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The 11 Sectors that Comprise the Broad Economy
A 10,000 foot view
Investing is simple but not easy.
The buzz recently has been about the stock market and the economy, and for good reason. Inflation continues to be sticky, interest rates should continue to rise, and the Federal Reserve wants you to lose your job. But just like with all topics of popular discussion, most people are claiming to be financial wizards.
Let’s cut through the BS you are going to see on a regular basis. I’d like to give you a framework for how our economy is structured. At the end of this, you should have a better understanding of what keeps the gears churning.
Note that this is not me giving you my opinion, these 11 industries are factually the ones that comprise the S&P 500. All numbers and figures stand as of 3/13/23.
If you look close enough over time, you may be able to spot profitable patterns.
Communication Services
Total Market cap: $4.16T
YTD performance: +7.58%
Stock ticker: XLC
Notable companies: AT&T, Comcast, Disney, Netflix
Number of Industries: 5
The basis of this sector serves to keep people connected.
