Bionics Certificate 2

Investment Case

➢ Innovations in the fields of medicine, artificial intelligence, robotics and sensors are finally giving a

new life to medical technologies and are making human enhancement a reality

➢ Bionics, which is taking on human body dysfunctions and disabilities and, more globally, helping

improve the wellness and lifespan of the world population, benefits from long-term drivers:

✓ an ageing world population and a shortage of donated organs

✓ major technology breakthroughs leading to an impressive product pipeline

✓ an improving outlook for the reimbursement of bionic devices by insurers or health agencies

➢ Bionics is not only about next-gen prosthetics, it also covers artificial organs, wearable devices,

surgical and medical robots, synthetic biology, biotechnology and artificial intelligence

Bionics Certificate details

✓ Issuing bank: Natixis, Calculation agent: Natixis SA

✓ ISIN: XS1317063912

✓ Currency: USD

✓ Fees: 1.65% management fee + 15% performance fee, high water mark

✓ Bloomberg ticker: NXSRBION

3Bionics Certificate

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Bionics Is The Merger Between Biology And Electronics

Leveraging on Life mechanismsFixing our body dysfunctions

➢ Replacing limbs and organs ➢ Using them for specific purposes

➢ In particular for surgery➢ Monitoring metabolism

Seconding humans Improving health

Bionics Certificate

➢ According to the UN, the population aged 60 years or over will grow from 962M in 2017 to 2.1Bn in

2050, while the population >80 years old will grow from 137M to 425M

➢ The bulk of the growth comes from Asia: 66% growth of people >60 years old

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Elderly Population Increasing Exponentially

Bionics Certificate

We Are Living Longer But Not Necessarily Better

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About 15% of the global population

has a disability

1.3 billion people are

visually impaired

466 million people have

disabling hearing loss

>120k people in the US are

waiting for lifesaving

organ transplants

Source: AtonRa Partners, WHO

Bionics Certificate

➢ Medical technology innovations are made possible thanks to advances in:

➢ Research is performed on extending Moore’s Law by optimizing chip technology

➢ Quantum computing will further extend Moore’s law exponentially

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ChipsArtificial

intelligence

Genetic Modification

Precision Sugery

4D Printing Crowdsourcing

Genomics

Virtual

Reality

When Moore’s Law Comes To The Labs

Nanotechnology

Bionics Certificate

➢ The price of bionic devices has been unsurprisingly high until now (between $50,000 and $150,000

for an eye or limb device and surgery)

➢ Encouragingly, coverage by Medicare in the US seems to be heading in the right direction

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…But Likely To Gradually Expand As Benefits Outweigh Declining Costs

➢ Declining costs and social welfare: a major catalyst for expanded health coverage

✓ some of the technologies used will mature over the years and become less costly

✓ a bionic device can allow people to keep working and return to work more quickly

Health Coverage Of Bionic Devices Has Been An issue…

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Bionics Expected To Grow At A Fast pace

CAGR 17-23

Artificial Organs & Bionics ($38.7B)

Medical Robots ($17.6B)

Exoskeletons ($2.8B)

Wearable Medical Devices ($14.4B)

Synthetic Biology ($37.2B)

Healthcare 3D printing ($2.5B)

45.2%

27.7%

18.3%

7.5%

9%

22%

MedTech ($522B) 5.6%

AtonRâ

Bionics

Source: Grand View Research, Marketsandmarkets, Mordor Intelligence, Chief Observer, Infoholic

A $113B MARKET BY 2023

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Bionic Limbs

Bionic Hearts

Exoskeletons

Bionic Ears

Bionic Brains

Bionic Eyes

The Bionic Man Is Now A Reality

Bionics Certificate

➢ Synthetic biology is the engineering of biology: the synthesis of complex, biologically based

systems which display functions that do not exist in nature

➢ While products that utilize synthetic biology are yet to be commercialized, this market is set to

literally explode in the next few years driven by demand for improved drugs and vaccines

➢ Key constraints are mostly ethics and bio-security/safety, as synthetic biology can be misused

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Synthetic Biology: Making The Impossible Possible

Bionics Certificate

➢ Surgical robots: console, surgical arms, monitoring systems

➢ Telemedicine Robots

➢ Artificial Intelligence applications for diagnosis, monitoring or learning new surgical procedures

➢ Rehabilitation robots, exoskeletons

➢ Robots working in sterile IV (intravenous) preparation rooms.

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Medical Robots – New Means For Better Medicine

Bionics Certificate

➢ The first artificial organ was designed in 1943 to replace a deficient kidney: a dialyzer

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Artificial Organs Turning Into Everyday Wearable Devices

BIONIC BODY PARTS

➢ Today, 60-70% of human body functionalities can

be artificially performed as demonstrated by Frank,

the bionic man Bertolt Meyer designed in 2013

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The Bionic Pancreas: a fully

autonomous, dual-hormone system

DiagnosticDiagnostics

Therapeutics

Home Healthcare Telehealth

MiniMed 670G: closed loop

system that self-adjusts to

maintain the sugar level in range

The Zephyr BioPatch: a FDA-

cleared small device monitoring

the vital signs

Bionics Certificate

Medical Wearable Devices: An Important Link In The Chain

➢ Prosthetics are now on their way to offering real limb replacement…

➢ A cochlear implant does the work of damaged parts of the inner ear…

➢ A bionic eye complements impaired retinas…

➢ Sensors deliver electrical signals to the nervous system, enabling the brain to feel / hear / see

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The Advent Of Brain-Connected Prosthetics

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Increased accuracy

Safety checks

Benefits vs. Risks

Bionics Certificate

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unit) of AtonRâ Partners and sent to you by the company sales representatives.

As an internationally active company, AtonRâ Partners SA may be subject to a number of provisions in

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Although AtonRâ Partners SA believes that the information provided in this document is based onreliable sources, it cannot assume responsibility for the quality, correctness, timeliness or completenessof the information contained in this report.

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It should not be assumed that the Certificate will invest in any specific securities that comprise any index,nor should it be understood to mean that there is a correlation between the Certificate’s returns and anyindex returns.

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17Disclaimer