UPDATE 1-Vanda submits application for schizophrenia drug

(Updates with details)

BOSTON, Sept 27 (Reuters) - Vanda Pharmaceuticals Inc (VNDA.O) said on Thursday it has submitted a marketing application with U.S. regulators for its experimental antipsychotic iloperidone.

The company said its application includes genetic data designed to show which patients are most likely to benefit the most and who are most at risk of side effects.

The marketing application was expected, but Vanda still has not announced a partner to help commercialize iloperidone or its experimental sleep drug, despite having hired JP Morgan earlier this year to help negotiate a deal.

In a statement, Mihael Polymeropoulos, the company's chief executive, said iloperidone "may help to usher the field of psychiatry into an era of personalized medicine."

There is no indication, however, that the U.S. Food and Drug Administration will allow Vanda to market its drug based on minimally substantiated claims that it has a predictive test for best-responding patients.

Iloperidone works in much the same way as other drugs in an already crowded market.

(Reporting by Toni Clarke)