What classification system is used for sectors, industries and peers?

Companies are classified according to Morningstar's Global Equity Classification System. This system contains 3 super sectors, 11 major sectors and has 148 associated industries.

Super Sectors are the broadest grouping in the classification system.
There are three Super Sectors:
1. Cyclical – Companies whose performance tends to move with the economic cycle (e.g., consumer discretionary, industrials).
2. Defensive – Companies that are less sensitive to economic cycles and tend to provide stable earnings (e.g., healthcare, utilities).
3. Sensitive – Companies that are somewhat affected by economic cycles but not as much as cyclical companies (e.g., energy, technology).

What Are Sectors?
Sectors are the next level of grouping below Super Sectors.
There are 11 major sectors in the Morningstar system, such as:
- Technology
- Healthcare
- Financial Services
- Consumer Cyclical
- Consumer Defensive
- Communication Services
- Energy
- Industrials
- Basic Materials
- Utilities
- Real Estate

The classification systems used for the Dow Jones indices and S&P indices are separate systems. You may find some companies are in different sectors and/or industries if you compare between the systems.