Sector breakdown of S&P 500 market cap

by gorillaz0e

Graph of this issue: pbs.twimg.com/media/Do2RFrvXsAAdrVM.jpg

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Since 12/31/2006, the weighting of the financial sector has decreased considerably. The global financial crisis of 2008 dropped the weight of the sector temporarily to just 11%. Financial services recovered quickly after the crisis but the sector is still much smaller compared to other sectors than it was before the crisis. Information technology sector has risen with the help of Apple, Microsoft and Alphabet from 15% to over 20%. Currently, the weight of Apple is 3.7% of the whole index. Since 2009, the weight of energy sector has halved and its currently just a bit more than 6%. The sharp decrease in oil prices has caused big worries for energy companies. In the beginning of 1980, energy was clearly the largest sector, making up 25% of the S&P 500. Also material companies are now just a fraction of what they used to be 35 years ago.

How do you think the S&P 500 sector weightings will look 10 and 20 years from now? and why?

 

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