The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Kilkenny Capital Management: Biomedical long/short fund profits from US healthcare mispricings

Michael Walsh of hedge fund Kilkenny Capital Management talks to Helen Avery about the fund’s melding of information about medical innovators’ development and sales processes with finance theory to assess biotechs’ future value.

Michael Walsh of hedge fund Kilkenny Capital Management

Michael Walsh is a biochemist with training in corporate finance from working at Robertson Stephens and Drexel Burnham Lambert. So he is in a very good position to be running a biomedical hedge fund. For the past 11 years he has been doing just that at Kilkenny Capital Management. Kilkenny manages a long/short biomedical fund following more than 250 companies in the high-margin biomedical space. It’s a good market to be in. According to Walsh, the number of biotech companies has tripled in the past 10 to 20 years. Healthcare spending in the US now accounts for 16% of GDP, and about 10% of this expenditure is in the innovative biomedical sector. Demographics in the US suggest that there will be further growth in the area. “Most healthcare costs occur in the later years of a person’s life,” says Walsh. “Healthcare spending in the next few years will become a seriously growing portion of GDP as the baby boomers get older. Developments in molecular biology will foster unprecedented innovation, thereby fuelling a greater share of spending in healthcare.”

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree