Lesson 8 of 8
Market Sectors
The 11 sectors of the economy
TechnologyXLK
HealthcareXLV
FinancialsXLF
Cons. DiscretionaryXLY
CommunicationXLC
IndustrialsXLI
EnergyXLE
Cons. StaplesXLP
UtilitiesXLU
Real EstateXLRE
MaterialsXLB
Different sectors lead at different points in the economic cycle. Tech in growth. Utilities and staples in recessions. Energy during inflation.
loading XLK...
Technology sector (XLK) past year. Compare this to other sectors to see rotation.
diversification
Owning the S&P 500 already gives you all 11 sectors. You don't need to buy sector ETFs unless you want to tilt toward a specific theme.
Check yourself
Which sectors tend to hold up best during recessions?