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Sectors — how the market is split up

11 big buckets the market is split into.

The idea

Companies are grouped by what they do — those groups are called sectors. Tech, healthcare, energy, banks, and so on. The S&P 500 is split into 11 of them. This matters because sectors behave differently: in a recession, people still buy toothpaste and electricity, so those 'defensive' sectors hold up better than flashier ones. 🏭

Words to know

Sector: A group of companies that do the same kind of business, like tech or energy.
S&P 500: A list of about 500 big US companies, split into 11 sectors.
Defensive sector: Industries people rely on no matter what, like food and utilities — steadier in downturns.
Cyclical sector: Industries that boom in good times and slump in recessions, like energy or luxury goods.

Try it — no account needed

The S&P 500 splits into 11 sectors. Match each company to its sector.

0 / 6 matched

In the full lesson

1Match the pairs

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