Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Sectors definition

Sectors are divisions within an economy or market, useful for analysing performance or comparing companies with similar outputs and characteristics.

Economies tend to be split into four sectors, consisting of:

Agriculture and mining
Manufacture
Retail, entertainment and financial services
Education

Sectors aren’t always country-wide; larger economic areas (like the European Union) or smaller ones (like a city) can also be split into sectors.

Many investors believe that it is risky to focus investment too heavily on a single sector. The strategy of investing in several different areas of an economy is called diversification.

Companies also get categorised by sectors, such as oil and gas, technology, utilities or healthcare. It is possible to invest in a sector with exchange traded funds (ETFs).

Learn more about ETFs

Find accumulated distribution ETFs using our ETF screener or learn more about ETF trading with IG.

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The value of shares, ETFs and ETCs bought through a share dealing account, a stocks and shares ISA, a SIPP or an IG Smart Portfolio can fall as well as rise, which could mean getting back less than you originally put in. Spread bets and CFDs are leveraged products and can result in losses that exceed deposits. Spread betting and CFD trading are not permitted within the IG SIPP. Please ensure you fully understand the risks and take care to manage your exposure.

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