Investors that follow a growth investment strategy, aim to increase their capital as much as possible and are not concerned about income. They want to pick stocks that will grow significantly over time.
Growth investor try to identify and invest in growth stocks, which are small or young companies that are expected to grow at a rate that is higher than other companies in their industry (or in the whole market)
Growth stocks tend to have a very high P/E ratio, not offer a dividend, operate with a unique product and have a loyal customer base (Tesla is a good example). Growth investors usually use fundamental analysis.
Investing in growth stocks can be risky as they are young companies. If they fail to meet expectations, the business can fail, which means that investors lose out (a good example would be Theranos).
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