Sector Rotation Basics
An excerpt from our Academy Module.
Executive Summary: The "Why" and "What"
Sector rotation is a strategy used by traders and investors to capitalize on the cyclical nature of the economy by moving investments among sectors that are expected to outperform based on the current phase of the economic cycle. The goal is to maximize returns by being in the right sectors at the right time.
Understanding sector rotation is crucial because it allows traders to anticipate market shifts and position their portfolios to benefit from...