Biogen’s stock plummet shows the 'investment model in drug development is all wrong,' says former Aetna CEO.
Investors need to change their approach to investing in pharmaceutical companies that are working to develop life-altering treatments, former Aetna Chairman and CEO Mark Bertolini told CNBC on Friday.
"The investment model in drug development is all wrong," he said in an interview with"Squawk Box." Drugmakers such as Biogen are"doing research, they're doing applied science to try and find a way to commercialization. That's what they should be doing." As many as 5.5 million Americans over the age of 65 suffer from Alzheimer's, a progressive disease that often affects memory, thinking and behavior.
The biotech company joins a long list of companies that have failed to successfully treat the disease. Wall Street viewed Biogen's setback on Thursday as the industry essentially going back to the drawing board when it comes to curing Alzheimer.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Former Oath and AOL CEO Tim Armstrong is getting a $60 million payoutThe golden parachute includes $31.1 million founders award and $16.6 million he's expected to get in June.
Read more »
SEC charges Volkswagen and its former CEO with defrauding investorsSurprise charges from the SEC, filed late Thursday, come two years after Volkswagen settled with the U.S. over criminal and civil charges, as the company tries to distance itself from one of its darkest eras.
Read more »
Elizabeth Holmes: 6 burning questions about HBO's Theranos documentary 'The Inventor'Is disgraced Theranos founder Elizabeth Holmes a sociopath? 'The Inventor' director Alex Gibney answers all our questions about his new Theranos documentary.
Read more »
CVS Health CEO on reducing costs: Billions in value opportunity is 'in front of us'Jim Cramer talks with CVS CEO Larry Merlo, who says reducing medical costs with the Aetna merger will unlock billions of dollars in value for the company.
Read more »
Jamie Dimon: The US economy has been 'fundamentally anti-poor'JPMorgan Chase CEO Jamie Dimon wouldn't say if he believes the US economy is racist. But he does think it's 'fundamentally anti-poor.'
Read more »
Boeing CEO vows fix as 737 MAX pressure builds - Reuters TVIn his first public comments since the second crash of a Boeing 737 MAX plunged the world's biggest planemaker into a major crisis, Boeing CEO Dennis Muilenburg acknowledged 'lives depend on the work we do.”
Read more »
Netflix CEO Reed Hastings revealed the original series he's watching right nowNetflix CEO Reed Hastings revealed the original series that he is currently watching on the service.
Read more »
Boeing 737 Max 8 crash: CEO says software update, pilot training revisions are on the wayOn Monday, Boeing CEO Dennis Muilenburg said the jetmaker was 'finalizing its development of a previously-announced software update and pilot training revision' to address flaws in the 737 Max 8's automatic stall system.
Read more »
Netflix CEO breaks with big tech, says his firm is actually a media companyNetflix CEO Hastings argued that his company is more of a media company than a tech company because it spends most of its money on content.
Read more »