Sector Investing Guide

This infographic was designed by Avalaunch Media

Sector investing offers targeted exposure to the stocks of companies in specific segments of the economy and can help you pursue income growth, diversify your portfolio, and manage investment risks. In total, there are 11 sectors in the stock market, each with its own benefits, characteristics, and considerations. Under each sector umbrella is a grouping of industries, which are represented by all the companies in that industry that trade on the stock market. Here’s an at-a-glance guide that offers investment strategies, as well as stock and ETF opportunities within the 11 sectors:

Communication Services

The Communications Services Sector contains companies that provide communications services primarily through a fixed-line, cellular, wireless, high bandwidth and/or fiber optic cable network.

12 stocks that could soon benefit from 5G

You're going to be hearing a lot soon about fifth-generation communications networks, also known as 5G. These twelve companies could be first in line to reap the rewards.

BARRON'S

Today's Top 10 Performing Communication Services Stocks

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Today's Top 10 Communication Services ETFs by Net Assets

Communication Services

The Communications Services Sector contains companies that provide communications services primarily through a fixed-line, cellular, wireless, high bandwidth and/or fiber optic cable network.

12 stocks that could soon benefit from 5G

BARRON'S

Today's Top 10 Performing Communication Services Stocks

Today's Top 10 Communication Services ETFs by Net Assets

You're going to be hearing a lot soon about fifth-generation communications networks, also known as 5G. These twelve companies could be first in line to reap the rewards.

Communication Services

RESEARCH PAGES

Consumer Discretionary

The Consumer Discretionary Sector encompasses those industries that tend to be the most sensitive to economic cycles. Its manufacturing segment includes automotive, household durable goods, textiles & apparel and leisure equipment. The services segment includes hotels, restaurants and other leisure facilities, media production and services, and consumer retailing and services.

9 consumer ETFs to consider now

U.S. NEWS & WORLD REPORT'S

Today's Top 10 Performing Consumer Discretionary Stocks

Today's Top 10 Consumer Discretionary ETFs by Net Assets

Despite the disruptions caused by the pandemic, many consumer stocks are soaring.

Consumer Discretionary

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Consumer Staples

The Consumer Staples Sector comprises companies whose businesses are less sensitive to economic cycles. It includes manufacturers and distributors of food, beverages and tobacco and producers of non-durable household goods and personal products. It also includes food & drug retailing companies as well as hypermarkets and consumer super centers.

Consumer staple shares to watch

INVESTORPLACE

Today's Top 10 Performing Consumer Staples Stocks

Today's Top 10 Consumer Staples ETFs by Net Assets

Companies that sell essential products are also likely to feature sustained demand.

Consumer Staples

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Energy

The Energy Sector comprises companies whose businesses are dominated by either of the following activities: The construction or provision of oil rigs, drilling equipment and other energy related service and equipment, including seismic data collection. Companies engaged in the exploration, production, marketing, refining and/or transportation of oil and gas products, coal and other consumable fuels.

8 energy stocks for a recovery in crude

U.S. NEWS & WORLD REPORT

Today's Top 10 Performing Energy Stocks

Today's Top 10 Energy ETFs by Net Assets

Oil market volatility has created buying opportunities in energy stocks.

Energy

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Financials

The Financial Sector contains companies involved in activities such as banking, mortgage finance, consumer finance, specialized finance, investment banking and brokerage, asset management and custody, corporate lending, insurance, financial investment, real estate investment trusts (REITs), as well as companies engaged in real estate management and development.

5 financial stocks with high analyst ratings

KIPLINGER

Today's Top 10 Performing Financials Stocks

Today's Top 10 Financials ETFs by Net Assets

A harsh year for financial stocks has created a few value opportunities. Here are five analyst picks from the beleaguered sector.

Communication Services

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Health Care

The Health Care Sector encompasses two main industry groups. The first includes companies who manufacture health care equipment and supplies or provide health care related services, including distributors of health care products, providers of basic health-care services, and owners and operators of health care facilities and organizations. The second regroups companies primarily involved in the research, development, production and marketing of pharmaceuticals and biotechnology products.

10 health care stocks to watch

KIPLINGER

Today's Top 10 Performing Health Care Stocks

Today's Top 10 Health Care ETFs by Net Assets

These companies are fighting disease and improving our standard of care.

Health Care

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Industrials

The Industrials Sector includes companies whose businesses are dominated by one of the following activities: The manufacture and distribution of capital goods, including aerospace and defense, construction, engineering and building products, electrical equipment and industrial machinery.

4 infrastructure stocks to build out your portfolio

INVESTORPLACE

Today's Top 10 Performing Industrials Stocks

Today's Top 10 Industrials ETFs by Net Assets

As the upcoming infrastructure spending bill moves through Congress, there are attractive investment opportunities to consider. Here are four fundamentally strong sector stocks that could benefit.

Industrial Sector

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Information Technology

The Information Technology Sector covers the following general areas: firstly, Technology Software and Services, including companies that primarily develop software in various fields such as the Internet, applications, systems, databases management and/or home entertainment, and companies that provide information technology consulting and services, as well as data processing and outsourced services.

14 tech stocks that may be under your radar

KIPLINGER

Today's Top 10 Performing Information Technology Stocks

Today's Top 10 Information Technology ETFs by Net Assets

These are 14 of the best tech stocks (and tech-adjacent companies) that don't see as much sunlight as some of Wall Street's beloved story stocks.

Information Technology

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Materials

The Materials Sector encompasses a wide range of commodity-related manufacturing industries. Included in this sector are companies that manufacture chemicals, construction materials, glass, paper, forest products and related packaging products, and metals, minerals and mining companies, including producers of steel.

7 gold stocks that may have more upside

U.S. NEWS & WORLD REPORT

Today's Top 10 Performing Materials Stocks

Today's Top 10 Materials ETFs by Net Assets

Gold stocks may still have a significant upside. Here are seven of the best gold stocks to buy, according to Bank of America.

Materials

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Real Estate

The Real Estate Sector contains all REITs, except for Mortgage REITs, (which remain in the Financial sector). Additionally, the sector includes Real Estate Management and Development services.

9 best REITs to buy for COVID-19 protection

KIPLINGER

Today's Top 10 Performing Real Estate Stocks

Today's Top 10 Real Estate ETFs by Net Assets

The real estate sector has been hit especially hard by the coronavirus outbreak, but these nine real estate investment trusts may be able to show more resilience.

Real Estate

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Utilities

The Utilities Sector encompasses those companies considered electric, gas or water utilities, or companies that operate as independent producers and/or distributors of power.

Shares for a shift to renewable energy

INVESTORPLACE

Today's Top 10 Performing Utilities Stocks

Today's Top 10 Utilities ETFs by Net Assets

Over the last decade, renewable energy consumption has seen double-digit growth, which could make stocks in the sector more appealing. Here are four names to consider.

Utilities

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7 energy ETFs to think about now

Energy ETFs are less volatile than buying single stocks.

U.S. NEWS & WORLD REPORT

Healthcare shares for after the virus

INVESTORPLACE

Healthcare stocks will remain in focus even after the coronavirus is contained.

The provision of commercial services and supplies, including printing, employment, environmental and office services. The provision of transportation services, including airlines, couriers, marine, road and rail and transportation infrastructure.

Secondly, Technology Hardware and Equipment, including manufacturers and distributors of communications equipment, computers and peripherals, electronic equipment and related instruments; and thirdly, Semiconductors and Semiconductor Equipment Manufacturers.

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