6 types of stocks explained in detail + examples (paid content)
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My advice: the longer you wait the higher the opportunity cost. Never miss out on important years of compounding unnecessarily.
There are so many ways to diversify your portfolio. You can do so by industry, capitalization, location, and also by stock type. Unfortunately, many investors still don’t know the different types of stocks you can buy. Each one serves its own purpose and helps an investor reach his or her goals. It’s important to understand different types of stocks and what they’re used for so you can create a well-balanced portfolio that helps you reach your goals.
Let’s dive in.