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Did you know that the average return from investing in stocks is 10% per year (not accounting for inflation)? But who wants to be average?!

You have been asked to support an investment firm by analyzing trends in high-growth companies. They are interested in understanding which industries are producing the highest valuations and the rate at which new high-value companies are emerging. Providing them with this information gives them a competitive insight as to industry trends and how they should structure their portfolio looking forward.

You have been given access to their unicorns database, which contains the following tables:

dates

ColumnDescription
company_idA unique ID for the company.
date_joinedThe date that the company became a unicorn.
year_foundedThe year that the company was founded.

funding

ColumnDescription
company_idA unique ID for the company.
valuationCompany value in US dollars.
fundingThe amount of funding raised in US dollars.
select_investorsA list of key investors in the company.

industries

ColumnDescription
company_idA unique ID for the company.
industryThe industry that the company operates in.

companies

ColumnDescription
company_idA unique ID for the company.
companyThe name of the company.
cityThe city where the company is headquartered.
countryThe country where the company is headquartered.
continentThe continent where the company is headquartered.

The output

Your query should return a table in the following format:

industryyearnum_unicornsaverage_valuation_billions
industry12021------
industry22020------
industry32019------
industry12021------
industry22020------
industry32019------
industry12021------
industry22020------
industry32019------

Where industry1, industry2, and industry3 are the three top-performing industries.

Spinner
DataFrameas
df
variable
-- Find Unicorns within the given industries stored in the 
-- Get the year they became a unicorn
-- Get their average valuation, converted to billions of dollars rounded to two decimal places

WITH top_industries AS (
	SELECT
		industry
	FROM
		industries
	JOIN
		dates
	USING(company_id)
	WHERE
		EXTRACT(year FROM date_joined) BETWEEN 2019 AND 2021
	GROUP BY industry
	ORDER BY COUNT(*) DESC
	LIMIT 3
)
SELECT
		industry,
		EXTRACT(year FROM date_joined) AS year,
		COUNT(*) AS num_unicorns,
		ROUND(AVG(valuation) / 1e9, 2) AS average_valuation_billions
	FROM
		funding
	JOIN
		industries
	USING(company_id)
	JOIN
		dates
	USING(company_id)
	JOIN
		top_industries
	USING(industry)	
	WHERE
		(EXTRACT(year FROM date_joined) BETWEEN 2019 AND 2021)
	
	GROUP BY industry, year
	ORDER BY year DESC, num_unicorns DESC