investing

Lingo every investor should know

The world according to GARP
Next
8 of 9
Back

Garp was the title character in a best-selling book by John Irving. Growth at a reasonable price, or GARP, examines a company's books to give investors an edge. GARP, a strategy often credited to Fidelity guru Peter Lynch, is a way of finding bargain-priced stocks.

So-called growth companies are those expected to expand rapidly, often in emerging fields such as new technologies. But their shares are often pricey. GARP investors seek out value stocks -- those of growing companies whose stock valuations are relative bargains.

"With growth investing, you're typically looking at companies with real high earnings growth, and in value investing, you are looking at companies that typically don't have very high valuations," says Rimel. "But GARP investing kind of employs both of those."


 

 

advertisement

          Connect with us
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

CDs and Investment

Start retirement savings at 24?

Dear Dr. Don, At age 24, I recently started a job working for a corporation. I'm interested in individual retirement accounts. I'd like to look at investing in stocks and bonds and learn more about choosing a 401(k) plan.... Read more

advertisement

Blog

Dr Don Taylor

Is smart beta indexing better move?

Should investors look beyond market-cap-weighted indexes when choosing an index fund?  ... Read more

Partner Center
advertisement

Connect with us