| Definition |
Shares of large, well-established, financially strong companies. |
Shares of small, less-established companies with low prices. |
| Company Size |
Large-cap companies with a strong market presence. |
Small-cap or micro-cap companies with limited market presence. |
| Risk Level |
Low to moderate risk due to stability. |
High risk due to volatility and uncertain performance. |
| Returns |
Stable and consistent returns over time. |
Potential for high returns, but also high losses. |
| Liquidity |
Highly liquid, easy to buy and sell. |
Low liquidity, harder to buy or sell quickly. |
| Market Reputation |
Well-known and trusted brands. |
Less known, may lack strong reputation. |
| Dividends |
Often pay regular dividends to investors. |
Rarely offer dividends. |
| Investment Horizon |
Suitable for long-term investment. |
Generally short-term speculative investments. |
| Volatility |
Less volatile due to strong fundamentals. |
Highly volatile and unpredictable. |
| Price |
Generally high-priced shares. |
Very low-priced, often below ₹10 or ₹50. |
| Accessibility |
May be less affordable for small investors. |
Affordable and accessible for beginners. |
| Transparency |
High transparency and regulatory compliance. |
Limited information, may lack disclosure. |
| Suitable For |
Conservative investors seeking stability. |
High-risk takers looking for quick gains. |
| Examples |
Reliance, TCS, HDFC Bank. |
Unknown or lesser-known small companies. |
blue chip stocks vs penny stocks