2023 US sector outlook

Find out where Fidelity's sector managers have found the most compelling potential opportunities for 2023 and beyond.

2022 has provided a stark lesson on why investors should care about sectors. The year's top-performing sector, energy, delivered a total return of 54% year-to-date through mid-December.* Compare that with the year's worst performer, communication services. That sector, which includes Meta Platforms, Alphabet, and Netflix, lost 36%.*

Looking to 2023, there are clearly risks on the horizon. But as Eddie Yoon, Fidelity's veteran health care sector portfolio manager puts it: "A lot of negative sentiment has already been priced into stocks." That backdrop could set the stage for a year when investors start to pay attention to fundamentals again—and stock selection matters.

Where should investors be looking? Our sector managers have unearthed plenty of potential opportunities for 2023 and beyond—from plays on the green-energy transition in utilities, to opportunities stemming from the tight real estate market, to potential beneficiaries of the long-term shift to an increasingly digitized world.

Read on to discover Fidelity’s ideas across 11 sectors.