I rec­om­mend investors buy funds from the Con­sumer Sta­ples and Infor­ma­tion Tech­nol­ogy sec­tors, though any sec­tor can have Attractive-or– better-rated funds based on their hold­ings. See Fig­ures 4 through 13 in our lat­est Sec­tor Allo­ca­tion Roadmap report for a detailed break­down of rat­ings dis­tri­b­u­tions by sec­tor, or see my indi­vid­ual sec­tor fund reports for ETF and mutual fund rec­om­men­da­tions by sector.

The full series of my reports on the Best & Worst Sec­tor and Style Funds is here.

Fig­ures 14 and 15 present the best and worst funds in each sec­tor as of Jan­u­ary 19, 2012 accord­ing to our Pre­dic­tive Rat­ing. For a full list of all funds in each sec­tor ranked from best to worst, see our free fund screener.

Method­ol­ogy

Our sec­tor analy­ses are based on the market-weighted aggre­ga­tion of our mod­els and stock rat­ings on the 3000+ com­pa­nies we cover in each 1 sec­tor, the S&P 500, and the Rus­sell 2000 as of Jan­u­ary 19th, 2012.
Our bottom-up approach to stocks dri­ves our bottom-up research on sec­tors, indices, and funds.
This report pro­vides clients with bench­marks from the S&P 500, Rus­sell 2000, and all Sec­tors to aid in the analy­sis of indi­vid­ual com­pa­nies as well as the major sec­tor and index ETFs and mutual funds.
Given the suc­cess of our Rat­ing sys­tem for indi­vid­ual stocks, we believe its appli­ca­tion to groups of stocks (i.e. ETFs and mutual funds) helps investors make more informed ETF and mutual fund buy­ing deci­sions. Barron’s fea­tured our unique ETF research in “The Dan­ger Within”.