Growth investing is an investment strategy focused on increasing an investor's capital by purchasing stocks of companies expected to grow at an above-average rate compared to their industry or the overall market. Investors in this category often look for companies that are innovating or expanding, which can lead to significant price appreciation over time. This approach typically involves investing in younger companies or sectors that are experiencing rapid growth, such as technology or biotechnology. While growth stocks can offer substantial returns, they also come with higher risks, as their valuations may be based on future earnings potential rather than current profitability.