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CFA Level 2
Equity Investments

Industry Classification Based on GICS

Hard Industry And Company Analysis Industry Classification

In the context of equity investments, industry classification is crucial for investors to assess risk, return potential, and performance comparison across similar companies. The Global Industry Classification Standard (GICS) provides a framework for categorizing companies into different sectors and industries based on their business activities.

Suppose you are analyzing three companies: Company A, which manufactures consumer electronics, Company B, which operates a chain of supermarkets, and Company C, which develops software for financial services. Based on the GICS framework, which classification would these companies most likely fall under?

Hint

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