S&P 500 Sector Returns (2024)

FAQs

What is the best performing S&P 500 sector? ›

The best performing Sector in the last 10 years is Information Technology, that granded a +19.94% annualized return.

In 2024, that means communication services, information technology and financials, as the best performers, are on their way to good things for the remaining 10 months. Meanwhile, the tail-end trio that will keep on with their losing ways are materials, utilities and real estate.

Historically, the industries considered to be the most defensive and better placed to fare reasonably during recessions are utilities, health care, and consumer staples.

The S&P 500 utilities and consumer staples sectors are two of the worst-performing sectors in the large-cap benchmark index this year, down 10.6% and 2.4%, respectively.

Highlights: 5.2% 10-year expected nominal return for U.S. large-cap equities; 9.9% for European equities; 9.1% for emerging-markets equities; 5.0% for U.S. aggregate bonds (as of September 2023). All return assumptions are nominal (non-inflation-adjusted).

The most undervalued sectors heading into the second quarter are real estate, utilities, and communication services. By Morningstar Economic Moat Rating, which is a sign of a company's competitive advantages, wide-moat stocks are overvalued by 4%, while narrow- and no-moat stocks are about fairly valued.

Over the past decade, you would have done even better, as the S&P 500 posted an average annual return of a whopping 12.68%. Here's how much your account balance would be now if you were invested over the past 10 years: $1,000 would grow to $3,300. $5,000 would grow to $16,498.

How much will 100k be worth in 30 years? ›

Answer and Explanation: The amount of $100,000 will grow to $432,194.24 after 30 years at a 5% annual return. The amount of $100,000 will grow to $1,006,265.69 after 30 years at an 8% annual return.

A $100,000 investment can turn into $259,374 in just 10 years' time, and in 30 years' time, your $100,000 investment could be worth $1.7 million. So, if you can save your $100,000 early on, you could easily become a multi-millionaire by retirement, even if you don't contribute much else over the course of your career.

Since 2023, industries such as clean energy, AI, finance, and banking appeared as promising opportunities for investors.

The S&P 500 is divided into 11 sectors, including technology, healthcare, and financials, which help categorize the largest U.S. companies. Technology is the largest sector, reflecting significant growth and market influence from major companies like Apple and Microsoft.