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Speaker 1: Welcome to Ask Fear and Greed, where we answer questions

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Speaker 1: about business, investing, economics, politics are more. I'm Michael Thompson

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Speaker 1: and hello Sean Ayle.

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Speaker 2: Hello Michael, Sean.

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Speaker 1: Good question today. I mean they're all good questions, aren't they.

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Speaker 1: But look this one. Look on, No, this is a

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Speaker 1: good one. We hear so much when we are talking

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Speaker 1: about markets. We hear so much in Australia about the banks,

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Speaker 1: and about the miners and about the retailers. But there

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Speaker 1: are other big sectors there that don't seem to get

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Speaker 1: as much attention. What are they? Why do we kind

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Speaker 1: of overlook them? Not we we we don't know.

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Speaker 2: We anything never able to look at me.

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Speaker 1: I don't think I've checked my past. I've never overlooked anything.

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Speaker 1: Not in history. No.

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Speaker 2: No, we actually often talk about the eleven sectors on

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Speaker 2: the AX, and there are eleven sectors. The far and

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Speaker 2: away the most dominant one is a financial services sector.

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Speaker 2: It's we're about thirty two percent of the market. This

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Speaker 2: is the whole market, not the two hundred the whole market.

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Speaker 2: When it's thirty two percent of the whole market, it

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Speaker 2: gets plenty of airtime. And when the big guys are

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Speaker 2: like Commonwealth Bank, et cetera. They get plenty of airtime.

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Speaker 2: The next biggest sector is basic materials and that actually

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Speaker 2: includes the big miners, so that's why they get a

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Speaker 2: good run in there. Industrials is the next one. Now, industrials,

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Speaker 2: it's kind of there's only one hundred and fifty members

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Speaker 2: of it, but it's kind of a catch alls like

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Speaker 2: transurb and Brambles quantuses in their rece some of the

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Speaker 2: toll roads. Those sorts of groups want me to run

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Speaker 2: through every one of them, I one, not necessarily. Yeah.

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Speaker 2: But the next biggest, which we prot don't talk a

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Speaker 2: lot about is healthcare.

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Speaker 1: This is interesting actually because there are some household names

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Speaker 1: in healthcare. It's and it seems to be a sector

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Speaker 1: where Australia.

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Speaker 2: Kind of outperforms almost yes, so we punch above our weight.

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Speaker 2: Nine percent of our market is healthcare companies like CSL

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Speaker 2: I mean Sigma Healthcare. Nowadays it's got MST Warehouse. It's

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Speaker 2: sort of consumed discretionary almost like it's almost but Promedic

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Speaker 2: it's incredibly successful company recently res medfish from pap or

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Speaker 2: Cochlear Sonic Healthcare. Some of the bier text Telix pharmaceutical

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Speaker 2: some of those sorts of organizations. So healthcare is a

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Speaker 2: really big sector for us. We probably don't spend as

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Speaker 2: much time on healthcare because we get so excited about

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Speaker 2: banks and minors. But you are looking at me, You

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Speaker 2: are frowning at me here, Michael. But I think healthcare

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Speaker 2: does deserve allowed a run.

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Speaker 1: No. I was actually just thinking that there is endless

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Speaker 1: opportunities for us to talk about this. Sorry, I was

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Speaker 1: actually planning ahead for future episodes of fear and great

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Speaker 1: thinking all about healthcare. Sorry, please go on the next.

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Speaker 2: Then there's consumer cyclic calls, the Jabe high fires of

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Speaker 2: the world and stuff, real estate, communication technology. That the

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Speaker 2: smallest sector is utilities. Second smallest is energy. Some of

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Speaker 2: those companies do some of those sectors do really well

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Speaker 2: or not purely on the back of one or two stocks.

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Speaker 2: So energy would side Santos does something in that sector

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Speaker 2: goes up and down. So what's the smallest did you

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Speaker 2: say utilities? Okay, all right, So if you think utilities

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Speaker 2: has only got twenty one companies in it, like materials,

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Speaker 2: which are really big ones seven hundred and seventy three companies,

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Speaker 2: utilitiz only has twenty one companies in it, and so

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Speaker 2: Origin Energy is a good one. Ago Energy, API Group,

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Speaker 2: the Infrastructure group me Iridian Energy.

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Speaker 1: Can I just clarify when you did the infrastructure group?

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Speaker 1: Was you did a little your mind were mining a bridge? No,

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Speaker 1: I wasn't.

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Speaker 2: I was actually mining poles and wires.

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Speaker 1: Oh okay, yeah, okay, little kind of gesture with your hands.

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Speaker 1: That's the international symbol for poles and wires. Kind of

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Speaker 1: looked like a bridge, which also fits in infrastructure.

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Speaker 2: Yes, yes, yes, yes, yeah. So look in the end

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Speaker 2: we probably do over we talk about financial services a lot,

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Speaker 2: which is a bank's basic materials, which are the big minus,

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Speaker 2: particularly in industrials. But you know, health care probably deserves

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Speaker 2: a better run. So to real estate, why do people

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Speaker 2: invest in real estate are a certain type of person?

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Speaker 1: I reckon, I think real estate. That's a big claim

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Speaker 1: to make that right now.

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Speaker 2: I mean it's huge industry real estate. So I don't

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Speaker 2: say that in a negative sense. I'm just I mean

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Speaker 2: you obviously took it that way, Michael, which is disappointing.

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Speaker 1: It's because I'm a cynic. We've established this. It takes

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Speaker 1: a particularly what an optimistic kind of person? Do you think?

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Speaker 2: Yes? Well, no, I just I mean, you've got to

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Speaker 2: be slightly optimistic to invest in any sector. Yeah, I

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Speaker 2: don't know one sector I find. I'm moving on from

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Speaker 2: that conversation Materials. You know there's seven hundred and seventy

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Speaker 2: three companies and materials Index, like all those tiny miners

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Speaker 2: and stuff like that. They might be worth a million

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Speaker 2: dollars list than the art sex you.

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Speaker 1: I love how much you are scrambling now to get

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Speaker 1: away from the comments that you've made about property investors.

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Speaker 2: This is it's probably I find how do you know

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Speaker 2: the difference between one commercial building and another? And I

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Speaker 2: know that it's just not my area of expertise, so

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Speaker 2: perhaps that's why I'm not very good at it.

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Speaker 1: But I suppose it's like in mining stocks, how do

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Speaker 1: you know the difference between one patch of ground and another?

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Speaker 1: You use a geologist. He's a building geologist.

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Speaker 2: Okay, give me five property companies.

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Speaker 1: If you've got your own question that you would like

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Speaker 1: to send through to ask fear and greed, then please.

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Speaker 2: Sure you can give five.

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Speaker 1: Yeah, I can put around time. Come on, Look, there's

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Speaker 1: so much. I was going to say, goodman, because it's

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Speaker 1: my favorite.

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Speaker 2: So you're worried you don't know where they are. No Center, Strickland, Vicinity,

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Speaker 2: GPT have back, Tartle Hall, Dexas stock beat me to Scockland.

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Speaker 1: Y about lend Lea's one of my faves. Send your

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Speaker 1: questions on Through Fear and Greed dot com dot au

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Speaker 1: LinkedIn Instagram. Facebook has been a mess today, hasn't it, Sean? Anyway,

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Speaker 1: I hope you've learned something. Don't know whether you have

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Speaker 1: no okay, Thanks Sean.

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Speaker 2: Thanks Michael, Michael Thoms.

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Speaker 1: And then this is us fear and great