Life sciences is a hub of dealmaking activity. Over the past year, more than 30 transactions valued at $1 billion or more have crossed the finish line. But the picture in other segments of healthcare is more mixed. At RBC Capital Markets’ Global Healthcare Conference in New York, Darren Campili, Global Head of Healthcare Investment Banking, hosts colleagues David Levin, Ahmed Attia and Jason Levitz to explore what's driving deals and where the opportunities are heading.

Key Points

• Healthcare M&A is strong, with a surge of high-value deals in life sciences.
• Equity performance is challenging, but investors in life sciences and biotech have seen good outcomes.
• IPO activity has rebounded; again, life sciences and biotech are most successful.
• Dealmaking has been largely unaffected by regulatory uncertainty, though challenges remain on reimbursement and MFN pricing.
• Larger companies believe they have the edge in using AI for profitability and competitiveness.

• Introductions [00:25]

Host Darren Campili, Global Head of Healthcare Investment Banking, introduces the podcast and guests: David Levin, Co-Head of U.S. M&A; Ahmed Attia, Managing Director, Healthcare M&A; and Jason Levitz, Head of Healthcare Equity Capital Markets.

• M&A strength in healthcare [01:11]

The M&A market in life sciences is extremely strong. The number of $1 billion-plus deals has tripled in the past year. There has been significant activity among mid-caps as well as large-cap companies, and a diversity of premiums.

• Healthcare in the equity markets [13:24]

In the broader context of the U.S. equity markets, healthcare is performing poorly, particularly among large-cap medtech and services companies. At the same time, life sciences and biotechs are outperforming, leading to diverse outcomes for investors.

• IPO activity [15:20]

IPO volumes have rebounded after some disappointing years. Deal flow has centered on oncology, I&I, and CNS.

• Political impact [24:15]

Dealmaking has continued despite uncertainty over the FDA. Tariff policy has been a net positive for U.S. inflows as pharma businesses seek U.S. capabilities. Managing reimbursement and Most Favored Nation pricing remains challenging for some.

The markets’ wild ride continues, with valuations defying high volatility. How long can the ‘up crash’ last, and what factors might bring about a correction? At RBC’s Global Energy, Power and Infrastructure Conference, Callie Simpkins, Managing Director, Cross-Asset Hedge Fund Sales, discusses the potential scenarios with Lori Calvasina, Head of U.S. Equity Strategy, and Amy Wu Silverman, Managing Director and Head of Derivatives Strategy.

A deal to end the U.S.-Iran war is constantly talked up, but has yet to materialize. Meanwhile, market reaction doesn’t seem to match “the biggest physical energy disruption in history”, as Helima Croft, Global Head of Commodity Strategy, describes it. At RBC’s Global Energy, Power and Infrastructure Conference, Helima considers the prospects for a deal and what it would take to restore global oil flows once the Strait of Hormuz reopens.

Key Points

• Strong inventories and stockpile releases have so far contained oil prices despite the ongoing Iran conflict.

• The market continues to respond to repeated signals of an imminent end to the war.

• Restoring normal levels of oil flow after the Strait of Hormuz is reopened may take months.

• Issues over Iran’s nuclear program and sanctions relief will be obstacles to a lasting deal.

• Introductions [00:05]

John Soughan, Assistant Vice President of Global Commodity Strategy and MENA Research, introduces Helima Croft, Global Head of Commodity Strategy, in a session at RBC’s Energy, Power, and Infrastructure Conference.

• Stockpiles limit disruption impact [00:25]

The U.S.-Iran war has created history’s biggest physical energy supply disruption. So far, robust inventories and stockpile releases have provided a buffer, but shortages will become more evident in coming weeks.

• Peace agreement fails to emerge [03:41]

The White House has repeatedly suggested a resolution is imminent. Each time the market responds with a sell-off. But a deal has yet to materialize. The IRGC controls shipping in the Strait of Hormuz and is not anxious to reach an agreement.

• Nuclear issues will impede deal [05:56]

Nuclear capabilities and sanctions relief will be obstacles to any lasting deal. Even when the Strait of Hormuz is reopened, oil flows will be significantly lower than before the war began, because shippers and insurers will be reluctant to use it.

• Oil flows will take months to restore [09:41]

The CEO of ADNOC has indicated it would take four months after reopening to return to 80% of pre-war oil flows.

Psychedelics are poised for a breakthrough in mainstream psychiatry, with high interest among physicians and patients alike. But does the infrastructure exist to deliver these treatments, given the clinical supervision required for administration? RBC’s researchers have been out in the field to find the answer. Brian Abrahams, Head of Global Healthcare Research, and Leonid Timashev, Biotechnology Analyst, reveal their findings on the practicalities of a psychedelics roll-out.

Key Points

• Patient and physician interest and favorable regulation signal an imminent breakthrough for psychedelics to treat mental ill-health.
• April’s Presidential order on accelerated research and access for veterans with PTSD is also supportive.
• Psychedelics raise challenges for clinical trials, but companies are finding ways to handle these.
• RBC’s research indicates existing clinic infrastructure is equipped to deliver psychedelics with the required clinical supervision.
• Introductions [00:06]

Host Joe Coletti introduces the podcast and guests: Brian Abrahams, Head of Global Healthcare Research, and Leonid Timashev, Biotechnology Analyst. The springboard for discussion is the case made in the recent RBC Imagine report that a transformation in mental health treatment is imminent.

• Pivotal moment for psychedelics [01:06]

Psychedelic drugs have the potential to deliver effective treatment for huge unmet patient need. Expert opinion at an RBC symposium indicates high physician interest, favorable pricing and reimbursement dynamics, limited generic risk, and an increasingly clear regulatory path.

