Page 105 - FlipBook BACK FROM SARAN - MAY 5 2020 - Don't Make Me Say I Told You So_6.14x9.21_v9_Neat

Don’t Make Me Say I Told You So 91

offer less risk, but they also provide less opportunity for
strong growth down the road.

Mid-cap Equities

1,421 Mutual funds

2,857 Stocks

Source: Morningstar, 2020

Mid-cap stocks are companies with a market capitalization

between $2 billion and $10 billion. These are the stocks of mid-
sized companies that are established in their industry but may

not be industry leaders. They typically offer more opportunity

for growth than large-cap stocks, but tend to be more volatile.

These stocks emphasize growth, and almost always pay a
smaller dividend than large- caps.

These stocks tend to have some of the stability of large-caps as
well as some of the high-growth prospects of small-caps. When

compared with small-cap stocks, mid-cap stocks tend to be less
volatile and less vulnerable in economic downturns. Examples

of mid-cap stocks:

► Mattel

► Hertz

Chapter 3: You Must Have Growth In Your Portfolio