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VisualMod t1_ixyp2r6 wrote

This is an interesting chart. It shows the secular rotation from healthcare and tech stocks to energy and financials. This is a result of the increasing popularity of value investing strategies, which seek to find undervalued companies with strong fundamentals. Energy and financials are two sectors that have been historically undervalued relative to other sectors like healthcare and tech. As investors rotate into these sectors, we expect them to outperform in the coming years.

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greatwhite5 t1_iy1lmu0 wrote

Good observation - this is also illustrating the business cycle. As the economy ebbs and flows, US sectors do better/worse. During periods of growth and expansion sectors like tech and consumer disc flourish while during times of downturn and recession, sectors like energy, materials and consumer staples see lower volatility (generally)

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