Investing in Small, Mid and Large-Cap Stocks

Understanding the basics about small, mid and large sized equities will help you make better investment decisions and work towards reaching your financial goals

Morningstar News Team 14 April, 2015 | 9:26AM

Not all equity investments are equal. That is certainly the case when it comes to investing in the shares of small, medium and large companies.

Investing in the shares of small companies offers a risk return profile vastly different to that of medium sized companies, and the largest of equities.

Investors may be drawn to small cap stocks for their attractive growth prospects, mid-sized companies because of their ability to innovate and large companies, also known as megacaps, because of the attractive dividend supported by economies of scale and a globally diverse revenue stream

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The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Apple Inc240.91 USD0.00
Artemis UK Smaller Companies R Acc11.55 GBP-1.89
Barclays PLC94.11 GBP0.00
BP PLC344.20 GBP0.00
Merian UK Mid Cap A GBP Acc3.01 GBP-3.41
Merian UK Smaller Companies A GBP Acc3.85 GBP-2.63

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