Rally Hits 9 Months Old

The current bear market rally or new bull market, whatever your view, started 9 months ago today. With the S&P 500 up 60% from the bottom what has fared best? Would you have profited well over the long-term?

Sector	Tradeable ETF	Gain from Lows	10-Year Return
Energy	XLE	41%	102%
Materials	XLB	76%	31%
Industrials	XLI	79%	(1%)
Consumer Discretionary	XLY	78%	0%
Health Care	XLV	39%	6%
Financials	XLF	133%	(42%)
Information Technology	XLK	62%	(55%)
Utilities	XLU	33%	5%
Market	SPY	60%	(24%)

Without surprise financials, despite their very recent lagging, have been the major gainers in this rally. Yet, before anyone gets bummed that they missed the move, realize that the sector is still down 52% over 5 years and 42% over 10 years. Clearly, not the best investment over a long-term period.

Another number that jumps off the chart is the terrible 10-year returns from information technology. Though, that is just a matter of gauging the return from 1999, very near the top of the tech bubble.

Energy has been the clear-cut winner over a 10-year period. Without energy to balance out the portfolio an investor would have posted an absolutely miserable decade of performance rather than just a terrible decade having it included.