Investing in mid-cap and large-cap companies means putting money into companies of medium and large market capitalization, respectively. This strategy typically offers a balance between growth potential and stability, as mid-cap companies may have higher growth potential but with moderate risk, while large-cap companies are more established, financially strong, and provide steady returns with lower volatility. Investors benefit from diversification, combining the growth opportunities of mid-caps with the stability and established market presence of large-caps, aiming for a more controlled risk and steady growth over time.
