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The ‘Growth market’ arrives at HeyTrade

Apr 17, 2023 | HeyTrade Updates

We are launching a new collection dedicated to European small and mid-cap companies.

At HeyTrade we are constantly expanding our portfolio of stocks and today we are taking another step to further facilitate access to investment. We are introducing the Growth market collection, a selection of stocks listed on European markets for small and mid-cap companies (such as BME Growth, formerly known as MAB).

Small and mid-cap companies trade at relatively low prices, so they may have greater growth and appreciation potential than other more established stocks in the market. In the United States, to be considered a small cap, a company must have a capitalization of between $300 million and $2 billion. In Europe, this range goes up to 3 billion euros. As for mid-caps, they usually have a market capitalization of between $2 billion and $10 billion.

“Some of the most profitable stocks of recent decades started out as SMEs,” explains HeyTrade’s CEO Ramiro Martinez-Pardo. “With the launch of the Growth market collection, we want to make it easier for our clients to access investment in small- and mid-cap companies, as well as satisfy the growing interest in securities issued in the growth market.”

 

Why are mid and small caps attractive?

  • Growth potential: Being in the early stages of their life cycle, these companies can experience rapid growth and generate significant returns for investors.
  • Diversification: Small caps tend to be less correlated with large-cap indexes and can provide exposure to different sectors and industries. On the other hand, mid caps tend to be less volatile and can provide a balance between growth and stability that is very appealing when it comes to diversification.
  • Upside potential: Small and mid-cap stocks are sometimes undervalued by the market, giving investors the opportunity to buy at a discount. When the real value of these companies is recognized, significant price appreciation can occur.
  • Mergers and acquisitions: Large companies with plans to expand their business tend to look at these types of companies. If a mid or small cap is acquired, investors can benefit from a significant increase in share price.

Investing in small and mid-cap companies carries risks. It is important to conduct thorough research before investing.

In HeyTrade’s Growth market investment collection, you will find 82 SMEs to invest in. This list is available on both the mobile app and the WebApp

 

If you miss any stocks, please send us an email at support@heytrade.com. We will be happy to help you and do our best to fulfill your request.

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