The term secular refers to the market activities that are studied or considered over a long period of time. These are trends that are non-cyclical or non-seasonal in nature and therefore show more consistency.
The long-term direction of a secular market or secular stocks is usually in one direction and can be an upward trend or a downward trend.
A few examples of secular stocks are energy stocks, green tech stocks, stocks of newage companies like Netflix and Google, etc. The short-term fluctuations in these stocks should not be considered while investing in them as the long-term trajectory determines the growth opportunities or the investment opportunities in such stocks.
