The investment industry’s Global Industry Classification Standard, GICS, was created in 1999 by MSCI Inc. (ticker: MSCI) and S&P Global Inc. (SPGI). The idea was to standardize industrial and economic sector classifications and make it easier for investors to compare companies and evaluate securities. The GICS organized companies into 11 sectors: Some investors design equity portfolios to include at least one…
Artificial intelligence, automation and robotics are disrupting virtually every industry. In recent years, the world has gotten a firsthand look at remarkable advances in AI technology, such as OpenAI’s ChatGPT AI chatbot, GitHub’s Copilot AI code generation software and Google’s Gemini AI model. Whether it be machine learning, large language models, smart applications and appliances, digital assistants, synthetic media software, or…
The drone market continues to ascend in late 2024, with the global commercial drone industry valued at $30 billion this year, according to Grand View Research. Growth should continue to escalate, with Grand View pegging the industry’s annual compound annual growth rate at 10.6% from 2025 to 2030. Still, headwinds are keeping drones from soaring higher as the new year…
President-elect Donald Trump is threatening America’s three largest trading partners with import tariffs of 10% to 25% for what he says is their inability to stem the flow of immigrants and illicit narcotics into the U.S. Trump campaigned throughout his 2024 successful run for the White House on the promise of tackling immigration and said he favored using the cudgel of tariffs to make…
It’s been a landmark year for the S&P 500, which has continued its impressive growth by reaching 6,000 for the first time in mid-November. However, for investors looking to secure the strongest returns on Wall Street, there are several exchange-traded funds, or ETFs, that have consistently outperformed the index. But which ETFs have consistently outperformed the S&P 500 in the past five…
When the Federal Reserve slashes its benchmark rate, as it did Nov. 7, stocks in interest-sensitive sectors often see a boost. Lower rates make borrowing cheaper, driving growth in sectors including real estate, utilities, and financials. Here’s a look at how those industries and others may get a boost as businesses and consumers benefit directly from lower financing costs. This post…
In a span of just 15 years, cryptocurrencies emerged from obscurity to become an important part of financial markets. But there’s one thing the industry’s evolution hasn’t eradicated: extreme volatility. At its peak in November 2021, the crypto market was worth upwards of $2.9 trillion. By mid-2022, hit by rising inflation and an aggressive rate-hiking cycle by the Federal Reserve, the entire…
Artificial intelligence investing can be as volatile as it is promising, largely due to the intense competition and rapid pace of innovation within the industry. To manage these risks, diversification becomes crucial. Imagine you own shares in just three AI companies, and one of them sees its value halve. That could potentially lead to a significant reduction in your portfolio’s…
As the month of October winds down, the S&P 500 is on track for gains. According to data compiled by Yardeni Research, the average return for the index in October since 1928 is 0.52%. As you might expect, a key factor driving market sentiment is the upcoming U.S. presidential election, although investors have other concerns as well. As the calendar…
In October, the administration of President Joe Biden issued a rule requiring drinking water systems across the U.S. to identify and replace lead pipes within 10 years. To go with that rule, the Environmental Protection Agency announced $2.6 billion in newly available drinking water infrastructure funding through the Bipartisan Infrastructure Law. But that’s just a drop in the bucket when…