Asked by Anonymous

What are the advantages to owning blue chips?

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  • Zann Chua
    Zann Chua
    Level 6. Master
    Answered on 10 Mar 2019

    Hello!

    firstly, blue chip stocks are rather stable and are known to most to have stable earnings. Most investors do not worry about their blue chip investments in the bear market because they generally recover. Also, many blue-chip stocks pay out dividends to their shareholders. In the long-run, an investor can benefit from dividend payments and generate portfolio income.

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