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Fortune
Fortune
Mia Taylor

The differences between growth and value stocks

Photo illustration of two hands holding cell phones that are showing stock market apps. One hand is overlaid with green and the other with yellow. (Credit: Photo illustration by Fortune; Original photos by Getty Images (2))

As you establish an investment portfolio, it’s important to think about the types of assets you want to include. It’s a decision that’s typically based on such factors as your long-term goals, short-term goals, and level of risk tolerance.

Among the options you might consider are growth stocks and value stocks. These two types of assets have fundamental differences in terms of price, expected performance, and level of risk, but often you may want to have a mix of both in your portfolio.

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