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Avidity Partners
Michael Gregory launched Avidity Partners in 2013, drawing on his prior experience as a senior portfolio manager at Perceptive Advisors, where he helped...
Avidity Partners
Michael Gregory launched Avidity Partners in 2013, drawing on his prior experience as a senior portfolio manager at Perceptive Advisors, where he helped build one of healthcare investing's most concentrated public and private platforms. The firm is structured as a SEC-registered investment adviser, anchored in Dallas with investment staff distributed across US and international hubs including Greenwich, San Francisco, and Shanghai. Avidity runs a concentrated long/short equity strategy focused exclusively on the life sciences. The firm moves across market caps, participating in crossover rounds, IPOs, follow-on offerings, and open-market position building. Public filings show Avidity has held significant stakes in companies such as Argenx, Karuna Therapeutics, and BioMarin Pharmaceutical. The fund also engages in private placements; it participated in the pre-IPO round of Structure Therapeutics and held positions in Chinook Therapeutics before its acquisition. Geographic exposure spans US and China-based innovators, with dedicated analytical coverage in both markets. Gregory has built a lean, research-heavy investment team with presence in at least eight cities globally. The firm does not disclose its total AUM, but 13F filings suggest equity assets alone in the range of $5 billion to $8 billion. Avidity has occasionally been compared to other concentrated healthcare hedge funds like Perceptive Advisors and Baker Bros. Advisors in terms of strategy architecture, though it operates with a smaller team and a narrower sector mandate. The Shanghai office provides direct analytical access to Chinese biotech firms, a structural advantage for a US-based healthcare fund. Avidity's structure blends a hedge fund's liquidity with crossover-stage risk-taking, allowing it to hold positions from pre-IPO through commercialization without being forced to sell at predetermined horizons. This hybrid posture makes it a relevant counterparty for both venture-stage biotech boards and public-market syndicate desks. Succession remains tied to Gregory as the sole CIO, with David Brown serving as Partner and Portfolio Manager.
General information
Firm type
Asset Manager
Year founded
2013
AUM
$5B – $10B (Altss estimate)
Location
Region
North America
Country
United States
City
Dallas
Corporate office
Dallas, TX, United States
Additional offices
Shanghai, China · Greenwich, CT · Palo Alto, CA · San Francisco, CA · Baltimore, MD · San Diego, CA · New York, NY · London, UK
Principals
Michael Gregory
Founder & Chief Investment Officer
David Brown
Partner & Portfolio Manager
Sector focus
Frequently asked questions
What is Avidity Partners' investment strategy?
Avidity runs a concentrated, long/short equity strategy focused exclusively on the life sciences sector. The firm invests across market capitalizations, participating in crossover rounds, IPOs, follow-on offerings, and open-market position building. Its portfolio typically holds 25–40 positions concentrated in biotechnology, pharmaceuticals, and medical technology companies.
Who runs investment decisions at Avidity?
Michael Gregory serves as Founder and Chief Investment Officer, holding ultimate authority over portfolio construction. David Brown is a Partner and Portfolio Manager. Gregory's investment approach was shaped during his tenure at Perceptive Advisors, where he managed healthcare portfolios before founding Avidity in 2013.
Does Avidity participate in private investments or only public equities?
Avidity actively participates in private investments, particularly crossover rounds and pre-IPO financings. The firm has invested in private placements for companies such as Structure Therapeutics and held positions in Chinook Therapeutics prior to its acquisition by Novartis. This allows Avidity to build positions before companies reach public markets.
How does the Shanghai office fit into Avidity's operations?
The Shanghai office provides Avidity with direct analytical access to Chinese biotech and pharmaceutical companies. It supports the firm's mandate to invest in China-based innovators, a structural advantage that most US-based healthcare hedge funds do not maintain. Specific personnel in the Shanghai office are not publicly disclosed.
Is Avidity Partners structured as a family office or a hedge fund?
Avidity is structured as a SEC-registered investment adviser, operating as a traditional hedge fund open to external institutional capital. It is not a family office, though its concentrated, conviction-weighted approach shares some characteristics with single-manager firms that manage internal capital alongside limited partner commitments.
What is Avidity's known posture on co-investments alongside external GPs?
Avidity typically leads or participates directly in public and private equity transactions rather than committing to external GP funds. The firm does not market a fund-of-funds program. Its crossover activity positions it as a direct co-investor alongside venture capital syndicates in pre-IPO biotech rounds.
Which sectors does Avidity explicitly target or avoid?
Avidity targets the life sciences sector exclusively, including biotechnology, pharmaceuticals, and medical technology. The firm does not invest outside of healthcare and has no known positions in technology, financials, energy, or other sectors. This singular focus mirrors the model employed by other dedicated healthcare funds such as Baker Bros. Advisors.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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