Sector favorability – position for late cycle/recession

Source: Wells Fargo Investment Institute, as of September 30, 2022. Past performance is no guarantee of future results. Best performers are based on the performance of S&P 500 Index sectors during a particular point in the economic cycle (early, mid, late, recession) either since September 1989, the inception date for the S&P 500 sector indexes (traditional best performers) or during the most recent full economic cycle, 2009–2020 (recent best performers).

Key Takeaways

  • The business cycle can help inform the investing decision process.
  • Throughout 2022, we positioned portfolios defensively for a likely upcoming recession.