Investors often debate between growth and value investing. Both strategies carry risks.
## Growth investing
– Revenue and earnings grow above average.
– Examples: Tesla, Amazon, Nvidia, and Shopify.
– Pros: explosive upside, innovation-driven gains.
– Cons: expensive valuations, high volatility.
## Value investing
– Stocks trade below intrinsic value.
– Examples: Coca-Cola, Johnson & Johnson, JPMorgan Chase, and Procter & Gamble.
– Pros: stability, aris mining forecast dividends, downside protection.
– Cons: slower growth, may stay undervalued for years.
## How investors combine both
– Provides both stability and innovation.
– ETFs like Vanguard Growth ETF (VUG) and Vanguard Value ETF (VTV).
**Conclusion**
Growth and value investing are two sides of the same coin. By mixing Tesla and Amazon with Coca-Cola and JPMorgan, investors capture upside potential.
