How to Invest in Biotechs

The video discusses high-risk binary events in investment, focusing on biotech companies with potential upside. It highlights the strategy of investing in small, misunderstood biotech firms like Clovis Oncology, which has a promising cancer drug. The drug has received FDA breakthrough status, indicating a high chance of approval. The video also addresses liquidity concerns and market volatility, emphasizing the importance of avoiding companies with significant financing needs.

What are the potential risks associated with investing in small biotech companies?

How does the current market volatility affect investment decisions according to the speaker?