GLP-1 drugs have put peptides on investors’ radar, with Eli Lilly (LLY) and Novo Nordisk (NVO) leading the weight-loss market. But the investment opportunity extends beyond these treatments. According to industry figures, 36% of peptide medicine sales in 2025 came from diseases beyond obesity and diabetes, representing a market worth about $51 billion overall. Drug development is only part of the picture, with manufacturers and drug-delivery technology providers also supporting the industry.
Key Takeaways
- Peptide medicine sales extend beyond obesity and diabetes. The market generated about $51 billion in sales in 2025, with 36% coming from treatments for other diseases.
- The investment opportunity spans the value chain. Drug developers, manufacturers and delivery technology providers all play a role.
- PEPT offers targeted exposure. The REX Peptide ETF (PEPT) is designed to provide pure-play exposure to the peptide economy.
What Are Peptides and How Do They Work?
Peptides are short chains of amino acids linked together by peptide bonds. They act as signaling molecules in the body and can help regulate processes such as hormone release, immune function, and tissue repair.
Scientists can also develop peptides to target specific biological pathways. GLP-1 drugs, for example, mimic a naturally occurring hormone involved in blood sugar regulation and appetite, helping patients manage type 2 diabetes and obesity.
Researchers are exploring treatments for conditions including certain cancers and rare diseases. Peptides are also used in skincare products and dietary supplements, extending their commercial reach beyond prescription medicines.
What Is the Peptide Economy and What’s Driving Its Growth?
Although GLP-1 drugs have drawn attention to the sector, its commercial potential extends well beyond weight-loss treatments.
The peptide economy includes companies that develop, manufacture and deliver peptide-based products, from medicines to skincare and supplements. Pharmaceutical and biotechnology firms lead drug development, while contract development and manufacturing organizations (CDMOs), drug-delivery technology providers, injection-device suppliers and sterile-packaging companies help bring treatments to market.
Growing adoption of peptide-based treatments could create opportunities for manufacturers and drug-delivery technology providers. However, growth could be constrained by manufacturing challenges, unproven delivery technologies, clinical trial failures, regulatory delays, competition, and pricing pressure. Investors should understand each fund’s holdings, investment strategy and performance drivers, as well as the sector-specific risks they are willing to accept.
See More: U.S. vs. Canadian ETFs: What Each Market Can Learn From the Other
How to Invest in the Peptide Economy
Investors looking to tap the peptide boom have several options. The REX Peptide ETF (PEPT) takes the broader approach, positioning itself as the first pure-play peptide ETF in the United States.
Tracking the VettaFi Peptide Index, the fund invests across the peptide value chain, including companies involved in developing, manufacturing and delivering peptide-based medicines. It also invests in businesses incorporating peptides into skincare products and supplements. This strategy offers exposure to an industry whose applications extend well beyond obesity drugs.
For investors seeking a more targeted approach, the Amplify Weight Loss Drug & Treatment ETF (THNR) tracks the VettaFi Weight Loss Drug & Treatment Index. It invests in companies developing and commercializing weight-loss drugs and related treatments.
Ultimately, the peptide economy extends beyond the GLP-1 boom. While drugmakers attract much of the attention, manufacturers and drug-delivery technology providers also play important roles in supporting the industry’s growth.
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VettaFi LLC (“VettaFi”) is the index provider for PEPT and THNR, for which it receives an index licensing fee. However, PEPT and THINR are not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of PEPT or THNR.
