put mRNA technology into the mainstream consciousness?

BO: We've been owners of this technology for quite some time, for a couple of years. But yeah, I think in the mainstream it's there [now].

I think we're probably now trying to work out how big can this class be and where can it go? There's a bit of work to go into it until we twiddle that all out. But yeah, I think it definitely is something that it has put itself on the map now as a modality, which is great.

MF: If the market closed tomorrow for 5 years, which stock would you want to hold?

BO: I would hold onto a company called Recursion Pharmaceuticals Inc. Recently listed. We have known this company for a little while.

That's a company that really is trying to industrialise drug discovery. And for me, in the next 5 years that will be an interesting one to hold. They have their work cut out, but I think they've done quite an interesting job of putting automation into drug discovery.

MF: Did you manage to buy some during the initial public offering?

BO: Yes, we did. So, we kind of know the team there. [The IPO price] was $18.

I think if this company sets out what they want to do, the sky's the limit. It is really to try to industrialise drug discovery, which we're seeing gradually.

Looking back

MF: Which stock are you most proud of from a past purchase?

BO: Look, I think most proud of, I think is probably mRNA. Did I ever suspect it would happen that way? No. But it's a classic example of how Platinum or how I do my work is I go where others don't really want to go. 

I remember me telling someone how I was excited about mRNA [during] Moderna's IPO and about BioNTech's in 2018, 2019. They looked at me and thought I was absolutely nuts. 

But look, we always try and get to know the management. What do they do? And how has it evolved over time? What mistakes have they made? What have they learned? And we did exactly that. And these guys have absolutely come through with the goods.

That is quite exciting to see. And it gives you confidence because you just think that, 'Well no, this is right how we do it' – and ignore the crowds. 

MF: In pre-pandemic days, would you fly to the US often to meet with management?

BO: I like to go and see the scientists in their habitat… Often biotechs are quite small, where you go and make your coffee or tea with the CEO, and you chat and you get to know them.

What I find fascinating is when they make mistakes – things fail often in this industry – how do you motivate your scientists to keep going and to just dust yourself off to do the next thing? 

I think you only get to know that when you spend a bit of time and see what the office looks like. Do they have vampires when you walk in? Do they make their own tea? 

MF: Is there a move that you regret from the past? For example, a missed opportunity or buying a stock at the wrong timing or price.

BO: I think in this field, there are always missed opportunities… There's so many great things happening.

MF: Yeah, you can't buy everything, can you?

BO: No. And you have to put that past you. But one of the biggest regrets I have is that you never have enough [invested], never invested or backed yourself fully. Because as a human, you always have some doubts. So you always try to plan. 

I think one of the big things is biotechs can blow up. So you always are probably more cautious. But I think one of the things that I've learned over the years is, you've got to back yourself and you've just got to keep getting better at it. You can't beat yourself up. 

For example, Daiichi Sankyo Co Ltd, we picked very early. Their division in oncology [was] really changing. We sold out too early, because we thought, 'Look, we doubled our money. That'd be fine'.

Same with AstraZeneca plc (LON: AZN). So, over time you get better at it, but the big thing is you got to learn from it and you got to assess it and just work on it.

MF: To a lot of retail investors, they would see the biotech or even the healthcare sector as 'high risk, high reward'. Is that a fair characterisation?

BO: I think if you don't invest for the long-term, yeah, you can look at it that way. [Some] of my best investments have also been companies that had a setback.

Given my experience… I kind of know when to go back in and when to say, 'Okay, they have a great R&D engine'. They can come up with the next [thing] – and it wasn't their fault, it was just a normal setback during clinical trials. That's what happens'.

And then you make your 300%, 400% return. So yeah, I can see that from the outside, but to me, no, I don't really see the volatility. 

It's never nice when something falls… But in the end, if there is a good foundation, good people and a plan B, these companies come good very quickly again.

The post 4 healthcare share tips from a fundie with a health PhD appeared first on The Motley Fool Australia.

The global biotech has been busy producing the AstraZeneca COVID-19 vaccine while attempting to combat plasma collection concerns. Could this be the catalyst for its recent share price rise?

What's driving the CSL share price higher?

Investors appear upbeat about the company's progress to address its current issues as well as its attempts to open up new opportunities.

As announced on 14 April, CSL has been focused on increasing its plasma-protein production through its launch of a global challenge. The company is inviting members of the public to submit innovative ideas on how it can maximise its production of Human Immunoglobulins G (IgG). The person who wins will receive a $40,000 reward along with 1:1 mentoring sessions with CSL Behring.

