91 Precision Therapies Could Reverse The Downtrend In Returns On R&D Given regulatory bottlenecks and legacy drug discovery methods, returns on therapeutic R&D declined on balance for ~35 years through 2020. Regulations permitting novel therapeutic modalities and R&D methods enabling “precision” therapies could reverse the downtrend during the next five to ten years. Ratio Of Incremental Revenue To Related R&D Spend S 1.8 E PI 1.6 A R E 1.4 H T N 1.2 O I S I io C at 1 E R PR 0.8 0.6 0.4 0.2 0 1981 to 1985 1986 to 1990 1991 to 1995 1996 to 2000 2001 to 2005 2006 to 2010 2011 to 2015 2016 to 2020 2021 to 2023* 2030 forecast Sources: ARK Investment Management LLC, 2024. This ARK analysis is based on a range of external sources, including Biomedtracker and Ycharts, which may be provided upon request. Forecasts are inherently limited and cannot be relied upon. For informational purposes only and should not be considered investment advice or a recommendation to buy, sell, or hold any particular security. Past performance is not indicative of future results.