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People who invest in the stock market can have different objectives. Most people who buy stocks are categorized as long term investors. They hope to profit from the capital growth experienced by companies. This comes from stock appreciation and dividend investing. Many investors elect to reinvest any earned dividends by acquiring additional shares in the company. This allows them to build up a stake in the company that can appreciate over the long term. Some people have contributions pre-established as part of retirement or 401K programs. This is a great way to save and gain taxation benefits at the same time.