CSL certainly appears to be thinking outside the box and actively pursuing creative programs to overcome its plasma concerns. This comes against the backdrop of a COVID-19-related reduction in the collection of plasma, which is vital for the company's production of life-saving therapies.

In more recent news, the Australian Government's push to locally manufacture mRNA coronavirus vaccines is gaining media attention. However, United States drug titan Pfizer has dashed any hopes of securing a licensing agreement to locally produce its COVID-19 vaccine here in Australia in the short term. The company said that it's focused on existing vaccine manufacturing facilities across North America and Europe.

However, this hasn't stopped the Victorian Government from pledging $50 million for a plan to create a local mRNA vaccine manufacturing ability in the future. This would protect national supply and eliminate shipment blocks such as the recent Italian fiasco. Developing such a capability could take less than a year, provided CSL was on board.

Currently, the Morrison government has placed an order for 40 million doses of the Pfizer vaccine which is expected to be fulfilled by the end of 2021. As the Pfizer vaccine trickles in, the doses will be distributed to people under the age of 50 years old. The AstraZeneca vaccine has now been allocated for use in patients over 50 years of age due to rare, blood-clotting side effects seen in some younger people.

So far, almost 1.8 million Australians have received their first jab of the COVID-19 vaccine. CSL is contracted to fill a government order of 50 million doses of the AstraZeneca vaccine. It hopes to achieve local production of 1 million vials per week.

Foolish takeaway

It's been an eventful 12 months for the CSL share price, which has moved in peaks and troughs across the period. The company's shares rose to a high of $322.75 last April, before falling to 2019 lows of $242.00 this year.

Year-to-date performance has seen CSL shares register a drop of just 4% due to an uptick in investor sentiment. Over a 12 month period, its shares have slightly improved to record a fall of around 11%.

As the ASX's third-largest company by market capitalisation, CSL is worth $123.22 billion.

The post Why the CSL (ASX:CSL) share price has rebounded 13% since March appeared first on The Motley Fool Australia.

This comes as the country grapples with its delayed vaccine rollout caused by supply problems, logistical issues, and possible links between the AstraZeneca PLC (LSE: AZN) vaccine and rare blood clotting events for those under 50.

Verandas, vanities and vaccines at Bunnings?

Wesfarmers has "an open offer" to aid with the vaccine rollout at its Bunnings stores, according to a report in The Guardian today.

With 306 locations across Australia, each presumably fairly large in area, it could be useful in progressing the country's vaccination program. This is not the first time Bunnings has helped with the coronavirus response. It previously allowed some of its car parks to be used as testing facilities.

Bunnings chief operating officer Deb Poole told The Guardian the company would be happy to assist with the rollout any way it can.

"We've previously supported the government and the community by hosting COVID-19 testing in some of our store car parks, and we're always open to discussing further support directly with the government," Ms Poole said.

Bunnings has not formally approached the government with the proposal, nor has it been approached by state or federal leaders. Rather, the Wesfarmers subsidiary is open to assisting the government again if requested.

Professor Catherine Bennett, chair of epidemiology at Deakin University, told the publication the use of Bunnings car parks could "normalise the vaccination process".

The professor went on to say suburban and regional warehouse locations would also be ideal for providing the Pfizer Inc (NYSE: PFE) vaccine.

The Health Department says vaccination rates may need to be as high as 95% to achieve herd immunity and stop the virus from spreading.

Achieving herd immunity is not just important for people's health but also for the economy, and by extension, the S&P/ASX 200 (ASX: XJO).

Wesfarmers share price snapshot

At the time of writing, shares in Wesfarmers are swapping hands for $56.07, up 0.34%. Over the course of the past year, the share price has appreciated 53.8%. Just in the last month, the Wesfarmers share price increased more than 10%.

Alongside Bunnings, other Wesfarmers brands include Kmart, Officeworks, and Target. The company also has a minority interest in Coles Group Ltd (ASX: COL).

Wesfarmers has a market capitalisation of approximately $63 billion.

The post Wesfarmers' (ASX:WES) Bunnings open to hosting COVID vaccine hubs appeared first on The Motley Fool Australia.

At the time of writing, shares in the pharmaceutical giant are trading for $264.20, down 0.65%. By comparison, the S&P/ASX 200 Index (ASX: XJO) is 0.43% lower.

With the latest vaccine developments potentially impacting the country's return to post-COVID 'normal', the news may be behind today's downward trend across the stock market.

