ELI5: Explain Like I'm 5

Style investing

Style investing is like picking out different types of clothes to wear. Just like how you might have a favorite outfit or style that you wear all the time, investors sometimes have a favorite type of investment style that they choose.

There are different styles of investing, just like there are different styles of clothing. One style might be investing in stocks that are considered "value" stocks, which means they are cheaper than other stocks for the same company. Another style might be investing in stocks that are considered "growth" stocks, which means they are companies that are expected to grow a lot in the future.

Investors might choose to invest in a certain style because they think that style will give them the best returns. It's like how you might choose a certain outfit because you think it will make you look really cool or pretty. But just like with clothing, different styles of investing can have different risks and rewards, so it's important to understand what you're getting into before you start investing.