The second worst performing sector of 2020 has become the second best performing sector in the past month — Financial. Stocks. Are. Back.
Top-performing sectors over the past month:
Generation Z (Gen Z), those that are born between 1996 and 2016, makes up nearly a third of the global population.
According to a report released on November 10, 2020 called OK Zoomer by Bank of America — Gen Z’s income will overtake Millennials total income by the early 2030’s.
The power struggle continues between growth and value.
Growth stocks fell while value stocks soared on the news of positive phase 3 clinical trial results from two vaccine makers:
If you look very carefully and far into the horizon, you might find one a silver lining: a thriving biotech industry ahead of us. As a result of COVID, the biotech industry condensed years of innovation and drug development progress into months.
Biotech what? The biotech industry is in charge of developing drugs, performing clinical research and looking for the fountain of youth… in one form or another.
The Russell 1000 Growth Index, a basket of US growth stocks, was down 5.6% in September. In comparison, the Russell 1000 Value Index, a basket of US value stocks, was down 3.4%
The unexpected beneficiary in the pandemic: cannabis. Yes, the substance that’s still illegal in 41 states made it onto the shortlist of essential businesses allowed to stay open. In the midst of record sales, cannabis CEOs are naming the current market as “Cannabis 2.0”, the maturity and recovery of the industry.
Investors rushed into cannabis stocks in 2018 with the hopes of earning fast and easy returns. Stock prices crashed in 2019 as companies failed to meet sales growth expectations or generate a profit. These companies had poor cost controls and lacked access to traditional banking services for loans. The ETFMG Alternative Harvest ETF ($MJ), a cannabis-focused ETF, lost over half its value after hitting its peak in 2018.