Let's take a closer look at last night's developments and how the CSL share price is responding.

New vaccine recommendation

In another blow to the Federal Government's delayed vaccine rollout (and the CSL share price), the Australian Technical Advisory Group on Immunisation (ATAGI) recommends but is not mandating an alternative vaccine to AstraZeneca for people aged under 50.

The recommendation comes as a possible, but extremely rare, causal link was found between the AstraZeneca vaccine and fatal blood clotting.

At the time of the country's most recent census, taken in 2016, Australia had just over 11 million people between the ages of 15 and 49.

In a statement yesterday, ATAGI said it made the decision after factoring in the risks and benefits of taking the vaccine in Australia, where there has been minimal community transmission of the disease recently.

In a press conference last night, Prime Minister Scott Morrison said the government would accept the expert group's recommendations. As AstraZeneca was supposed to supply more than 50 million doses of the vaccine, the vast sum of which were to be manufactured locally by CSL, the government conceded it would no longer meet its October deadline of every adult receiving their first vaccine dose.

Australia has already been plagued by supply issues caused by European nations blocking shipments of the vaccine into Australia. As a reminder, it takes 2 doses for an adult to be fully immunised against COVID-19.

Liberal MP Trent Zimmerman said the government's response to the vaccine was abundantly cautious but not an overreaction.

"What we've seen today is, following some advice and some analysis from our European friends, a very precautionary, an abundantly cautious approach, to the AstraZeneca vaccine," Mr Zimmerman told ABC current affairs show Q&A last night.

CSL and AstraZeneca Australia responses

In a press release, CSL responded to the developments, saying:

CSL remains committed to meeting its contracted arrangements with the Australian Government and AstraZeneca for locally produced AstraZeneca COVID-19 vaccines. We will continue our focused and important efforts to manufacture this vaccine which remains critical for the protection of our most vulnerable populations.

We are proud of our unique role in Australia as the only onshore manufacturer that can produce this vaccine and remain dedicated to our ongoing contribution towards this effort.

In defence of its product, AstraZeneca Australia said:

Overall, regulatory agencies have reaffirmed the vaccine offers a high-level of protection against all severities of COVID-19 and that these benefits continue to far outweigh the risks.

AstraZeneca has been actively collaborating with regulators and expert advisory groups around the world, including the TGA and ATAGI in Australia to understand the individual cases, epidemiology and possible mechanisms that could explain these extremely rare events.

CSL share price snapshot

The CSL share price has faced many challenges over the last 12 months, falling by 19.6% during that time. Just this week, Motley Fool Australia discussed 6 reasons why the CSL share price may be struggling.

At the time of writing, CSL has a market capitalisation of $120 billion.

The post CSL (ASX:CSL) share price dips on latest AstraZeneca news appeared first on The Motley Fool Australia.

The pharmaceutical giant, which produces and supplies the AstraZeneca PLC (LSE: AZ) COVID-19 vaccine in Australia, is trading close to its opening price after news that the UK medical regulator has found a "possible link" between the vaccine and blood clotting in younger adults. The regulator noted that blood clotting was considered a rare side-effect of the vaccine.

At the time of writing, the CSL share price is trading flat around $263 as Australian investors digest the news out of the UK.

What's driving the CSL share price?

The Medicines and Healthcare products Regulatory Agency (MHRA) released a statement overnight concluding the evidence of a causal link between blood clotting and receiving the AstraZeneca vaccine in low platelet individuals was stronger than previously thought, but not conclusive.

The agency said the risk of blood clotting decreased with age and was "extremely rare and unlikely to occur". 

Its statistics suggested the risk of developing a blood clot after the first vaccine dose was 1 in 250,000 (0.0004%) and the risk of a fatal blood clot was 1 in 1 million (0.0001%). Despite this, the UK will provide alternative vaccines to the under 30s if possible.

Our graphics to illustrate the potential benefits and potential harms of the AstraZeneca vaccine as announced by the MHRA this afternoon.

Benefits accrued over 16 weeks, at three different levels of exposure to the virus. pic.twitter.com/awB80xes3m

— Alexandra Freeman (@alex_freeman) April 7, 2021

The World Health Organisation (WHO) responded to the UK news, saying evidence of the link, while plausible, was not yet confirmed. It also noted the risk of catching and dying from COVID-19 was much higher than the risk of the vaccine.

What did our top doctor say?

