Portfolio Manager Insights

Genetics is revolutionizing the treatment of cancer

Cancer treatment, long dominated by broad-brush treatments with serious side effects, is being reshaped by targeted therapies made possible by advances in genetics, says Fidelity’s Eirene Kontopoulos.

By: Eirene Kontopoulos
Updated: 10/19/2026
  • Advances in genetics, the study of genes and heredity, have led to targeted treatments for certain types of cancer that can avoid the serious side effects associated with more traditional therapies, according to Fidelity Portfolio Manager Eirene Kontopoulos, who believes companies leading this innovation have become attractive investments.
  • “With targeted genetic therapies, once-fatal diagnoses have been transformed into manageable chronic conditions, and I believe we’re just getting started in this promising field,” says Kontopoulos, who manages Fidelity Advisor® Biotechnology Fund. “Many people are now living 20 or even 30 years with cancer, while maintaining an excellent quality of life.”
  • In leading the industry-focused equity strategy, she follows an investment approach rooted in the belief that successful biotechnology investing requires a competitive edge in understanding the science behind therapies, the likelihood of clinical success and the size of the addressable market. She argues these factors can improve the probability of identifying value-creation opportunities. She emphasizes companies developing the most innovative therapies, where the benefits to society can far outweigh the costs to the health care system.
  • Kontopoulos says the emergence of genetically informed targeted therapies means that, in some cases, patients can receive a drug designed to specifically shut off the disease-driving mechanism, helping to extend both survival and quality of life.
  • “Chemotherapy and radiation were designed to kill cancer cells, but they also harm healthy cells and can weaken patients in various ways,” explains Kontopoulos, who holds a doctorate in neuroscience from Harvard Medical School. “Now, cancer patients can be tested to determine which mutation is driving the disease.”
  • For example, the five-year survival rate of chronic myeloid leukemia patients has jumped from 22% to about 70% with tyrosine kinase inhibitors, according to Kontopoulos. She also notes that the five-year survival rate for metastatic melanoma has more than doubled, from 16% to 35% or higher, through genetically guided immunotherapies.
  • Reflecting the growing impact of personalized medicine, one position Kontopoulos began building earlier this year was Revolution Medicines, a pioneer in precision small-molecule therapies targeting RAS-addicted cancers. Its recently approved RAS(ON) multi-selective inhibitor, daraxonrasib, directly targets active mutant RAS variants across several historically difficult-to-treat solid tumors, she says. The stock was a top-10 holding as of September 30, 2026.
  • “By effectively shutting off the underlying oncogenic driver present in about 90% of cases, I believe daraxonrasib has the potential to revolutionize the treatment of metastatic pancreatic ductal adenocarcinoma, currently one of oncology’s deadliest diagnoses,” she concludes.
Explore more on:
Active management Biotechnology Equity Growth Health Care Sectors
Featured Fund

Fidelity Advisor Biotechnology Fund (FBTIX)

Seeks to provide capital appreciation.

View fund Download factsheet

Related insights

View all
Portfolio Manager Insights
I’m focusing on the big AI infrastructure players
In seeking to capitalize on artificial intelligence (AI), Matt Fruhan is emphasizing the largest players while maintaining flexibility to adapt as market conditions evolve.
Portfolio Manager Insights
Investing in Brazil’s water future
Fidelity’s John Chow says Brazil's basic water and sewer systems demonstrate the stark infrastructure gaps the country is attempting to fix through private capital and legislative mandates.
Portfolio Manager Insights
Winds of change in Brazil
Fidelity’s Greg Lee believes Brazilian stocks appear poised for a resurgence following years of turbulence marked by political instability and economic uncertainty.

For specific fund information such as standard performance and holdings, please go to the "Funds Managed" link on this page.

Investment decisions should be based on an individual’s own goals, time horizon, and tolerance for risk. Nothing in this content should be considered to be legal or tax advice, and you are encouraged to consult your own lawyer, accountant, or other advisor before making any financial decision. These materials are provided for informational purposes only and should not be used or construed as a recommendation of any security, sector, or investment strategy.

Fidelity does not provide legal or tax advice and the information provided herein is general in nature and should not be considered legal or tax advice. Consult with an attorney or a tax professional regarding your specific legal or tax situation.

Past performance and dividend rates are historical and do not guarantee future results.

Investing involves risk, including risk of loss.

Diversification does not ensure a profit or guarantee against loss.

Sector funds can be more volatile because of their narrow concentration in a specific industry. Growth stocks can perform differently from other types of stocks and the market as a whole and can be more volatile than other types of stocks. Value stocks can perform differently than other types of stocks and can continue to be undervalued by the market for long periods of time. • Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments. • Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks, all of which are magnified in emerging markets. • In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation, credit, and default risks for both issuers and counterparties. • Lower-quality bonds can be more volatile and have greater risk of default than higher-quality bonds. • Floating-rate loans may not be fully collateralized and therefore may decline significantly in value. • The municipal market is volatile and can be significantly affected by adverse tax, legislative, or political changes, and the financial condition of the issuers of municipal securities. • The securities of smaller, less well-known companies can be more volatile than those of larger companies. • The funds can invest in securities that may have a leveraging effect (such as derivatives and forward-settling securities) that may increase market exposure, magnify investment risks, and cause losses to be realized more quickly. • Leverage can magnify the impact of adverse issuer, political, regulatory, market, or economic developments on a company. In the event of bankruptcy, a company’s creditors take precedence over the company’s stockholders. Although the companies that the fund invests in may be highly leveraged, the fund itself does not use leverage as an investment strategy. Changes in real estate values or economic downturns can have a significant negative effect on issuers in the real estate industry. In the event of bankruptcy, a company’s creditors take precedence over the company’s stockholders. Third-party marks are the property of their respective owners; all other marks are the property of FMR LLC.

935097.135.0
EEB2F95A447C4D16A20F086244A7813C