The Global Industry Classification Standard (GICS) industry groups are a level within the GICS classification system that provides a more detailed breakdown of companies within each GICS sector. These industry groups represent specific segments or subcategories of the broader sector and allow for a more granular analysis and comparison of companies within those segments. The classification of companies is based on factors such as revenue sources, product lines, and market dynamics.
The Industry Groups Hierarchy
Here are the 25 GICS industry groups across the various sectors:
- Consumer Discretionary
- Consumer Staples
- Health Care
- Information Technology
- Communication Services
- Real Estate
The GICS industry groups serve as a useful tool for investors, analysts, and researchers to gain a deeper understanding of the different segments within a sector and to compare companies for investment and analysis purposes.
It’s important to note that the classification of companies into GICS sectors, industry groups, industries, and sub-industries is dynamic and can change over time. As companies evolve and adapt their business activities, they may be reclassified to reflect their updated industry or sector classification.
The GICS classification system is widely used by the global financial community, including investors, analysts, and researchers, to facilitate sector-based analysis, benchmarking, and comparisons. It provides a standardized framework for organizing and understanding companies within the global economy based on their primary business activities.