ASX Sectors Performance in 20 Years

 Table below shows the ASX sectors performance in 20 years.

The highlighted green means it performed better than overall market (which I use ASX 200/XJO) as the benchmark). So the following sectors performed better than the overall market (i.e. top 200 Australian stocks / XJO:

  • Information Technology
  • Health
  • Material
  • Consumer Staple
  • Utility
What does that mean? It means if you want to beat the market, you should invest in these sectors. Material and utility is probably arguable since they didn't beat the market in certain time frames. The rests are okay and health sector is the most performing sector. 

However, past performance doesn't guarantee future performance. Some experts say we should probably invest in energy sector since it has been under performed for many years. Investors are switching their funds / money into this sector. 

I don't know how true this is but I struggle to understand why health sector won't be performing in the future. I personally think health sector will continue to grow indefinitely. Therefore, I will be investing in health stocks in my portfolio.

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