The health care reform debate will take new life as members of Congress return to Washington to take up the issue again this fall. Regardless of what happens with the current agenda for reform, some sort of change will emerge.

As we continue to express to our elected representatives, we want to see free enterprise make the most significant impact on health care reform rather than more government regulation.  When market forces have been allowed to act in other industries the quality of products and services improves while prices decline.

We know from experience that big changes invariably lead to big opportunities. We believe that still holds true for the health care industry and believe there will always be good opportunities for investment, provided there are models that genuinely promote expanded access, improved quality and cost savings.

Nueterra Capital Management will continue to invest in the types of facilities that are focused on being more efficient, showing better patient outcomes, higher rates of patient satisfaction, all at lower costs than traditional hospitals. We think these areas are still good opportunities; they already offer higher quality at lower cost. If reform results in greater access, then prospects for success are indeed good.

We will also be investing in pharmaceuticals and medical device companies. These types of companies are creating products to improve the quality of people’s lives while reducing medical errors and improving patient safety; products that will cost less in the future because of improved efficiencies.  This will require innovation, which itself creates opportunities.