That is you depend on the value of the stock increasing.

Value Stocks Verses Growth Stocks That is you depend on the value of the stock increasing. Diversification becomes more important as your investments become riskier. This is rather too simplified a way of thinking about it. If your goal is to gamble then, by all means, use options. The most important concept in the market is the concept of risk-return. Bond funds are mutual funds which specialize in bonds.