Research on the molecular basis of Alzheimer's disease has elucidated pathogenic pathways from which a range of rational pharmacological interventions has emerged. The most promising strategies involve approaches to retarding, halting or preventing the formation or accumulation of beta amyloid plaques and neurofibrillary tangles. Other therapeutic approaches include those acting via excitatory amino acid receptors, limiting the oxidative stress and inflammatory response associated with dementia, molecules with nerve growth factor like activity. In the present article these and the other recent advances in the neurobiology and pharmacotherapy of AD will be reviewed.