BBP vs GNOM

BBPAVirtus Biotech ETF

GNOMDGlobal X Genomics & Biotechnology ETF

In short

BBP Biotech, minus the coin flips. BBP tracks an index of US-listed biotech companies that already have at least one FDA-approved therapy, so the basket leans commercial-stage instead of clinical-trial hopefuls.

GNOM Most biotech ETFs buy the whole drug industry. GNOM buys the genome: gene editing, sequencing, genetic therapies, computational genomics. About 50 global names, one idea, no hedging.

Stated mandate

BBP The fund seeks to track the LifeSci Biotechnology Products Index, which consists of U.S.-listed biotechnology stocks with at least one FDA-approved drug therapy.

GNOM GNOM seeks to track, before expenses, the performance of the Solactive Genomics Index by investing in companies positioned to benefit from advances in genomic science, including gene editing, sequencing, genetic therapies, computational genomics, and biotechnology.

Why people hold it

• BBP The screen does the heavy lifting: index membership requires at least one FDA-approved drug therapy, which filters out pre-approval story stocks.
• 0.34% a year undercuts the biotech cohort median of 0.50% and sits below IBB's 0.44%.
• Running since 2014 and spread across roughly 200 US-listed names, so one approval or rejection does not decide the whole basket.
• One of the stronger builds in its biotech and genomics peer group, with a portfolio that stays close to the index it promises.

• GNOM A genuine pure play. The index targets companies tied to advances in genomic science (gene editing, sequencing, genetic therapies), not the broad pharma complex most biotech funds hold.globalxetfs.com
• Concentrated on purpose: roughly 50 holdings, global reach. The theme drives the fund instead of being diluted by megacap drugmakers.globalxetfs.com
• Running since 2019, it is one of the older dedicated genomics baskets, with a multi-year record through a full cycle in the theme.

Worth knowing

• BBP Thinly traded and modest in size next to the category's household names. Spreads can widen, which makes limit orders the safer habit.
• Income is not the point here. The fund has not been paying distributions, so the return story is price.
• An approved drug filters risk, it does not erase it. This is a single-sector biotech basket, and sector drawdowns hit everything in it.

• GNOM The narrow screen costs more: 0.50% a year, against 0.44% for IBB, 0.35% for XBI and 0.19% for IBBQ, which own biotech broadly.
• Thinly traded next to the big biotech funds. Limit orders and mid-session trading matter more here than with a household-name ETF.
• Small, clinical-stage genomics names swing hard, and with about 50 holdings there is nowhere to hide. Volatility is the price of the pure theme.

Full BBP profile⁠

Full GNOM profile⁠