The Rise in Healthcare Investments: 8 Facts and Stats to Know

by Alan Hymowitz, Managing Director

As the initial shock of the COVID-19 pandemic began to subside, investing in healthcare went in the opposite direction. We saw and continue to see private equity firms and search funds investing more and more money into healthcare, with no indication that this trend is slowing down.

What’s fueling these investments? Where is the money going? How much money is being invested? Let’s answer these and other questions about the increase in healthcare investments by looking at eight facts and statistics.

  1. New innovations and advances. Over the past few years, we’ve seen new innovations in many healthcare sectors, including telemedicine, home health, pharmaceuticals, and biotech. Such new innovations are attractive to investors, especially when they see meaningful adoption rates and have a demonstrable impact on one or more of outcomes, financial performance, staff efficiency, and other areas of healthcare operations.

On top of the new innovations, many healthcare sectors experienced substantial advances. Among them: mental health, artificial intelligence, virtual care, remote physiological (patient) monitoring, and digital behavioral health.