This ETF Should Be Your Go-To If You Want the Best of Both Worlds in Growth Stocks
Growth stocks are companies expected to outperform the U.S. stock market (generally using the S&P 500 as a proxy) because of their potential for high earnings growth. This growth potential is largely why growth stocks have been the darlings of the market for quite a while now. After all, why wouldn't investors take a liking to companies that can produce market-beating returns?
When some people think of growth stocks, their mind goes to smaller companies on the verge of a breakthrough. However, that's not always the case. A company's growth potential isn't tied to its size -- many small companies remain stagnant, and many large companies continue growing rapidly. The latter case can be the best of both worlds.
For investors looking for a combination of growth potential and stability, the Schwab U.S. Large-Cap Growth ETF (NYSEMKT: SCHG) is a great option.
Source Fool.com
