As some investors look for a defensive allocation in the wake of growing concerns over artificial intelligence (AI) equity exposure, healthcare stocks are quietly outperforming the broader S&P 500 index in 2026.

The S&P 500 Health Care Index is up 17.56% year-to-date, compared with 14.17% from the wider S&P 500 index, helped by robust gains from healthcare giants Eli Lilly, AbbVie and Johnson & Johnson.

The healthcare sector has also typically been seen as a defensive allocation by equity investors given its resilience to economic downturns.

Meanwhile, many parts of the sector such as biotechnology and medical equipment benefit from a different set of growth drivers, especially compared with sectors such as technology and industrials which are increasingly being driven by the AI buildout.

With this backdrop, FSA looks at the top five performing healthcare ETFs available for investors in either Hong Kong or Singapore that are outpacing the S&P 500 year-to-date, according to data compiled from FE fundinfo.

VanEck Genomics and Healthcare Innovators UCITS ETF

This $25m ETF is up 32.33% year-to-date. It has 49 holdings, tracking the MVIS® Global Future Healthcare ESG Index (MVFHC).

This global index tracks the performance of companies that are involved in the genomic health care and electronic healthcare industries.

Its largest holding is Moderna, which makes up 9.73% of the portfolio and is up 593% year-to-date after positive trials from its individualised mRNA cancer vaccine.

L&G Healthcare Technology & Innovation UCITS ETF

This $374m ETF is up 30% so far in 2026. It tracks the ROBO Global® Healthcare Technology and Innovation Index.

The index tracks the performance of a basket of companies that are actively engaged in the healthcare technology value-chain.

The ETF has 61 holdings, with its largest holdings Twist Bioscience, Grail and Natera, accounting for 3%, 2.8% and 2.4% of the portfolio, respectively.

iShares US Healthcare Providers ETF

BlackRock’s $1.4bn iShares US Healthcare Providers ETF is up 24.8% year-to-date. It tracks the Dow Jones U.S. Select Healthcare Providers Index.

This index tracks US companies in the healthcare providers subsector, including insurers and service operators.

Its largest holdings are concentrated in a three names which account for almost half of the portfolio: United Healthcare Group at 22.5%, and CVS Health at 12.1% and Elevance Health at 9.45%.

iShares Healthcare Innovation UCITS ETF

This $1.6bn ETF is up 26.9% year-to-date. It tracks the Stoxx Global Breakthrough Healthcare Index, which focuses on companies involved in medical breakthroughs.

Its top components include Moderna, Natera and Illumina, which make up 5.1%, 2.17% and 2.11% respectively. It has 199 holdings in total.

iShares US Healthcare ETF

This $4.5bn ETF is one of the largest in the sector and has delivered a return of 17.54% year-to-date. It tracks the Russell 1000 Health Care RIC 22.5/45 Capped Index.

The index invests across the entire healthcare sector, diversified across pharmaceuticals, biotechnology, and healthcare equipment companies in the US.

Its largest holdings include Eli Lilly, Johnson & Johnson and Abbvie at 15.29%, 9.67% and 7.57% respectively.