Australia's chief medical officer, Professor Paul Kelly told ABC Radio:

There seems to be a trend in younger people and, at least in the European data in women being more common, but I would really stress these are extremely rare events and like with any treatment… we have to look at the risk and benefit.

And we do know that the benefits of vaccinations against this very serious diseases Covid is a really important component of our control…

Ultimately it will be a decision by the Australian Government about what that means for the vaccine rollout.

Australia's position

Australia is primarily relying on the AstraZeneca vaccine in the fight against COVID. The government has contracted CSL to develop the vaccine locally.

Both the imported and locally manufactured AstraZeneca vaccine have already been approved by the Therapeutics Good Administration (TGA).

Speaking about the developments this morning, Prime Minister Scott Morrison said Australia's medical experts would look at the data before making new recommendations to the government.

The Prime Minister also stressed the extremely low chances of people experiencing blood clotting from the vaccine. He advised that at present, the vaccine rollout would not be affected by the latest developments.

Motley Fool Australia reached out to CSL for comment, but none was received before publication.

The post CSL (ASX:CSL) share price wobbles on COVID vaccine news appeared first on The Motley Fool Australia.

According to the latest press release from AstraZeneca, the company has revised the vaccine's efficacy from 79% to 76%, following further analysis with an additional 49 symptomatic COVID-19 cases.

Details of the COVID-19 vaccine findings

After scrutiny from the US National Institute of Allergy and Infectious Diseases for purportedly out-of-date data in the original phase 3 preliminary study, AstraZeneca conducted a fuller analysis to lay any claims to rest.

The findings, which were published yesterday, included 32,449 participants. Of those participants, 190 were symptomatic with COVID-19. This provided the drug developer an additional 49 cases compared to its original analysis.

Following the double-blind placebo study, AstraZeneca found its vaccine to have an efficacy of 76% rather than the previous 79%. Notably, the vaccine was found to have a 100% efficacy against severe or critical disease and hospitalisation. Furthermore, for individuals aged 65 years or older, the vaccine proved to be 85% effective.

Perhaps most importantly, considering the swarm of allegations, the vaccine was well tolerated, and no safety concerns related to the vaccine were identified.

Commenting on the further substantiated results, Executive Vice President Mere Pangalos stated:

The primary analysis is consistent with our previously released interim analysis and confirms that our COVID-19 vaccine is highly effective in adults, including those aged 65 years and over. We look forward to filing our regulatory submission for Emergency Use Authorization in the US and preparing for the rollout of millions of doses across America.

Australia's AstraZeneca rollout in progress

The COVID-19 vaccine rollout continues in Australia. On Monday the government commenced phase 1B of the rollout. Phase 1B includes the following priority groups:

• Elderly adults aged 80 years and over
• Elderly adults aged 70 years and over
• Health care workers not vaccinated in phase 1A
• Aboriginal and Torres Strait Islander adults over 55
• Adults with a specified medical condition
• Adults with a severe disability who have a specified underlying medical condition
• Critical and high-risk workers including defence, police, fire, emergency services, and meat processing

The AstraZeneca vaccine was also recently approved by the Therapeutic Goods Administration (TGA) for local production by CSL Ltd (ASX: CSL) in Melbourne.

The biopharmaceutical giant sent out its first batch on Wednesday morning, containing 832,200 doses. Production is expected to ramp up as the company targets 50 million doses by the end of the year.

The post AstraZeneca COVID-19 vaccine trial data results in revised efficacy rate appeared first on The Motley Fool Australia.

At the time of writing, shares in the pharmaceutical giant are trading for $260.87 – up 2.44%. By comparison the S&P/ASX 200 Index (ASX: XJO) is up 0.66%.

Let's take a closer at the government's announcement.

CSL-made AstraZeneca vaccine will be used in Australia

The CSL share price is responding well to today's news. The Therapeutic Goods Administration (TGA) announced late on Sunday it had approved use of the CSL-manufactured AstraZeneca (LSE: AZN) COVID-19 vaccine in Australia. On 16 February, the TGA approved the use of the overseas-manufactured AstraZeneca vaccine.

The approval process has been at least 6 months in the making, according to the administrator. CSL announced a deal with the government back in September 2020 to manufacture the vaccine locally. The government has bought a total of 50 million doses of the AstraZeneca vaccine.

The vaccine will be produced at 2 factories in Melbourne. CSL-Behring Australia, in Broadmeadows, is manufacturing the active raw vaccine material. Vial filling and packaging is being completed at the Sequris (a CSL subsidiary) centre in Parkville.

