growth industry


An industry which is growing earnings and/or revenue faster than the overall market. Growth industries usually contain a large number of growth stocks. Investments in such industries are usually suitable for investors who are willing to accept larger risk in exchange for the possibility of larger returns.

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Merrill Lynch can help investors who are not adverse to taking a little risk identify a high growth industry such as real estate to invest in.

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Prior to the economic downturn, the housing market was seen as a growth industry and the indicators were the booming sales and increasing market gains.

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Jim is still mad at Albert for convincing him to invest in 8-track tapes in the late 70's, insisting that they were a growth industry that would just never stop paying out.

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