Sector Rotations

[sroby2020]

Like Using Cho[sticks to Catch a Fly

I looked at this many years ago and did a lot of back-testing going back 2 years to check on methods. In the long run, SPY was the winner.

 

[matjung]

For the first six months of the year I felt that people move from Crypto to US large caps, also from small caps to large caps.
With money market rates of 5%. We may finally see stocks to go down.
Regarding sector rotation. Within Europe, I rotate towards Greece.
I believe the country learned from its last collapse.
Tourists who stay in private apartments are bringing money to locals.
That boosts local consumption and investments into renovating some property.
Banks like Morgan Stanley and Goldman Sachs seem to push the country, too.
Then within Europe, I am still invested in Cars, but avoid car supplier.
Some semi conductors look interesting. Some Telcos look overpriced.

Be careful with REITs and real estate companies.

 

[FREE866]

The absolute worst thing that could happen to me is if I actually did that and it worked for a few months or a year. I'd then think I know what sectors to choose going forward and my sense is that inevitably I'd end up doing much worse than just buying plain vanilla index ETFS--VTI, SPY, IWM, etc

 

[Lsbcal]

Part of my strategy is based on choosing large growth versus small/mid value. Trends are best if they play out over many months. Recently we have had a large growth trend (versus small/mid value) which is roughly 4 months old. Hopefully it continues in a gentle (sustainable) fashion.

 

[Koolau]

I've avoided sectors though, heaven help me, I've occasionally watched as my "fantasy picks" have done well (like Pharma.) I've stayed the course in my more-or-less couch potato investing - and am still happy, but, occasionally...

 

[matjung]

I also observe that sector rotation is a time consuming research activity.
Irish Banks outperformed other European Banks for about 2 years.
BOI/AIB are not undervalued anymore. Probably with more volatility the ISEQ Financial performs as the STOXX Europe 600 Banks. I did not bother to research that further. Once we obtained numbers for H1 the out-performance may resume.