Like most sectors, the technology sector has its up years and its down years. But unlike most sectors, when the technology sector and related exchange traded funds (ETFs) are up, they tend to be up big.

The Ins and Outs of Technology

The technology sector is largely made up of aggressive growth-type companies that dabble in industries and sub-sectors such as research and development, computers, software, communications, the internet, semiconductors or other segments of the technology sector. Biotechnology, though usually most often considered part of health care territory, can also fall under the tech industry’s umbrella.

The tech sector is largely made up of two types of companies: large and established corporations with strong cash flow and a large market share, or small companies developing new ideas or patents and backed by lots of venture capital.

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