• Executive order on PTSD [05:06]

The recent Presidential executive order, sanctioning accelerated research and access in this field specifically for veterans with PTSD, is another tailwind.

• Risks and challenges [06:22]

Psychedelic drugs raise specific challenges in clinical trials, but these are surmountable. The biggest concern for investors is the capacity to commercialize psychedelic treatments at scale, given the need for clinical supervision.

• Infrastructure for delivery [07:48]

RBC’s research, based on clinics already delivering Spravato, suggests psychedelic treatments could be launched within existing infrastructure. Patients are enthusiastic; clinicians are already preparing for delivery.

Listen and subscribe to Strategic Alternatives on Apple, Spotify, or wherever you get your podcasts. If you enjoyed this episode, please leave us a review and share the podcast with others.

Sterling markets have had a rough ride over the last few weeks. In part this is against the backdrop of the oil price shock, but it is also due to the domestic political uncertainty that has once again come to the fore. Peter Schaffrik, Head of UK/European Rates & Economics, and Cathal Kennedy, Senior UK Economist, unpick the difficult situation, provide a view on the outcome of the recent turmoil along with an outlook on what the political landscape in the UK might look like in the months and years to come.

Once defined by low-cost index exposure, ETFs are increasingly used to deliver active strategies, structured outcomes and targeted portfolio solutions across global markets. In this episode, Bryan Johanson, Head of North American Client ETF Markets, and Valerie Grimba, Global ETF Strategist, examine how innovation, market structure and investor demand are redefining what ETFs can do – and what comes next.

The global banking sector is navigating a crosscurrent of geopolitical uncertainty, a historic regulatory reset, and powerful structural forces — from AI adoption to the rise of private credit and stablecoins. In this episode, Gerard Cassidy and Anke Reingen, Co-Heads of Global Financials Research at RBC Capital Markets, discuss where U.S. and European banks stand today and what investors should be watching next.

• Banks’ fundamentals are strong, but the sector is vulnerable to sustained high oil prices.
• Smaller regional banks are outperforming the market.
• AI deployment, consolidation, and a resilient credit outlook are growth drivers.
• U.S. regulators are supportive; European regulation is softening to match.
• U.S. commercial loan growth is accelerating, supported by tax changes.
• Investment banks are posting growth and could benefit from a revival in IPOs.

Chapter markers:

• Introductions [00:07]

Host Joe Coletti introduces the podcast and guests: Gerard Cassidy and Anke Reingen, Co-Heads of Global Financials Research. They discuss the strong underlying fundamentals of the banking industry, despite continuing risk from prolonged war in the Middle East.

• Growth Drivers [06:58]

AI deployment, the growth of stablecoins, and continuing consolidation are among the main structural themes driving growth. Loans to NFDIs are a potential concern but banks are less vulnerable than the private credit sector.

• Regulation [13:30]

U.S. regulation is pro-bank, and the easing of capital requirements will feed balance sheet growth, dividend payments, acquisitions, and stock buybacks. Proposed regulation in Europe may soften to ensure its sector is not disadvantaged.

• Lending Volume [18:15]

Commercial loans, bolstered by tax changes, are the biggest element of U.S. loan volume growth. Incentives in Europe also boosted corporate loans, but confidence has since declined.

• Investment Banks [22:48]

Deregulation is strengthening the deal pipeline for investment banks. A rush to M&A before the end date of the U.S. administration could benefit them further.

From fragmenting global power to widening gaps in health and wealth, disruptive forces are reshaping industries, economies and societies. RBC’s latest Imagine research identifies five new converging themes and analyzes how they might play out. In this episode, Nik Modi, Global Co-Head of Consumer Research, and Robert Kwan, Head of Global Power Utilities and Infrastructure Research, look ahead to the implications for policy, trade, and individuals.

• Five new forces of exponential change are explored in RBC’s latest Imagine research.
• These cross-sector trends are reshaping individual consumer experiences as well as geopolitics.
• Transformative technologies are starting to revolutionize production and supply.
• Geopolitical convulsions provide an opportunity for North American energy export.
• Businesses need to adopt strategies to stay resilient and thrive in this dynamic environment.

Chapter Markers

• Introductions [00:10]

Host Joe Coletti introduces the podcast and guests: Nik Modi, Global Co-Head of Consumer Research, and Robert Kwan, Head of Global Power Utilities and Infrastructure Research. They summarize the RBC Imagine research project and the latest update, which identifies five new globally transformative forces.

• Consumer Experience [05:53]

The convergence of global forces is set to impact consumer experience and behavior, including through greater personalization. Retail and commerce can respond by transforming their business models.

• Tech and Energy [12:59]

Speed to market is driving datacenter development as technology growth and energy constraints converge. The aftermath of the Iran war provides opportunity for North America, and particularly Canada, to export more energy to countries that have relied on the Middle East.

• Responding to Cross-Sector Forces [14:11]

Companies can build resilience through measures such as partnerships, supply chain remodeling and employee training. Cross-sector opportunities are emerging from increasing energy demand.

Developments in technology, sustainability, and global competition will reshape financial institutions. In a conversation at RBC Capital Markets’ Global Financial Institutions Conference, Dr. Bettina Orlopp, CEO of Germany’s Commerzbank, explains her organization’s approach to these forces.

What will be the long-term economic impacts of the war in the Middle East? And how will markets look when attention finally returns to the beleaguered software and private credit sectors? At RBC Capital Markets’ Financial Institutions Conference, Head of Equity Derivatives Strategy Amy Wu Silverman and U.S. Equities Macro Thematic Specialist Ben Fisher analyzed the likely effects of volatility on multiple fronts.