The first batches of the vaccine are expected to be out in the community within days. The TGA will need to approve every batch before it can be injected into the populace, however.

Australia is currently in the 1b phase of its vaccine rollout. On top of frontline workers and residential aged-care facility residents, anyone over the age of 70, Indigenous Australians over 55, or any adult with an underlying medical condition are eligible for the vaccine. The federal government is administrating the rollout. Vaccine supplies are being provided to registered GPs, pharmacies, and medical centres for mass inoculation.

The approval comes at a critical time for the country. European Union countries have been blocking shipment of AstraZeneca vaccines made in its nations to Australia, with the continental government body citing rising COVID cases and lack of vaccine supply for its citizens.

CSL share price snapshot

Despite today's announcement, and its government tender, the CSL share price is down more than 3% on this time last year. In fact, the share price hit a 52-week low at the beginning of this month. The strong Aussie dollar hampered interim dividend payments to investors for the FY21 half-year.

CSL has a current market capitalisation of $118.4 billion.

The post CSL (ASX:CSL) share price up after AstraZeneca vaccine approved for use in Australia appeared first on The Motley Fool Australia.

The pharmaceutical company, known for producing medical cannabis products, is assessing whether its facilities would be suitable to manufacture the vaccines.

Let's take a closer look. 

Vaccine production ramps up

IDT Australia announced today it has been contacted by the Australian Government Department of Health. The company claims the department was inquiring about whether IDT Australia's Melbourne-based sterile facility could be used to supplement manufacturing of COVID-19 vaccines. 

Currently, the Federal Health Department states that CSL Limited's (ASX: CSL) Melbourne facility is the only manufacturer of the Oxford-AstraZeneca vaccine in Australia. It also states that the Oxford-AstraZeneca vaccine will be the only one to be produced in Australia.

COVID-19 vaccinations began rolling out in Australia on 22 February this year. At the time of writing, approximately 240,000 Australian's have received the vaccine.

More about IDT Australia

IDT, Institute of Drug Technology, is a commercial-scale pharmaceutical manufacturing and production company.

It specialises in manufacturing active pharmaceutical ingredients and finished form doses.

IDT Australia began manufacturing medicinal cannabis products in 2019 and, according to the company, it operates a leading facility in the medical cannabis manufacturing space.

IDT Australia share price snapshot

Following today's gains, the IDT share price is now trading at its highest levels since May 2016. 

Over the past year, IDT shares have risen by around 210%. The company's shares are also up by around 60% year to date however all these gains have occurred today. 

IDT Australia has a market capitalisation of around $44.4 million with approximately 240 million shares outstanding.

The post Why COVID-19 is launching the IDT Australia (ASX:IDT) share price 65% appeared first on The Motley Fool Australia.

Another part of the package is retention payments to Qantas and Virgin employees who would normally be working in the international flight segment of the business. Although previously undisclosed, Qantas has this afternoon confirmed further details.

At the close of trade today, the Qantas share price was trading down 0.73% at $5.41. 

Retention life raft replaces JobKeeper

Qantas confirmed further details of the JobKeeper replacement with The Australian Financial Review today. Australia's largest airline stated that workers in the international business will receive $500 per week to replace the soon-to-be phased out JobKeeper.

Payments are set to start from the end of this month. Around 8,600 workers will rely on the payment as international borders remain closed. The payments are set to be carried out until the end of October, which the government hopes will mark the restart of international travel.

Whether this program will be enough relies heavily on the COVID-19 vaccine rollout. Putting added pressure on the government, news broke earlier in the week of some countries halting rollouts. Reportedly, 16 European countries suspended the use of the AstraZeneca plc (LON: AZN) vaccine over fears it may cause blood clots in some recipients.

The government is also hoping everything opens up and is back in full swing sooner rather than later. The reason being Australia's large deficit is now risking the country's sovereign AAA credit rating.

Qantas share price recap

The Qantas share price has increased by nearly 90% in the last year. However, this is mostly down to how hard the share was originally hit by the pandemic.

The airline's share price is yet to return to its pre-pandemic highs. This seems logical given that passenger numbers are also still below the heights experience before COVID.

In Qantas' results for the half-year ended December, revenue was down a staggering 75%. Despite a strong focus on reducing expenses, the airline still reported a blowout loss of more than $1 billion.

Moving forward, shareholders will have their fingers and toes crossed for the vaccine rollout to move along. The faster immunisations are completed, the sooner people can plan their next getaway outside of Australia.

The post Qantas (ASX:QAN) share price slips on employee payment news appeared first on The Motley Fool Australia.

Studies conducted during the development of the vaccine, as well as observations during the public rollout, do not indicate any level of heightened threat.

With an effective vaccine distribution contributing to recent market confidence, could fears over the vaccine's safety impact the ASX?

Australian Government continuing vaccine rollout

Treasurer Josh Frydenberg said Australia will not pause the AstraZeneca vaccine rollout.

"[Australian health experts] have not found any causal link between the vaccine and blood clots," he told Sky News this morning.

"…the vaccine rollout will continue."

Similarly, Prime Minister Scott Morrison said the Therapeutics Good Administration (TGA) does not need to reconsider approving the vaccine. The PM has previously cited a thorough examination of the efficacy and safety of the AstraZeneca shot as a reason for Australia's slower than expected inoculation speed.

While the TGA has approved the imported AstraZeneca vaccine for use in Australia, it is yet to approve the locally manufactured variant. The CSL Limited (ASX: CSL) mass-produced vaccine will provide 50 million doses for Australia and its neighbours.

What a delayed rollout could mean for the ASX

The S&P/ASX 200 Index (ASX: XJO) is up 2,227 points (or 49%) since the coronavirus induced mass sell-off of March last year. Arguably, part of the reason for the strong recovery can be attributed to optimism that vaccines will lead to a quick end to the pandemic.

And European markets slid lower overnight as news more countries had suspended their vaccine rollouts spooked investors.

Again, the Australian government does not intend to pause the AstraZeneca vaccine in Australia and there is no evidence of direct harm caused by it.

However, the share market isn't always a rational beast. Any fears over a delay to the vaccine's rollout in Australia could scare off some investors here.

The economic impacts of COVID-19 and subsequent restrictions devasted some of Australia's largest companies, particularly those operating in the travel sector or those which are heavily reliant on open borders for their revenue.

It will be interesting to see whether ASX shares such as CSL, Qantas Airways Limited (ASX: QAN), Flight Centre Travel Group Ltd (ASX: FLT), and A2 Milk Company Ltd (ASX: A2M) see any fallout from reports surrounding the AstraZeneca vaccine when today's session kicks off.

The post Share market on watch over AstraZeneca vaccine fears appeared first on The Motley Fool Australia.

As countries globally rush to get their hands on an approved vaccine, tensions have developed. Considering it is a potential ticket to returned economic growth, some are prioritising their own jurisdictions first and foremost.

Not an issue for our vaccine rollout

Australian Health Minister Greg Hunt remarked that this decision by the EU would not impact Australia's COVID vaccine rollout:

This is one shipment from one country. This shipment was not factored into our distribution plan for the coming weeks. Domestic production starts with 1 million per week of deliveries from late March and is on track.

NSW Premier Gladys Berejiklian commented on the news this morning, emphasising the critical nature of local production:

I think what it demonstrates is the importance of us having a local supply. In the future, there will be supply issues. You need lots of jabs to be vaccinated properly, and therefore it's really important for us to be able to have our local supply.

The local supply these ministers refer to is coming from Australian-based CSL Ltd (ASX: CSL). Despite the emphasised importance of its operations this morning, the CSL share price is trending 2.6% lower. The biotech giant has now fallen for four consecutive sessions, erasing 8% in 4 days.

Domestic production of the AstraZeneca vaccine by CSL was expected to begin in early March. The company's production is anticipated to yield around 1 million doses per week by the end of March.

Ironic timing as first AstraZeneca vaccine administered

The EU's decision to block the 250,000 vaccines comes at an ironic time, as the first AstraZeneca dose was administered in Australia today.

An estimated 40 frontline staff at the Murray Bridge Hospital in South Australia will have received the vaccine by the end of the day.

The first AstraZeneca jab has been administered in Australia! This is Dr Caroline Phegan she's one of the frontline workers at the Murray Bridge Hospital to receive the vaccine. @abcadelaide @BreakfastNews pic.twitter.com/AlvMmFTDbc

— Sarah Mullins (née Hancock) (@sarahmullins) March 4, 2021

Premier Berejiklian also mentioned that she believed media coverage should pivot to reporting on the number of vaccines administered rather than the number of new cases.

Furthermore, with the COVID vaccine rollout underway, the premier urged for the reopening of borders. Otherwise, she said, Australia could be left in the dust economically.

The post Outsourced AstraZeneca blockade not an issue for local COVID vaccine rollout appeared first on The Motley Fool Australia.