|
Sector
|
25
Year Sept Mean
|
Sector
|
Sep-12
|
||
|
1
|
Health
Care
|
1.21%
|
1
|
Health
Care
|
4.52%
|
|
2
|
Real
Estate
|
0.99%
|
2
|
Natural
Resources
|
4.31%
|
|
3
|
Telecom
|
0.76%
|
3
|
Telecom
|
3.77%
|
|
4
|
Utilities
|
0.74%
|
4
|
Financials
|
3.71%
|
|
5
|
Consum
Staples
|
0.43%
|
5
|
Consumer
Discret
|
2.66%
|
|
6
|
Technology
|
0.33%
|
6
|
S&P
500 Index TR
|
2.58%
|
|
7
|
Energy
|
0.24%
|
7
|
Energy
|
2.40%
|
|
8
|
Financials
|
0.09%
|
8
|
Utilities
|
2.03%
|
|
9
|
Consum Discret
|
-0.58%
|
9
|
Consumer Staples
|
1.37%
|
|
10
|
Natural Resources
|
-0.09%
|
10
|
Industrials
|
1.15%
|
|
11
|
S&P 500 Index
TR
|
-0.28%
|
11
|
Technology
|
1.08%
|
|
12
|
Industrials
|
-1.43%
|
12
|
Real Estate
|
-1.38%
|
As always I thought it would be interesting to see how
various sectors performed in the month of September versus their trailing
twenty-five year average mean performance.
September was a very difficult month to place faith in the historical
data. There have been many negative
historical events in the month that were just too hard for the markets to
overcome. That being said we did see the
health care sector live up to its stellar twenty-five year historical performance. It was the leading sector, on average, in the
month of September between the years 1987 and 2011, and once again led the way
in September 2012. The only major surprise
was in the real estate sector. Not only
has real estate been a strong performer over the last twenty-five years in the
month of September, but also over the last 20, 15 and 10 years that I
examined.
Natural resources had two things working for them in the
month that helped that sector buck its historically weak twenty-five year
trend. We had the fed decision to go
ahead with QE3 which helped send gold prices higher and we also had a
surge in oil prices. Just as the health
care sector performed right in line with its twenty-five year historical performance
so too did the telecom sector. The rest
of the sectors, with the exception of the energy sector, jockeyed positions a bit,
but nothing out of the ordinary.
Obviously we live in a world where outside events can alter
the markets. However, I have found it
helpful to have a historical perspective when entering each month.
Thank you and good luck everyone!
Jon R. Orcutt, founder of Allocation For Life, is an
asset allocation strategist and author of “Master the Markets with Mutual
Funds: A Common Sense Guide To Investing Success”; Manager/Creator of the AFL
Model Portfolios available for members of Allocation For Life in self-directed
accounts at Folio Investing
http://www.allocationforlife.com/
http://www.allocationforlife.com/
