Industry Bet

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Dictionary Says

Definition of 'Industry Bet'

A strategy whereby investors or portfolio managers increase or decrease holdings in an entire industry, rather than buying or selling individual stocks from that particular industry. For example, an individual investor could take a position in a pharmaceutical fund rather than purchasing the stock of one pharmaceutical company. Industry bets are utilized because many investors believe that it is easier to accurately predict the future price trend of an entire industry, versus the trends of individual stocks.

An industry is a group of corporations that are similar in terms of their primary business activities. Dozens of industry classifications exist, and these are typically grouped into larger categories known as sectors. Examples of industries include pharmaceuticals, railroads, utilities, household and personal products, airlines, insurance, mining, retail, transportation and manufacturing.

Investopedia Says

Investopedia explains 'Industry Bet'

Stocks within the same industry often experience correlation in price trends, rising and falling together, as the entire industry is subject to the same underlying factors. The North American Industry Classification System (NAICS) is used by investors to classify corporations. Under the NAICS, which was developed by a joint effort between the United States, Canada and Mexico, companies that employ like production processes are categorized in the same industry. The NAICS replaced the Standard Industrial Classification (SIC) system in 1997.
Search results for

'Industry Bet'

  • Don't Bet On The PC Industry Just Yet

    http://stocks.investopedia.com/stock-analysis/2009/Dont-Bet-On-The-PC-Industry-Just-Yet-CY-AMD-FCS-DELL-HPQ-INTC1021.aspx
    ... Article; Comments (0). Don't Bet On The PC Industry Just Yet.
    Posted: Oct 21, 2009 07:04 AM by James Brumley. ...

  • Oceaneering: A Bet On The Deepwater

    http://stocks.investopedia.com/stock-analysis/2010/Oceaneering-A-Bet-On-The-Deepwater-OII-BHP-GE1216.aspx
    ... Oceaneering: A Bet On The Deepwater. ... area, both in the United States and in the
    international arena, and will benefit from the increased industry activity here ...

  • Marathon Oil A Good Bet For 2010

    http://stocks.investopedia.com/stock-analysis/2010/Marathon-Oil-A-Good-Bet-For-2010-MRO0128.aspx
    ... Bottom Line An investment in Marathon Oil is a bet on the recovery in the downstream
    business ... For additional information, read Oil And Gas Industry Primer.) Use ...

  • Fairholme's Financial Bet

    http://stocks.investopedia.com/stock-analysis/2010/Fairholmes-Financial-Bet-GS-C-AIG-PFE0521.aspx
    As of the end of the first quarter of 2010, Fairholme was making a big bet.
    The move was not on one single company, but on an industry. ...

  • Buffett's Long-Term Bet On Rails

    http://stocks.investopedia.com/stock-analysis/2009/Buffetts-Long-Term-Bet-On-Rails-BNI-BRK-A-BRK-B-UNP-CSX1103.aspx
    ... come. However, the rails as an industry have improved economically and
    over the long-run, it often pays to bet with Buffett. (For ...

  • Ways to Bet On Infrastructure

    http://stocks.investopedia.com/stock-analysis/2011/Betting-On-Infrastructure-CX-AMN-STRL-FLR-FWLT0617.aspx
    ... Ways to Bet On Infrastructure. ... prudence dictates that the merits of the individual
    business should precede the excitement one may have over the industry. ...

  • The Other Problem With Housing

    http://stocks.investopedia.com/stock-analysis/2009/Dont-Bet-on-Housing-LEN-HOV-KBH-TOL0929.aspx
    ... in a state of decline for over two years now, it may be tempting to make a bet that
    housing has bottomed. But despite the mess that the housing industry is in ...

  • Bally's Is Worth A Bet

    http://stocks.investopedia.com/stock-analysis/2008/Ballys_Worth_A_Bet_BYI.aspx
    ... the economy, read the Federal Reserve tutorial.)</INVESTOPEDIACONTENT> Bet on Bally's ...
    factor: Because of the intense competition in the gaming industry and the ...

  • CARZ or VROM: Which Is The Better ETF?

    http://stocks.investopedia.com/stock-analysis/2011/CARZ-or-VROM-Which-Is-The-Better-ETF-CARZ-VROM-TTM-GM-F-HMC-TM-NSANY-TSLA1018.aspx
    ... First Trust Nasdaq Global Auto Index Fund Up until May 9, investors interested in
    making an industry-wide bet on the automotive industry couldn't do so without ...

  • Industry At A Glance - Large Oil And Gas Producers

    http://stocks.investopedia.com/stock-analysis/2011/Industry-At-A-Glance---Large-Oil-And-Gas-Producers-BP-CVX-COP-XOM-TOT-HES-RDS-PBR0829.aspx
    ... Industry At A Glance - Large Oil And Gas Producers. ... Chevron is also making a large
    bet on the future of liquid natural gas (LNG), as it is involved in several ...

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