The stock market could involve the S&P 500, Dow Jones, Nasdaq, Russell 2000 and other global markets including the Chi-next, DAX, Nikkei, MSCI or EAFE. While it's easy to track the individual indexes there is value to look beyond the surface into specific industries, sectors and companies. The stock market is typically divided into 11 key sectors representing major areas of the economy. Within each sector there are a number of publicly traded companies that share the same core focus or client base. Investors interested in investing in a specific sector or area of the economy may look at a sector based portfolio management strategy. The eleven sectors of the stock market include:
  1. Financials
  2. Utilities
  3. Consumer Discretionary
  4. Consumer Staples
  5. Energy
  6. Healthcare
  7. Industrials
  8. Technology
  9. Telecom
  10. Materials
  11. Real Estate
Each sector will have it's own dynamics which can make it more attractive or less during each market cycle, business cycle or interest rate environment.
 

Be Like Water

There’s a lot of prognosticating going on, as there’s been a lot of volatility. There’s also quite ... Read More

 

Wen Lambo?

For those who think I may have lost my mind, first, you may be right. Second, the phrase in the ... Read More

 

Process First

Here’s the thing: the future is unknowable. That’s problematic, as this job is based on predicting what’s ... Read More

 

Stimmies

We’ve had another nice bounce, and once again, some are wondering if we’ve seen the bottom of the ... Read More

 

The CPI Disaster

The market, appropriately, focuses on Core CPI, because that’s what the Fed says they look at. Core CPI saw ... Read More

 

Hope Springs Eternal

Way back in July, we got to a level of stress historically consistent with the Fed coming in to save ... Read More

 

Managing the Chaos

We’ve had quite a bit of chaos of late, between non-Fed banks shifting a little towards protecting their economies ... Read More

 

Fed Pivot?

The BoJ pivoted with their repeated yen interventions and the BoE intervened to bail out pension funds. Perhaps the Fed ... Read More