Different sectors can underperform the broad market for an extended period of time at various times - see recent energy sector for example. Most of us are in tech. Is sector risk a concern? I realize tech companies do widely different things - OLED vs MELI vs NTNX for example. But then most of the index fund/etf investing may treat those homogeneously and so all companies may fall. Would like to hear your thoughts.
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Different sectors can underperform the broad market for an extended period of time at various times - see recent energy sector for example. Most of us are in tech. Is sector risk a concern?
Don’t want to get off on an Off-Topic discussion of sector risk (our board is for discussion of individual growth stocks), but very briefly:
Energy (oil and natural gas) is, and always has been, a cyclical industry of capacity shortage, build out, over-capacity, cut-back and closures, capacity shortage…etc. Our stocks are in a secular trend of basically aiding the transformation of ALL companies in the world to the new cloud and AI economy. They are growing at 50% per year because of this, and are just scratching the surface.
Best
Saul
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Ok, I moved it to NPI board.
Thanks