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A live stream of sporting events using anywhere TV gives you a chance to be outside your home or office. — © BMW Group
For those keen on tracking the businesses on the up, the IT sector is showing the greatest promise. This also reflects investment growth potential as well, with an average return of investment of 18.1 percent in relation to the U.S. market. The consumer discretionary sector comes in second with 15.3 percent.
In contrast, the worst sector to invest in is communication services with 8.4 percent average return. The energy sector is also placed in a low position on the list with a return of only 10.2 percent.
This information comes from InvestinGoal.com, who analysed the consistency, reliability, and average returns of all sectors that the companies within the S&P 500 index are divided into to identify the most lucrative investment opportunities. The analysis has been passed on to Digital Journal.
The IT sector comes in first place with an average return from 2010 to 2022 of 18.1 percent, by far the highest of the list. This sector’s stocks relate to the research, development, or distribution of technologically based goods and services.
Moreover, the minimum return in the last decade was minus 28.2 percent in 2013, while the maximum was 50.3% in 2019. The best-performing stocks of the year within the IT category were Advanced Micro Devices, Lam Research and KLA with a growth of 153 percent, 117 percent and 100 percent respectively.
In second comes the consumer discretionary sector with an average return of 15.3 percent. This sector includes businesses that sell non-essential products and services that consumers may avoid without any major consequences to their well-being.
Laptops are useful, but bring with them privacy and security concerns. — Photo: © Tim Sandle.
The healthcare sector is third with an average return of 13.4 percent. It includes businesses engaged in providing medical services, producing medical devices or medications, offering medical insurance, or aiding in the overall delivery of healthcare to individuals.
The economic outcomes are:
| Best sectors to invest in based on average returns from 2010 to 2022 | ||||
| Sector | Average Return on Investment | Min Return on Investment | Max Return on Investment | Ranking |
| IT | 18.1% | -28.2% | 50.3% | 1 |
| Consumer discretionary | 15.3% | -37.0% | 43.1% | 2 |
| Healthcare | 13.4% | -2.7% | 41.5% | 3 |
| Industrials | 13.2% | -13.3% | 40.7% | 4 |
| Financials | 12.3% | -17.1% | 35.6% | 5 |
| Real Estate | 12.2% | -26.1% | 46.2% | 6 |
| Consumer staples | 11.9% | -8.4% | 27.6% | 7 |
| Utilities | 11.0% | -4.8% | 29.0% | 8 |
| Materials | 10.6% | -14.7% | 27.3% | 9 |
| Energy | 10.2% | -33.7% | 65.7% | 10 |
| Communication services | 8.4% | -39.9% | 32.7% | 11 |
Based on these data, the IT sector reflects the pace of change, innovation and technological advancements, such as software development, cloud computing and artificial intelligence that have taken place in recent years.
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