The real definition of industrials can be a little bit more complicated: they are businesses that create financial products such as derivatives. Derivatives are financial products that allow investors to speculate on the future price of a security or commodity. For example, if you think that the price of oil is going to drop in the near future, you can borrow derivative and make a bet that the price will rise. This is referred to as an intraday trade. If you are right (and if the price goes up) you make money by selling your derivative at a higher price and taking out another loan. On the other hand, if you are wrong (and if the price goes down) you suffer a loss because you did not buy the derivative that made you money.
In order to find places to invest, however, you need to realize that most investors do not want to risk their money on small cap stocks. The truth is that most large cap stock offerings are untaxable for most investors so they cannot risk buying them. However, most investors are comfortable with large cap industrials because these industries have a history of success and are generally well supported by the U.S. This means that they do have the potential to create large profits for the long term, but like everything else, you need to know what to look for before deciding where to invest.
A great place to start is with investment banks. Many banks offer programs that analyze many sectors and offer investment grade lists that you can purchase from their website. Once you have looked at the list and found industrials that appear in both the financial rating and industry categories, you should contact your investment banking firm and ask what they do not recommend. Your representative may have access to a program that deals exclusively with these key metrics and can give you a list of the top-notch companies to invest in. Having this sort of information can help you to choose the right industrial sector, the right company, and the best overall investment at the right time so that you can maximize your profits and reduce your risk.