Why telemedicine matters in today’s markets

August 18, 2020

Why telemedicine matters in today's markets

With the continued spread of COVID-19, many may ask themselves how we can be better prepared for such a catastrophic event in the future. On the front lines of an emerging outbreak, telemedicine is spurring a new way to care for patients.

As COVID-19 upends global supply chains, consumer confidence and the stock market, we believe there are connected health companies that will ultimately become stronger because of it. Telemedicine has been in existence for several years, but is coming to the forefront as a feasible solution as social distancing is enforced and as healthcare systems become stretched. This public crisis could bring a slew of new patients to adopt the valuable experience of a virtual examination. We think patient behavior is set to change and the telemedicine industry will penetrate deeper into the market for routine doctor office visits.

While telemedicine has been a critical alternative thus far, only a small percentage of the addressable population is utilizing it. Of the patients who have tried it, before COVID-19, 84% said they were able to completely resolve their medical concerns in the visit.1 In our ever-connected world, consumers are discovering they don’t have to wait in a doctor’s office to receive care.

Matthew Jenkin, senior research analyst healthcare and Kyle McDonough, research associate, Mellon.

Telehealth: Best Consumer Healthcare Experience You’ve Never Tried, Says J.D. Power Study. J.D. Power 2019 U.S. Telehealth Satisfaction Study. Accessed at: https://www.jdpower.com/business/press-releases/2019-us-telehealth-satisfaction-study Press Release.

All investments involve risk, including the possible loss of principal. Certain investments involve greater or unique risks that should be considered along with the objectives, fees, and expenses before investing.

Mellon is a global multi-specialist investment manager dedicated to serving our clients with a full spectrum of research-driven solutions. Mellon Investments Corporation (Mellon) is a registered investment adviser and an indirect subsidiary of The Bank of New York Mellon Corporation.

BNY Mellon Investment Management is one of the world’s leading investment management organizations and one of the top U.S. wealth managers, encompassing BNY Mellon’s affiliated investment management firms, wealth management organization and global distribution companies. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to reference the corporation as a whole or its various subsidiaries generally.

This material has been distributed for informational purposes only. It is educational in nature and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product.

Views expressed are those of the author(s) stated and do not reflect views of the other managers or the firm overall. Views are current as of the date of this publication and subject to change. This information contains projections or other forward-looking statements regarding future events, targets or expectations, and is only current as of the date indicated. There is no assurance that such events or expectations will be achieved, and actual results may be significantly different from that shown here. The information is based on current market conditions, which will fluctuate and may be superseded by subsequent market events or for other reasons. Forecasts, estimates and certain information contained herein are based upon proprietary research and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Certain information contained herein has been obtained from sources believed to be reliable, but not guaranteed. Investors should consult a legal, tax or financial professional in order to determine whether an investment product or service is appropriate for a particular situation. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission. Mellon and BNY Mellon Securities Corporation are subsidiaries of BNY Mellon.

Not FDIC-Insured | No Bank Guarantee | May Lose Value